Another Warner executive has joined company CEO Jeff Bewkes in praising the advent of 28-day delay windows on new releases for Redbox and Netflix. Warner CFO John Martin, in comments made at a Morgan Stanley conference today, claims that his studio has seen a 15% boost in margin on delayed titles versus non-delayed ones.
“Putting in a window for Netflix and Redbox, we’re convinced, was helpful and the right thing for us . . . We are currently evaluating the window and economics we are getting for that window. Certainly having the window is better than not having the window.”
Martin also commented that he believes the industry is “coalescing” around the idea of premium VOD, another concept first adopted by Warner. According to Martin:
“For us, digital transactions are better than physical transactions . . . You try to advantage the channels where you are earning the most money,”
Warner has already hinted that it doesn’t feel like 28 days is long enough of a delay window, and Martin’s comments about “evaluating” windows certainly back that up.
Is it a “when” rather than an “if” with regards to Warner lengthening its delays on new title deliveries to Redbox and Netflix? Why do you think that so many studio execs are convinced that consumers are willing to drop $25 to view a movie at home on or right after its theatrical release?
(via Home Media Magazine)