How HV sales used to turn big box office hits into massive box office GIANTS

[Barnack]

 

15 hours ago, Ryan Reynolds said:

Physical sales saw a bigger drop in 2020 cause there are usually a dozen big blockbusters that sell decent every year. In 2020 most movies were pushed or became streaming exclusives.

Once that this is said it is so obvious to be a major factor.....

[Napoleon]

I wonder what was the impact of the decline of DVD sales on the studios earning reports. Did the income from licensing content to streaming services make up for the loss in home video sales?

[Barnack]

1 hour ago, Napoleon said:

I wonder what was the impact of the decline of DVD sales on the studios earning reports. Did the income from licensing content to streaming services make up for the loss in home video sales?

I had a excel document called studio dvb bubble around that I can copy paste here, this is looking at paramount and warner brothers from 2004 to 2017, the peak is usually believed to between 2004 and 2008.

 

	2004	2005	2006	2007	2008	2009	2010	2011	2012	2013	2014	2015	2016	2017
Paramount
Theatrical	408.5	643.7	866.1	1466.2	1717	1321	1376	2175	1310	1239	1209	841	605	808
Home entertainment	1295.7	1555.5	2115.9	2493.3	2724	2501	2096	1890	1662	1300	1164	871	783	849
Licensing	672	650.8	1121.4	1294.3	1333	1383	1383	1417	1394	1203	1115	980	1100	1315
Ancillary	137.5	55.2	170.4	221.8	262	277	298	441	454	540	237	191	174	317
Total	2513.7	2905.2	4273.8	5475.6	6033	5482	5153	5923	4820	4282	3725	2883	2662	3289
Warner
Theatrical	1982	1868	1337	2131	1861	2085	2249	2100	1894	2158	1959	1578	2180	2268
Home entertainment	3730	3709	3142	3483	3320	2820	2707	2829	2175	2118	1913	1717	1481	1567
Licensing	1621	1791	1583	1451	1574	1459	1605	1557	1746	1652	1686	1579	1630	1853
Ancillary	484	490	154	166	191	129	125	160	227	191	271	269	321	350
Total	7333	7368	6216	7231	6946	6493	6686	6646	6042	6119	5839	5143	5612	6038

 

 

 

What you see is a displacement from "traditional" home entertainment i.e. Dvds to licensing you seem to have predicted here.

 

Has of 2017 I did not make up even before inflation adjustment I think, it could have ended up a bit like the CD bubble for the music industry a special time in the complete history of Hollywood, the dvd bubble changed the notion of risk and revenues versus anything before and after I think.

 

During that time frame for both the studios, theatrical share of a movie revenues of movies jumped by more than 50% from the peak of the dvds to the 2017 result, showin that the post theatrical revenues declined versus them quite a bit.

 

P.S. I am terrible a copy pasting table on this, I imagine you can copy paste them in your excel like program you use to consult them, they are from annual financial report.

 

Lionsgate is a company with a nice break down:

http://investors.lionsgate.com/financial-reports/annual-reports-and-proxy-statements/annual-reports

 

They were by far the most detailed of the 'studios', all the others being subdivision of giant entity, with Liongates you could see how a slate of movies made in revenues for their first 3 years of existence from each source for a while and made the shifts quite obvious.

 

Edited May 1, 2021 by Barnack

[Napoleon]

1 hour ago, Barnack said:

I had a excel document called studio dvb bubble around that I can copy paste here, this is looking at paramount and warner brothers from 2004 to 2017, the peak is usually believed to between 2004 and 2008.

 

 

What you see is a displacement from "traditional" home entertainment i.e. Dvds to licensing you seem to have predicted here.

 

Has of 2017 I did not make up even before inflation adjustment I think, it could have ended up a bit like the CD bubble for the music industry a special time in the complete history of Hollywood, the dvd bubble changed the notion of risk and revenues versus anything before and after I think.

 

During that time frame for both the studios, theatrical share of a movie revenues of movies jumped by more than 50% from the peak of the dvds to the 2017 result, showin that the post theatrical revenues declined versus them quite a bit.

 

P.S. I am terrible a copy pasting table on this, I imagine you can copy paste them in your excel like program you use to consult them, they are from annual financial report.

 

Lionsgate is a company with a nice break down:

http://investors.lionsgate.com/financial-reports/annual-reports-and-proxy-statements/annual-reports

 

They were by far the most detailed of the 'studios', all the others being subdivision of giant entity, with Liongates you could see how a slate of movies made in revenues for their first 3 years of existence from each source for a while and made the shifts quite obvious.

 

Thanks, that's very useful. 

 

What does ancillary mean?

[Barnack]

4 minutes ago, Napoleon said:

What does ancillary mean?

Usually in the movie section it is licensing of popular movie character on toys, books, theme park and video games or renting movie production location like studios lot/equipment/special SFX to other studios.

[Eric Prime]

 

Quote

#Barbie sold 700k units across all digital and physical medias & platforms, grossing £9.5M, followed by: #JohnWick4 694k units #TheSuperMarioBrosMovie 648k #AvatarTheWayOfWater 560k units #MatildaTheMusical 483k units

 

Quote

When breaking down by media, #Oppenheimer led on BluRay-only sales, grossing £1.1M in BDs sold in 2023, followed by:
2 #AvatarTheWayOfWater 3 #JohnWickChapter4 4 #BlackAdam 5 #MissionImpossible: #DeadReckoning

Quote

#BlackAdam conquered the DVD buyers, selling 80k units of DVDs alone, followed by:
2 #JohnWickChapter4 3 #ELVIS 4 #OPPENHEIMER 5 #TopGunMaverick

Quote

#JohnWickChapter4 was the king of online Rentals, being rented 306k times, followed by
2 #BARBIE 3 #BlackAdam 4 #NoHardFeelings 5 #PLANE

Quote

#AvatarTheWayOfWater led on digital sales not including rental, followed by:
2 #TheSuperMarioBrosMovie 3 #BARBIE 4 #IndianaJonesAndTheDialOfDestiny 5 #JohnWickChapter4

 

[Chaz]

We’re down to Amazon and Wal-Mart. Physical is hanging on by a thread in the U.S. 

[filmlover]

The complete collapse of the home media market (along with the window they had) has been pretty sad. That exclusive window likely helped out with a movie's longevity vs. being dropped on a streaming service and then being forgotten among the content.