Watch for a newswire release this afternoon covering a long-term agreement signed between Hannover House and VUDU (the Walmart-owned streaming site). Initial release slate includes 20 catalog titles and 20 new releases (of which ten have yet to be publicly announced outside of the Non-Disclosure status between Hannover House and VUDU).
As Video-On-Demand continues to grow (and in some instances, at the expense of traditional home video "packaged goods"), the importance of aligning Hannover House to these major players is clear. Beginning in January, all Hannover House DVD and Blu-Ray products sold into retail placement at Walmart locations, will also be available (day-and-date) with VUDU for streaming and or / electronic purchase ("digital download"). We are especially pleased to be one of only six indie studios selected for direct status with VUDU, which is based in large part to the company's current successes with packaged goods at Walmart, as well as the historic standing between the companies.
Over the next few weeks, watch for other strategic announcements between Hannover House and major V.O.D. portals.
From a revenue and return-on-investment basis, sales generated through Video-On-Demand sites (such as VUDU and VODwiz) are high-margin and low-cost pursuits. Traditional home video packaged goods require manufacturing, shipping and inventory storage, which diminish the R.O.I. when compared to V.O.D. sales.