Digital Video Disc (DVD) distribution is no longer a linear path from the film studio to the distribution company to the retail store and finally to the consumer. Today, DVD distribution happens in a number of ways. Distribution can come from the distributor directly to the consumer, from the production company to the consumer, from the film studio to the consumer or any number of distribution methods. Get in the mix. Start a DVD distribution company.
DVD Distribution Company Start-Up Guide
Pick a niche in the DVD market that you enjoy working in or is not being served. For example, choose to distribute DVDs made for the elderly or DVDs for home exercise courses. Visit multiple video stores. Talk to patrons about their favorite rentals.
Write an operations manual. Tracy MacNicoll of the Edward Lowe Foundation writes, “An operations manual is a comprehensive documentation of how your company functions.” Describe how you will perform the daily task for the business. List tasks in order of importance. Determine how many people you will need to hire to help you perform those tasks.
Register your business by applying for a business license. Download and fill out applications on line at the State Department of Licensing website or the county Clerk’s website. Pay the application fee, which can be as little as $50 or as much as $500.
Generate interest with private investors. Hire a professional business writer. Put a formal business plan together. Search for venture capital firms that can get you in contact with investors. Submit your business plan and ask for financial assistance.
Find warehouse space that needs a little work to save on expenses. Calculate renovation costs to make sure you don’t end up paying more for a fixer-upper than you would have for a location that was ready to move into.
Hire a contractor to get your warehouse ready to store DVDs. Renovate one section of the warehouse for office space and file storage.
Hire a web design firm to build an interactive website. Customers are increasingly getting used to viewing their movies on line thanks to websites like Hulu, Netflix and CinemaNow. Create sections on your website for direct-to-consumer distribution outlets and distributor to retailer outlets.
Search the film festival circuit to find DVD titles. Wired Magazine writer Erin Biba describes in an article how Netflix is expanding its reach into the DVD distribution market by acquiring rights to indie films right from the film festivals.
Network with video production company owners. Print business cards that you can pass out at film festivals and events related to the niche for distribution that you have chosen.
Network with DVD retailers. Create a monthly newsletter/catalogue that you can send to retail buyers to show them your increasing inventory.
- Make a Fortune Selling DVD's on the Internet: Start Making Money Now!; Michael S. Toney, MBA; 2009
- a DVD-r disc image by wayne ruston from Fotolia.com