New Wholesale Distribution Pacts Provide Hannover House with Direct Access to Major Retailers
Oct 08, 2014
OTC Disclosure & News ServiceBentonville, AR -
Independent entertainment distributor Hannover House, Inc., (OTC:
HHSE) has entered into wholesale distribution agreements that will provide the
company with more direct access to major retailers including Target Stores, Best
Buy, SAM's Clubs, Costco, K-Mart and Barnes & Noble. The wholesale relationships, which were
pursued and implemented by Hannover House and Medallion Releasing V.P. of Sales,
Tom Sims, will provide greater opportunities to merchandise titles and to
participate in retailer promotions, the company
said.
Previously, placement of Hannover House DVD and Blu-Ray titles into
these accounts was channeled through a network of agents and brokers, resulting
in only occasional success. The new
structure with direct-vendor wholesalers provides a more efficient conduit to
these retail shelves.
Hannover House DVD titles have enjoyed tremendous success through
placement at Walmart Stores over the past twelve years since the company added
home video products to its publishing line.
Redbox, Netflix, Allegro Music and wholesalers servicing schools and
libraries have comprised most of the balance of home video sales for Hannover
House until recently. The addition of
Tom Sims to direct sales activities has enabled the company to open
relationships with a wide range of wholesalers and retailers that were
previously considered placement challenges.
Other accounts added recently by Hannover House and Medallion include
Family Video, Harps Foods and Hastings
Entertainment.
"Wal-Mart represents nearly half of all the home video sales in the
U.S.A.," said Hannover House C.E.O. Eric Parkinson. "But their national market-share for sales of
independent movies, comparable to many titles in our catalog and schedule, can
often drop to under thirty percent when these other retailers step up with
support. Tom has done a superb job of
opening new wholesale and retail channels for titles being released by Hannover
House and Medallion Releasing, and this will be evidenced by our growing
revenues," Parkinson concluded.
Prior to joining the company in June, Tom Sims had worked for
thirteen years as the Wal-Mart video buyer for Anderson Merchandisers, and later
established multi-studio sales ventures for Allegro Distribution and Vivendi /
Universal Music Group. The formation of
Medallion Releasing is designed to replicate the successes of the later two
ventures, by providing an efficient sales pipeline for independent home video
labels to reach major accounts.
Hannover House is a full-service entertainment company, active in
all aspects of the industry. In addition
to the company's home video distribution activities, Hannover is expanding its
theatrical release slate, beginning with the November 7 nationwide launch of "On
Any Sunday: The Next Chapter" to over 250 theatres, in a partnership with
Redbull Media House, North America, the film division of the Austrian beverage
brand. The company recently launched an
international sales division, Medallion International Pictures, and has added
e-books to its established book-publishing activities. Hannover House is traded on the OTC Markets
under the ticker symbol HHSE, and has been profitable for each of the eighteen
calendar quarters since becoming publicly traded in January,
2010.
SAFE
HARBOR STATEMENT
This press release may contain certain forward-looking statements
within the meaning of Sections 27A & 21E of the amended Securities and
Exchange Acts of 1933-34, which are intended to be covered by the safe harbors
created thereby. Although the company believes that the assumptions underlying
the forward-looking statements contained herein are reasonable, there can be no
assurance that these statements included in this press release will prove
accurate.
