Factoid: Video on demand “day and date” sales--when content is available on the same release day as the same content released on DVD--has gross profit margins of 60 to 70 percent. DVD sales sold on the same "day and date" window have margins of 20 to 30 percent."
Keep that in mind as more and more experimentation with highly-popular movie and TV programming occurs. Even though gross revenue might be lower for digital delivery, so are costs. And the margin for digital products beats physical delivery by a three to one ratio.
Thursday, July 10, 2008
Margin Impact: Online Vs. DVD Distribution
Gary Kim was cited as a global "Power Mobile Influencer" by Forbes, ranked second in the world for coverage of the mobile business, and as a "top 10" telecom analyst. He is a member of Mensa, the international organization for people with IQs in the top two percent.
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