VOD Release Windows

Here’s the most recent post from Jason Brubaker at FilmmakingStuff.com:

VOD Release Windows

Whenever someone mentions VOD release windows, I am instantly transported back to a time before video on demand.

As a kid, I remember one night when my mom and dad took me to see the original Karate Kid. After the movie, I was so emotionally charged that I distinctly remember the ride home. I was in the back of my dad’s cherry red MGB with the top down and I was slicing the hot summer air with a poorly made, toy Viking sword.

To this day, I’m not sure why I had a toy Viking sword or why my mom and dad let me to sit in the back of an MGB. If you ever rode in an MGB, you know that there isn’t actually a back seat, or a seat-belt – Just a compartment that holds the battery. But those were different times. We were living in a small town in rural Pennsylvania. And if I wanted to see Karate Kid on video, I had to wait…

I hope this doesn’t sound too hillbilly, but where I’m from, movies were a special treat. Outside of actually going to the movie theater, we only had Rhyne’s Video. It was one of the first video stores the area. And they didn’t have Karate Kid. I know this because I repeatedly asked the owner when he would have it. “Any week now.”

Unbeknownst to me, my frustration was the result of Hollywood’s movie release windows. In a traditional movie release sequence, a movie is first available in movie theaters, followed by DVD and then VOD. During this trek deals had to be made for territories all over the world. Subtitles and language dubs had to be created. And finally, VHS tapes had to be manufactured and shipped. The movie may also end up on airplanes and other ancillary outlets. And eventually, the movie may make it’s way to free TV.

Eventually Karate Kid made it’s way to my local video store in small-town Pennsylvania  and all was well in the universe.

When DVD replaced VHS tapes, things felt a little better. By then big box video stores like Blockbuster had replaced Rhyne’s video. And these conglomerates were good at keeping customers tuned into their “coming soon” announcements, which replaced frustration with anticipation. But we still had to wait…

VOD Release Windows

Fast forward to today. The DVD market is on the demise and most video stores are out of business. With VOD release windows, You no longer need to wait for a physical DVD. Between cable, iTunes, Amazon, Netflix and Chill, the time between release windows has diminished. Movies go from the theaters to your living room in record time. And these buying habits have had paradigm shifting consequences in the marketplace.

As a result of these changes, many traditional DVD distributors have jumped onto the VOD bandwagon hoping to recoup lost revenues. But the truth is, film distribution has become a commodity. There are now a gazillion platforms that allow you to get your movie seen and selling. And even more sobering for the old guard is the fact many of these platforms are accessible without a middle-man. This means traditional distributors have had to come up with interesting ways to secure your VOD rights.

The pitch usually goes like this:

VOD Aggregator
Give us your movie for 15 years.

New Filmmaker
Will you pay us an minimal guarantee?

VOD Aggregator
No. But we will get you on Amazon.

New Filmmaker
Some guy named Jason Brubaker said I can get my own movie onto Amazon.

VOD Aggregator
Well, I know the guy there and I can ask him to give your movie special placement. Besides, we have been in business for 250 years. So we have more experience to help you.

New Filmmaker
Wait… VOD wasn’t around 250 years ago. And besides, I have thousands of people  on my mailing list asking to buy the movie. Wouldn’t it make sense to sell my movie directly to them?

VOD Aggregator
Yes. But please don’t start selling your movie until you and I make a deal. After that you are free to sell your movie to your list. In fact, we encourage you to start marketing and selling your movie. But only after we make a deal. You wouldn’t want to shatter your VOD release windows, would you?

To be clear, not all VOD Distributors and aggregators are bad. Go with the right company and they will serve as an equal partner. And if you’d like some ideas on where to start, send me an email.

Unfortunately, the good guys make up the minority. Go to any film market and I guarantee you will meet a bunch of bottom feeding jerks touting this pitch, over and again. Here is another video I did for Film Courage that provides tips for getting your movie into the popular marketplaces.

VOD Release Windows

Because finding a great distribution deal is rare, many filmmakers choose to create their own marketing, sales and distribution plan. And if you’ve been reading Filmmaking Stuff for any length of time, you know I LOVE direct distribution. But if you choose to go direct to your audience, it’s important to understand that Video on Demand is comprised of several distinct categories.

Transactional Video On Demand

With Transactional VOD, people can only watch your movie after they make a payment. Some of the platforms such as Amazon and iTunes have made transactions easy. They keep customer credit card information on file, which means prospective viewers are only one or two clicks away from watching your movie.

Popular transactional platforms for filmmakers are Amazon, iTunes. Additionally, web based platforms like The Watchbox, Vimeo and Chill also fit in this category.

Subscription Video On Demand

Subscription Video On Demand (SVOD) is a convenient model that allows subscribers to sign up for a service, pay a monthly fee and in exchange, have access to unlimited programs. This model is great for consumers because, well, they can watch anything.

As a filmmaker getting your title onto a subscription based platform could be a great play for getting your title discovered. As a possible downside, unless you strike an awesome licensing deal you may be a little disheartened if your title gets a gazillion views and you end up with very little money.

Advertisement Supported Video On Demand

Many platforms make money by placing targeted advertising in front of the viewer. This type of model can be win-win, as many ad supported platforms provide the filmmaker with a portion of the ad revenue. The viewer gets to watch your movie without making a transaction.

In the United States, Hulu has gained popularity as a great way to watch popular television shows and movies on demand. Unlike transactional platforms, Hulu makes their money by peppering content with advertisements. And assuming they acquire your title, Hulu will pay you a portion of the advertising revenue.

Embeddable Player for Filmmakers

While best practices emphasize the importance of getting your movies seen in selling in the popular video on demand marketplaces, there are many filmmakers who have strong audience engagement and heavy, targeted internet traffic. As a result, it makes a lot of sense for these filmmakers to sell directly to their audiences.

Leveraging VOD Release Windows

Moving into the marketplace without a comprehensive release strategy could have unintended consequences. So there are some best practices you should consider when strategizing your VOD release windows.

Most distribution professionals agree that that you should explore your opportunities in the following order:

  1. Transactional VOD
  2. Cable VOD
  3. Subscription VOD
  4. Ad Supported VOD
  5. Free VOD

The reason for this VOD Release Windows sequence is pretty simple. If you make your movie available on Hulu and Netflix first, will anybody bother to actually pay for it? Worse, will a transactional platform actually take your movie if it’s already free somewhere else?

There are exceptions to this rule. So you will want to make sure you fully evaluate each option before taking action. And if you like this sort of filmmaking stuff, you’ll love the some of the professional filmmaking tools found here. 

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