Culver Entertainment

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Culver Entertainment is a direct-to-DVD label of Sony Pictures Entertainment.

Sony Pictures Entertainment established Culver Entertainment to focus on developing and producing drama, comedy and animated series exclusively for DVD and international distribution. The first project under the Culver Entertainment banner was The Spectacular Spider-Man, which debuted on March 2008.[1]

The name Culver entertainment arises from Sony Studios location in Culver City, California. Culver entertainment was created with the intention of releasing television series and movies separate to those aired on their own network. Culver entertainment had an international focus and utilised Sony's international networks to be available to those outside the United States. Overseas expansion and awareness were necessary in this time due to the competitive nature of the entertainment industry.

History of Culver City[]

Culver City located in Los Angeles California has a historical relationship with the film and entertainment industry. Commonly referred to as 'The heart of screenland' Culver City became well recognised in the entertainment industry.[2] The emergence of entertainment culture dates back to 1910 when actors Harry H. Culver and son Thomas H. Ince recognised the potential of the land and established their film making careers in the city. Culver and father Thomas H. Ince renovated studios and began producing films in Culver City.[3] The city became renown for film making following Thomas H. Ince western films which were produced and shot in the city. Harry H. Culver began to capitalise the city. The artistic passion for film making of Harry H. Culver was the prominent factor for the city's nickname, 'The heart of screenland'. Harry H. Culver was an entrepreneur and in 1913 the city began to legitimise with the opening of various stores. This included the “Main Street”, which has businesses and stores either side. As Culver became to attract more citizens as permanent residents, Main Street became a social hub in the city.[4]

Movie studios of Culver City[]

Ince Triangle Studios Sign

Numerous movie studios were constructed in Culver City. These were either renovated or owned by Thomas and Harry. Ince Triangle studios was the first movie studio built by Thomas H. Ince constructed in 1915.[5] This foundational studio was renovated in 1919 and became known as Goldwyn Studios. Goldwyn Studios was largely advertised and promoted worldwide.[6] Its iconic sign was published in United States and British newspapers.

As Culver City established itself, back lots were converted into movie studios – expanding from the original Ince Triangle Studios. Other movie studios added were Metro-Goldwyn Mayer studios, Lorimar Studios, Columbia Studio and Sony Pictures Studios.[7] Smaller lots were situated adjacent to these movie studios which included production for things like cartoons. It was estimated that by the 1930s 60% of all Hollywood movies originated from culver city. There was also a proposal by a local writer to rename the city 'filmville'.[8]

Emergence of Culver Entertainment[]

Establishment of Direct-to-Video[]

In the late 1900s the impact of DVD was unknown. As demand for direct-to-video increased DVD players became the “fastest selling item in history of US consumer electronics market”.[9] A survey conducted in 1984 concluded that 67% of consumers believed a video recorder was the best way to view a film.[10] Multinational corporations such as Sony had the ability to form a label such as Culver Entertainment with the ability to produce film and television content and distribute it. The formation of Culver Entertainment gave Sony Studios larger market share in the film and entertainment industry which in the late 1900s which was worth billions. A concept known as 'Home Culture' emerged in the 1900s where consumers desired to view film and television conveniently from their home – shifting market dynamics in the entertainment industry and creating a need to direct-to-video labels such as Culver Entertainment.[11] In the 1930s consumers would attend the cinema at least once a week – the industry experienced exponential growth in this period. Multinational film corporations began to view the cinema and film platforms separately instead of a package. Due to this, they noticed trends in audience engagement across the different platforms they identified; cinema and television.[12] The engagement at the cinema was decreasing due to the concept of home culture. This created a new approach from companies to respond to consumer engagement in different ways. However, when new products and technological advancements emerged corporations such as Sony Pictures recognised the need for a direct-to-video label.

The collapse of the DVD industry[]

Sony's direct-to-video label, Culver Entertainment was a necessary establishment during the late 1900s in order to remain competitive in the film and entertainment industry. However, as technological advancements increased at rapid pace, the demand for direct-to-video diminished.[13]

Changes in consumer behaviour resulted in low demand, thus, we saw DVD sales peak in 2010 and they were projected to drop for the next six years at least.[14] Culver Entertainment as a label became bleak and direct-to-video was denounced old fashioned in an industry with advancing technology.[15] The film and entertainment market are highly susceptible to behavioural change in response to technology.[16] Thus, Culver Entertainment experience a large drop in profitability after 2004 due to imminent factors such as new products, growth in other associations, independent movies and different promotional tools.[17]

The rate of change in the film industry was progressively fast – eventually, phasing out the need to direct-to-video and labels such as Culver Entertainment.

Impacts of the great recession[]

The collapse of the DVD industry was simultaneous with the market recession of 2008.[18] Due to the severity of the consequences of this recession, it earned the name the 'Great recession'.[19] Both emerging and advanced economies suffered immensely. This included businesses across the United States, the film industry included. Many U.S companies including Sony Productions were forced to lay off staff due to increasing expenses and protection of investments.[20] Consumer confidence and spending fell drastically as citizens in the U.S began to lose their livelihoods.[21] Consumers began reducing spending on activities or luxury items due to decreases in disposable income. This consequently meant very few DVD sales. The great recession saw poverty rates exceed any figures seen before as it increases from 12.5 percent in 2007 to 15 percent in 2010.[22] In the previous years before the great recession DVD sales were at their peak reaching $16.5 billion, accounting for 64% of the U.S home video market in 2005[23] This is a result of consumers purchasing films being released on DVD over VHS.[24]

Simultaneously with the effects of the great recession, consumer purchasing behaviour changed. Consumers opted for on demand films. Streaming systems also became rapidly popular due to their convenience. 2007 to 2008 saw DVD sales drastically plummet by 26% as a result of the great recession. The great recession in conjunction with changing consumer needs for new technological advancements lead to the collapse of DVD sales in 2008.[25]

Establishment of Blu-ray[]

The establishment of the Blu-ray disc was instrumental for quality and high-definition films. The technology has disc data storage used to present high-definition videos for home entertainment. Blu-ray is the third disc software following direct to video (DVD) discs.[26] Blu-ray was a technological advancement which made the need for direct to video obsolete. Televisions were also evolving to be of higher definition with greater resolution than previous televisions. This made Blu-ray Discs and high definition televisions more compatible with each other. The Blu-ray disk has a diameter of 4.75 inches and motion picture data is encoded inside the disc. What makes Blu-ray unique is the blue light laser which reads the data. The laser technology allows the data on the disc to be read at a faster speed than DVDs.[27]

At this time, household televisions were also evolving. Televisions were being produced which allowed far greater resolution than before. A high definition television enabled resolution of pictures to be 1,920 by 1,080 pixels[28] which exceeds the amount of previous tradition televisions which only had 720 by 480 pixels.

As a result of these technological advancements, the profitability and sales of direct to video DVDs fell significantly decreasing by 86% from 2008,[29] whilst the sales of Blu-ray escalating reaching $2.37 billion in 2013.[30] However, in recent years the emergence of platforms such as Netflix and Hulu have had the same severe impact on Blu-ray.

Culver Entertainment after 2008[]

The film and entertainment industry experienced an industrywide collapse of direct-to-video sales and consequently many employees were made redundant and large cuts were made to the business model. Culver Entertainment experienced significant change in personnel and managing styles. Influential change came from the top of Sony Pictures where cochairs Amy Pascal and Michael Lynton changed their leadership styles to reflect a high-performance culture from employees.[31] This inevitably allowed Sony Pictures and Culver Entertainment to educate fewer employees to being more efficient.

Competitors[]

Disney DVD[]

One of the largest competitors of Sony productions and consequently Culver Entertainment was Walt Disney. Walt Disney studios established a direct to video label Disney DVD which was released in 1997. Their product categories differed by having DVDs which were classified as platinum edition, diamond edition or signature collection. The platinum edition DVDs were the first direct to video motion pictures to be released. The company also later established Disney Blu-ray which were high-definition movies. The company's ability to sustain customer loyalty, maintain brand image and compete with technological advancements in the film industry previously and to the present day makes theme a strong competitor of both Sony Pictures and Culver Entertainment.

Walt Disney studios become highly competitive with Culver Entertainment due to their acquisition of Pixar in 2006 before the collapse of the direct to video industry. The acquisition of Pixar allowed Walt Disney to sustain competitive advantage through development of technology systems. One being the Computer Animation Production System also referred to as the CAPS system.[32] This software was crucial in providing consumers with 2D software which created coloured and drawn animations. Walt Disney was the first influential figure to give real meaning to animation as he drove the research and development into three dimensional affects.[33]

Warner Premier[]

Another prominent competitor of Culver Entertainment was Warner Brother's direct to video label Warner Premier. The direct to video label was established in 2006 in order to compete with existing competitors such as Walt Disney and Sony Pictures. The label was also established in order to profit off the technology trend that was direct to video to enable consumers to view motion pictures from their own home.[34] Warner Premier released their first direct to video motion picture named The Dukes of Hazzard: The beginning. Similar to Culver Entertainment – when the direct-to-video market collapse in 2008, Warner Premier was shut down. In accordance to the drastic loss in sales, and the need for direct-to-video motion pictures being redundant Warner Brothers announced the closure of the company.[35] In a statement released to the press, the company announced that because of the declining direct to video market. The competing label also experienced challenges in adequately financing their employees due to the significant drop in DVD sales.[36]

Notes and references[]

  1. ^ "Sony drives new disc biz". Variety
  2. ^ Cerra, J. L. (2004). Culver City . Arcadia Publishing .
  3. ^ Cerra, J. L. (2004). Culver City . Arcadia Publishing .
  4. ^ Cerra, J. L. (2004). Culver City . Arcadia Publishing .
  5. ^ Cerra, J. L. (2004). Culver City . Arcadia Publishing.
  6. ^ Cerra, J. L. & Wanamaker, M. (2011). Movie Studios of Culver City. Arcadia Publishing.
  7. ^ Cerra, J. L. & Wanamaker, M. (2011). Movie Studios of Culver City. Arcadia Publishing.
  8. ^ Cerra, J. L. & Wanamaker, M. (2011). Movie Studios of Culver City. Arcadia Publishing.
  9. ^ Cunningham, S., Silver, J., & McDonnell, J. (2010). Rates of change: Online distribution as disruptive technology in the film industry. Sage Journals.
  10. ^ Sanjek, D. (1995). Home Alone: The Phenomenon of Direct-to-Video. Cinéaste, 98-100.
  11. ^ Sanjek, D. (1995). Home Alone: The Phenomenon of Direct-to-Video. Cinéaste, 98-100
  12. ^ Cunningham, S., Silver, J., & McDonnell, J. (2010). Rates of change: Online distribution as disruptive technology in the film industry. Sage Journals.
  13. ^ Waldfogel, J. (2017). Cinematic Explosion: New Products, Unpredictabilty and Realized Quality in the Digital Era. The Journal of Industrial Economics.
  14. ^ Bennett, J. & Brown, T. (2008). Film and Television After DVD. Philadelphia: Routledge.
  15. ^ Waldfogel, J. (2017). Cinematic Explosion: New Products, Unpredictabilty and Realized Quality in the Digital Era. The Journal of Industrial Economics.
  16. ^ Cunningham, S., Silver, J., & McDonnell, J. (2010). Rates of change: Online distribution as disruptive technology in the film industry. Sage Journals.
  17. ^ Bennett, J. & Brown, T. (2008). Film and Television After DVD. Philadelphia: Routledge.
  18. ^ Kose, M. A., & Teronnes , M. (2015). Collapse and Revival . International Monetary Fund.
  19. ^ Kose, M. A., & Teronnes , M. (2015). Collapse and Revival . International Monetary Fund.
  20. ^ Duigan, B. (2019, September 26). Britannica. Retrieved from Great recession Economics (2007-2009): https://www.britannica.com/topic/great-recession
  21. ^ Duigan, B. (2019, September 26). Britannica. Retrieved from Great recession Economics (2007-2009): https://www.britannica.com/topic/great-recession
  22. ^ Duigan, B. (2019, September 26). Britannica. Retrieved from Great recession Economics (2007-2009): https://www.britannica.com/topic/great-recession
  23. ^ Whitten, S. (2019, November 8). The death of the DVD: Why sales dropped more than 86% in 13 years. Retrieved from CNBC: https://www.cnbc.com/2019/11/08/the-death-of-the-dvd-why-sales-dropped-more-than-86percent-in-13-years.html
  24. ^ Whitten, S. (2019, November 8). The death of the DVD: Why sales dropped more than 86% in 13 years. Retrieved from CNBC: https://www.cnbc.com/2019/11/08/the-death-of-the-dvd-why-sales-dropped-more-than-86percent-in-13-years.html
  25. ^ Whitten, S. (2019, November 8). The death of the DVD: Why sales dropped more than 86% in 13 years. Retrieved from CNBC: https://www.cnbc.com/2019/11/08/the-death-of-the-dvd-why-sales-dropped-more-than-86percent-in-13-years.html
  26. ^ The Editors of Encyclopedia Britannica. (2019, June 10). Blu-ray. Retrieved from Britannica: https://www.britannica.com/technology/Blu-ray
  27. ^ The Editors of Encyclopedia Britannica. (2019, June 10). Blu-ray. Retrieved from Britannica: https://www.britannica.com/technology/Blu-ray
  28. ^ The Editors of Encyclopedia Britannica. (2019, June 10). Blu-ray. Retrieved from Britannica: https://www.britannica.com/technology/Blu-ray
  29. ^ Whitten, S. (2019, November 8). The death of the DVD: Why sales dropped more than 86% in 13 years. Retrieved from CNBC: https://www.cnbc.com/2019/11/08/the-death-of-the-dvd-why-sales-dropped-more-than-86percent-in-13-years.html
  30. ^ Whitten, S. (2019, November 8). The death of the DVD: Why sales dropped more than 86% in 13 years. Retrieved from CNBC: https://www.cnbc.com/2019/11/08/the-death-of-the-dvd-why-sales-dropped-more-than-86percent-in-13-years.html
  31. ^ Shwartz, T. (2010, June). The Productivity Paradox: How Sony Pictures Gets More Out of People by Demanding Less. Harvard Business Review.
  32. ^ OpenMind BBVA. (2016, March 10). BBVAOpenMind. Retrieved from 7 Advances in Technology that have revolutionized the film industry: https://www.bbvaopenmind.com/en/technology/innovation/7-advances-in-technology-that-have-revolutionized-the-film-industry/
  33. ^ OpenMind BBVA. (2016, March 10). BBVAOpenMind. Retrieved from 7 Advances in Technology that have revolutionized the film industry: https://www.bbvaopenmind.com/en/technology/innovation/7-advances-in-technology-that-have-revolutionized-the-film-industry/
  34. ^ Han, A. (2012, August 14 ). Warner Bros. shuts down Direct-To-Video label Warner Premier . Retrieved from Film Blogging the real world : https://www.slashfilm.com/warner-bros-shuts-down-direct-to-video-label-warner-premiere/
  35. ^ Han, A. (2012, August 14 ). Warner Bros. shuts down Direct-To-Video label Warner Premier . Retrieved from Film Blogging the real world : https://www.slashfilm.com/warner-bros-shuts-down-direct-to-video-label-warner-premiere/
  36. ^ Han, A. (2012, August 14 ). Warner Bros. shuts down Direct-To-Video label Warner Premier . Retrieved from Film Blogging the real world : https://www.slashfilm.com/warner-bros-shuts-down-direct-to-video-label-warner-premiere/
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