May 18, 2005

Forget About the Box Office

(Filed under: Business)

It's all about the DVD. Theater releases and the big weekend sales figures we hear all the time from Hollywood mean squat. Less than 20% of Hollywood's profits come from theater releases.

The marketing involved in scoring big weekend numbers eats up most of the profits. In essence, Hollywood studios are buying the number one movie spot in theaters and waiting to cash in on home entertainment, which accounted for 82% of 2003 revenues.

Posted by kevin at May 18, 2005 8:56 AM

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