Supermarket video's future has never been brighter. Growth continues. There is commitment from the top. New technologies are expanding video department horizons. Video games are boosting rental revenues, and sell-through titles are hot. Where does the industry go from here? Below is a list of the critical issues discussed as part of SN's second video roundtable.
market video and how this affects the future of in-home delivery technologies.
DOVE SEAL Use of the Dove seal of approval appears to be gaining favor in the supermarket retail channel. However, retailers question whether the Dove program takes away the responsibility of retailers to provide ratings information.
GAMES After new releases, games have become the second most important video segment at supermarkets. In the rapidly growing and technically driven games market, what is the potential of games in supermarket rental and sell-through?
SELL-THROUGH Profitability is the main issue on big sell-through titles, especially when competing with the mass merchandisers. This fall, retailers look forward to a glut of major theatrical releases to boost the sell-through revenues.
CROSS-MERCHANDISING Promotional packages put together by the studios and tied in with consumer product companies sound good in theory, but do they work? Getting the most bang out of promotional funds is the hot topic of discussion here.
PILFERAGE Videocassettes have a high perception of value attached to them, making them subject to pilferage. Taking security measures without impeding video sales is a challenge for retailers.
ENTERTAINMENT CENTER Products like CD-ROM, computer software, audio books and new generations of video games will push supermarkets into even broader areas, beyond the entertainment center into the information center.
LOCATION Video departments placed up front at a supermarket can help assure the success of the department, but that is not the only criterion.
TRADE TALK Standardization and working as a partner with the studios and distributors are key to streamlining important policy issues such as handling product returns and obtaining promotional funds.