Previous Next
Close

Making money on laggards- vhs

December 22, 2008

There’s a great story in the LA Times about a company which bucked the trends. When everyone was moving to DVD, they brought VHS tapes and still found buyers.

“The last major Hollywood movie to be released on VHS was “A History of
Violence” in 2006. By that point major retailers such as Best Buy and
Wal-Mart were already well on their way to evicting all the VHS tapes
from their shelves so the valuable real estate could go to the sleeker
and smaller DVDs and, in more recent seasons, the latest upstart,
Blu-ray discs. Kugler ended up buying back as much VHS inventory as he
could from retailers, distributors and studios; he then sold more than
4 million VHS videotapes over the last two years.

Those tapes went to bargain-basement chains such as Dollar Tree, Dollar
General and Family Dollar, and Kugler’s network of mom-and-pop clients
and regional outlets, such as the Gabriel Bros. Stores in West Virginia
or the Five Below chain in Pennsylvania.”

Proof is ever we needed it, that trends take some time to die and that it takes a long time for technology to fully saturate.

While we all crave the new, remember there are many that can’t access it.

Posted by Ed Cotton

Related Articles

Facebook isn’t making any money!!
Most commentators are slamming social media...

Tags

dvd
tape
technology
vhs
video
About Influx

Influx Insights is the blog of BSSP's Influx Strategic Consulting Division. Up and running since 2004, the blog covers branding and the related areas of trends and technology.

Butler, Shine, Stern & Partners. Copyright 2011. All Rights Reserved. | Contact Us | Privacy Policy
RSS | Facebook | Twitter | LinkedIn | Translate