Theatrical-to-DVD windows wider this year

PHYSICAL: Change might be seasonal, execs say

By Susanne Ault -- Video Business, 6/12/2009

JUNE 11 | PHYSICAL: Theatrical-to-DVD windows for the first half of 2009 are more than two weeks longer than they were early last year, a phenomenon industry execs are attributing to this year’s late Easter and the unusually strong box-office business.

For all theatrical titles released on or announced for DVD since January, the average window is 144 days, according to Rentrak research. That compares to 125 days for the same frame last year and 133 days for full-year 2008.

For theatrical titles that earned at least $10 million at the box office, the average window shrinks to 129 days, but that is still longer than the 120-day window in the first half of 2008 for the same type of films.

Traditionally, the subject of windows is a controversial one. Studios must walk a fine line between the competing interests of theaters, which want films to run as long as possible on their screens, and the retailers who want the DVDs on their shelves as fast as possible. Studio executives contacted for this story declined to comment publicly about the forces behind this year’s wider windows.

One widely held belief is that a number of studios simply waited for films to street around Easter this year, which fell three weeks later in 2009, on April 12, as opposed to March 23 in 2008.

“I don’t think there is a whole lot of change in how people are slating DVDs,” said one executive. “I think this really has something to do with seasonality.”

However, most of the April 7 releases (the closest Tuesday to Easter) came with relatively short windows, such as Walt Disney Studios Home Entertainment’s Bedtime Stories and Warner Home Video’s Yes Man at 103 and 111 days, respectively.

Another explanation is that certain films were granted longer theatrical berths because demand was high to see them on the big screen. Warner’s June 9 DVD/Blu-ray release Gran Torino, with its 179-day window, was a surprise box-office hit, grossing $148 million in the U.S.

This year also has ushered in increasing numbers of 3D films, which have generally proven popular on the big screen. Plus, 3D pictures earn studios and theaters higher ticket revenue than comparable 2D films, arguably helping them stay on the big screen longer.

A spokesman for trade organization National Assn. of Theater Owners said that although “no 3D movie has had a terribly short window,” many of these films’ big-screen runs are dependent on when a subsequent 3D movie is released. There are a limited number of 3D-capable screens, so one film's run typically ends when another 3D film comes along.

The window for 3D film Coraline, due on DVD/Blu-ray on July 21 from Universal Studios Home Entertainment, is a long 165 days. Lionsgate’s May 19 DVD/Blu-ray title My Bloody Valentine 3D, at 123 days, is relatively long for the studio. Many of its titles’ windows clock in at around 100 days or less.

One studio executive argued that “it’s not so much tied to the 3D of it all as it is how long of legs any given film has at the box office, whether it’s in 2D or 3D. We give a film every opportunity to extend its life in theaters, if there’s still a demand for it, before we choose a DVD street date.”

Studios insist they haven’t significantly altered their DVD slotting methods in 2009. The companies still look for those dates that will make titles successful.

“There is no change in a strategy for windows,” said one studio source. “We are just trying to provide the best opportunity to sell DVDs.”