Warner Home Video testing cheap pricing to compete with Piracy
Warner Home Video is working on a new strategy to compete with the levels of piracy in countries like China. They have now begun trial sales in China of a movie DVD priced at just Rmb12.
This comes to just around USD 1.50. However, this move might result in a fight back by the consumer groups in their primary markets like the United States and Europe where consumers pay $20-$30 for a recently released film on DVD.
Impressively, this is the first time any major movie studio is taking such a drastic step to see if they can curb piracy by offering products are relatively miniscule prices. They are shipping the DVD of the movie in a “simple pack” edition, which comes in a cardboard folder rather than the standard DVD plastic box.
Christine Hu, CAV Warner public relations manager said in a statement: “This is a first step to see if the consumer can accept this product at this price.â€ However, they are waiting for sometime to come to a conclusion on whether this step is in the right direction.