TV DVDs look bright in slow summer

Few movies had over $50 million box-office

By Susanne Ault -- Video Business, 7/2/2008

JULY 2 | Dog days of soft DVD releases are usual during summer, but retailers say they are sweating more than normal this year over an unusually meager July-August film slate.

There is no real bright spot this year, but 2007 had the July 31 release of Warner Home Video’s $211-million grossing 300, which broke up the period’s mostly modest box-office fare and became a high-def bestseller. To battle this year’s especially dry DVD well, retailers are rallying around new TV DVD titles and hyping the value of home entertainment during a slowed economy.

No movie bowing on DVD through August even broke the $100 million mark in theaters, complain retailers. Some close candidates are Sony Pictures Home Entertainment’s July 1 release Vantage Point and July 22 release 21, which generated $72 million and $82 million in the U.S., respectively. Most of the titles grossed less than $50 million. (Click for a list of other July new releases.)

August’s best theatrical bet rides with the $65 million Hannah Montana and Miley Cyrus: Best of Both Worlds Concert Tour from Walt Disney Studios Home Entertainment on Aug. 19 and 20th Century Fox Home Entertainment’s $75 million hit What Happens in Vegas on Aug. 26.

Although many theatrical-to-DVD windows are shorter than ever, studios generally hold off releasing each year’s summer blockbusters, including early May’s $305 million Iron Man, until the October-December fourth-quarter frame.

“July and August are weaker than any other two months I can remember,” said Tom Paine, owner of Redmond, Wash.’s DVD Now chain. “Studios have the mindset they need to cram everything into the fourth quarter. That is despite our pleas that a good title can get prominently displayed at the front of any retailer with all of these wide open weeks.”

August does usher in a big batch of TV DVD titles, notably new seasons of Paramount Home Entertainment’s South Park (Aug. 12) and Dexter (Aug. 19); Fox’s Prison Break (Aug. 12); Warner’s Gossip Girl (Aug. 19) and One Tree Hill (Aug. 26); and Universal Studios Home Entertainment’s House (Aug. 19) and Heroes (Aug. 26).

Yet retailers have mixed expectations for the TV sets. They worry fans have lost interest in some of the shows, as they were hammered by production breaks imposed by the three-month screenwriters strike. The new Heroes set contains less than 10 episodes as the show's second season was severely cut by the strike.

“All of them had hiatuses. I don’t know if this wave of TV shows will be what we’re waiting for,” Newbury Comics buyer Ian Leshin said.

Virgin Megastores buyer Chris Anstey is more optimistic, believing that fans will love to finally watch these seasons on DVD with no interruptions.

“For shows that follow a serialized timeline, the fans’ frustrations are felt more during the disruption of the initial televised run,” said Anstey. “The DVD set gives them a chance to watch the show straight through.”

WaxWorks VideoWorks will provide summer relief by crafting posters that underscore how families can save money staying home with DVD rentals. The posters, to be mailed to retail clients this month, list a night out at the movies for a family of four at $58; the average cots of a tank of gas, $60; and three DVD rentals, $16.

“Now is the time to take advantage of these marketing opportunities,” WaxWorks president of video Kirk Kirkpatrick said. “Being where the economy is, people might not want to buy the DVD for $15.”

Kirkpatrick and Virgin’s Anstey are among those that believe retailers also can fight off summer blues by promoting smaller titles that were passed over by consumers when initially released in theaters and/or on DVD.

“We’re focusing more attention on projects that were personally produced by high-profile performers and filmmakers—DVDs that might have gone under the radar, but the support of this talent gives us the opportunity to arrange in-store appearances and special promotions to garner attention,” Anstey said.

July new releases, by week