In the recent year, I found more and more Chinese movies uses the approach to issue DVD the same time as the movie. By “issue DVD the same time”, I mean when the movie hits theater, it can also be purchased on DVD in super markets at pretty cheap price. This is a new model that does not happen in most countries.
It works this way. When there is major release of a Chinese movie in theater, you can buy the DVD (not-pirated) in super market, department store, and other channel.
Their price is also low. For example, the newly released movie costs 15 RMB (2 USD). The same pirated DVD are 5 RMB – 8 RMB. In this case, most people still like to buy the genuine version of the DVD.
Also, the distributors are fighting with pirated DVD on timing. Some issue their DVD along with the film, so for many people, they have the choice to either buy DVD (genuine) or go to theater.
According to a report, these genuine DVD sell millions of copies and these money flows back to the movie maker.
Although these DVD are very cheap, they have many advertisement. On the cover, back and inner page of the package, there are many printed advertisement. Inside the movie, people still need to watch about 5 minutes of TV-commercial (which you cannot skip). The advertisement supported distributing model is also interesting.
I have a feeling that on this land, there are many new models to be tested. It may be the future of the audio-visual industry.
Maybe I am wrong…