Why Plummeting DVD Sales Forced Hollywood to Play It Safe
I saw an interview with Matt Damon a while back, where he talked about how plummeting DVD sales contributed to the collapse of the movie industry as we knew it.
Let’s be real…Hollywood and movies just aren’t the same anymore.
Creativity seems like a thing of the past.
Nowadays, it feels like 90% of movies are either remakes or low-quality productions.
Studios are chasing major box office hits rather than focusing on building a timeless work of art.
According to Matt Damon, the decline began when studios stopped relying on DVDs for profits.
Back in the day, it didn’t matter if a movie broke even or even lost money in theaters because DVD sales could make up the difference and often turn a film profitable.
This allowed studios to take risks and focus on creating art instead of aiming for mainstream success from the start.
But then, streaming came along and changed everything.
How Streaming Changed the Game
When streaming was introduced, DVD sales plummeted.
Once that revenue stream disappeared, studios became desperate.
Suddenly, they had to make a profit at the box office, or the project was deemed a failure.
It’s hard to find a hit idea.
With this pressure, studios could no longer afford to experiment.
Instead, they played it safe.
Remaking old classics, launching endless sequels, or reimagining popular franchises.
We got the 10th Spider-Man reboot, the “live-action” Lion King, and even a Joker musical.
Creativity took a backseat to repetition, and slowly, the movie industry became a shadow of its former self.
Is Hollywood Forever Destroyed?
Despite the decline in storytelling quality, there are glimmers of hope.
A few directors have managed to adapt to the new landscape.
Take Martin Scorsese, for example.
He’s an artist who balances creating meaningful cinema with box office success.
Scorsese isn’t chasing trends.
He’s making art because he loves the craft.
Studios should prioritize hiring filmmakers like him instead of chasing directors who are only focused on delivering a quick hit.
The best strategy for studios?
Put seasoned directors (true artists) in charge and let them create.
Sure, experimentation is risky, but it’s essential for growth.
Without it, audiences will tire of endless remakes.
Disney is a cautionary tale.
Outsourcing their writing teams to third-party companies and relying on reboots have hurt their brand.
Audiences crave originality, and studios need to rediscover how to deliver it.
Are DVDs Ever Coming Back?
As a ‘90s kid, I’ll admit I miss the nostalgia of DVDs.
Waiting in line at Blockbuster, popping a disc into the player…it was an experience.
But nostalgia isn’t a business strategy.
While there’s a niche market for recreating the ‘90s vibe, DVDs aren’t coming back.
The future lies in finding creative ways to work with streaming services to replace the revenue DVDs once provided.
One idea?
Release Part 1 of a movie in theaters and Part 2 exclusively on streaming platforms.
It might sound crazy now, but strategies like this could bridge the gap between theaters and streaming.
The two aren’t enemies.
They need to collaborate.
What This Means for You
This shift in Hollywood serves as a reminder for all industries:
- Change is inevitable.
One day, a disruption could shake your business, forcing you to adapt or risk fading away.
For example, in 2021, a popular YouTuber in the Red Pill space was making $600K per month.
Then, overnight, YouTube demonetized her channel, wiping out 95% of her income.
Similarly, Ali Abdaal, a top Skillshare creator, lost 70% of his revenue after the platform introduced new rules.
The lesson?
You need to stay alert and adaptable.
Industries evolve, and setbacks are part of the game.
The Way Forward for Hollywood
Here’s what studios need to do to thrive:
- Empower artists. Put directors with a passion for filmmaking in charge. Don’t chase instant box office success.
- Find creative solutions. Experiment with new revenue models, whether it’s selling merchandise, splitting releases between theaters and streaming, or something entirely new.
- Embrace evolution. Understand that every industry faces challenges. Downturns are temporary. Resilience and creativity are key to bouncing back.
Film as an art form isn’t going anywhere.
The industry just needs to adjust.
So, let’s root for a Hollywood comeback and continue to push for innovation.
For more storytelling insights, be sure to check out the Art & Science of Storytelling!
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