Chapter 207: The Age of Video Discs
"Don't want 10,000, don't want 18,000, just 2998 yuan, Xinfei VCD to take home...... Xinfei VCD, your private home theater. Pen @ fun @ pavilion wWw. ļ½ļ½ļ½Uļ½Eć info "Huo Yuanjia", "Ma Yongzhen", "Happy Ghost", "4WD Heroes" A large number of classic movies, TV series, and animation VCD discs are available for you to buy, watch anytime, anywhere, and no longer need to wait for the TV station's program time!"
"Xinfei VCD, movies, TV series, animation, karaoke, aerobics...... Building a Colorful Family Life ......"
From now until June 30, you can buy a VCD player and get 5 genuine movies or 1 TV series CD. ā
The VCD debuted in Hong Kong, and with the massive advertising campaign of Star TV, thousands of buyers reached every day.
After a large number of families bought VCDs, the sales of VCD discs also rose rapidly.
Compared with the 10,000 yuan video recorder, which is equivalent to the income level of ordinary people in Hong Kong for half a year to a year, under such a high threshold, the video recorder has always been a niche toy. At present, there are no more than 100,000 households in Hong Kong that own video recorders, and even if there are only 100,000 users, it supports the business of a large number of video rental shops in Hong Kong. The video tape rental business is no less than 40 or 50 million yuan per month, which is roughly the same as the box office income of the cinema chain.
The cheapness of VCDs has caused many people to buy VCD discs directly, instead of renting discs.
With the rapid rise of the VCD market, the first to benefit is naturally Xingchen TV. At present, Xingchen TV is sorting out the previous high-quality program resources, making the stock of copyrights into VCDs, and quickly converting them into profits.
At present, Xingchen TV, which has transformed into a copyrighted content business, has strengthened copyright cooperation with TV stations around the world, coupled with the sales of VCD discs, and its financial situation has also improved rapidly. In less than a year since it was acquired, it has achieved a turnaround, which is undoubtedly a great miracle! Of course, this miracle is not obtained by the traditional mode of operation, but through technological innovation, and other peers who want to imitate it cannot learn it!
Of course, other film and television copyright agencies want to make their own films and television into VCD discs, and Xinfei Electronics Company is also very welcome. However, at present, a large number of patents for CD and VCD discs are monopolized by Xinfei Electronics Company. For VCD discs, Xinfei Electronics will charge a patent fee of HK$1 per CD or VCD.
If the production of the video disc is packaged to Xinfei Electronics Company, then the minimum production cost is 10,000 yuan. For mass production of CD discs, the cost of each disc is 3 Hong Kong dollars (including patent fees and foundry fees).
The most film and television companies in Hong Kong are the most, seeing that VCD is so easy to make money, so a large number of film and television companies in Hong Kong began to line up and send orders to Xinfei Electronics Company, so that Xinfei Electronics Company can provide one-stop service and make its film and television content into VCD.
Of course, the newly started film and television entertainment company also said that it would buy out the copyright of various film and television video products (including videotapes, VCDs and discs of various formats). As long as a movie has been released in Hong Kong, even if it is a bad movie, you can get a buyout at the lowest price of 10,000 yuan.
If it is a film and television drama above the level, then the 500,000 copyright buyout price is easy to negotiate. As for some film and television copyrights that are equivalent to classics and big hits, a higher copyright buyout price can be given.
Some film and television companies that lack funds are ready to sell their old copyrights and invest in new films in exchange for money, so they naturally choose to get cash faster and sell the copyrights to new start-up film and television companies.
However, film and television giants like Golden Harvest and New Art City began to try to cooperate soon after the rise of the VCD market. But instead of selling the copyright, he chose to pay for the copyright to make a VCD, and then sell it himself.
You must know that the price of a movie VCD is more expensive than a TV series, after all, the movie is definitely more well-made than the TV series. Movie discs, generally divided into A and B, cost only 6 yuan. However, a box of movie VCDs, currently on the market, is rarely less than 20 yuan. Depending on the quality of the film, the pricing varies widely. For example, the movie VCD of "Best Partner" is sold for HK$60.
The difference between the retail price and the cost of CD production is 9 times!
That is to say, as long as one-tenth of the disc in stock is sold, it has already paid off, and you can earn more than 50 yuan by selling one more disc.
Even some cheap-selling movie discs are generally more than 20 yuan a box. In addition to deducting costs, the profits of copyright content companies far exceed the share of theaters.
In addition, the autonomy of distribution channels brought by VCD is also the reason why many small film and television production companies are tempted. Many film companies are dissatisfied with the short release cycle of the theater, so they can release VCD discs at a very small cost, and if the VCD discs are good, they can make additional orders to produce more discs, so that they will not be constrained by the average release time of the theater chain of only about 20 days.
ā¦ā¦
A newlywed family.
"Husband, buy one...... It's so cheap!" A young woman coquettishly said to her husband, who had just worked for a short time, "The VCR costs more than 10,000 yuan, which is only 3,000 yuan." ā
"Okay. The man gritted his teeth and said, "Buy!"
ā¦ā¦
"Dad, I want a VCR, VCR!" a teenager howled and cried because he missed the TV series.
"Well, the VCR is too expensive, Dad can't afford it. The middle-aged man sighed that Hong Kong's economy seems to be a bit sluggish this year, so he only gets a basic salary, just wants not to be laid off, and there is no need to be delusional about bonuses.
"Husband, if you want to buy your children, you can buy it? You can afford to buy a car for more than 100,000 yuan, and it's so grinding to buy a video recorder at home. A woman in her early thirties relented at the sight of her child crying.
"Loser, it's not what you're used to!" The middle-aged man sighed, in his early years, he was also high-spirited and could get used to children, but this year, the company's efficiency is not good, and his wallet is getting smaller and smaller, so he has to be careful with his calculations.
Because of whether to buy a video recorder or not, the two middle-aged couples gradually began to quarrel.
"VCD, VCD, don't want a VCR, buy a VCD!" The teenager saw the advertisement on the TV and said, "Dad, buy a VCD, it's only 2998 ......."
When the middle-aged man heard this, his expression softened, he fixed his eyes on the TV commercial, nodded after a while, and said, "It's not that you can't buy ...... for 2998 yuan."
ā¦ā¦
In the early 80s, Hong Kong was only popularized with television. But like a video recorder with more than 10,000 yuan, the penetration rate in Hong Kong is not very high.
After all, Hong Kong is not a traditional economically developed area, and there was an economic boom after the war, but the starting point was not very high, and most of the population structure is poor and white, so it is still incomparable with Europe, the United States and Japan.
At present, Hong Kong's purchasing power is less than the above, and more than the bottom. Compared with the developed regions of Europe, the United States and Japan, there is a clear gap. However, the economic level is still much higher than that of South Korea, Taiwan, Singapore and other places.
In addition, the city is relatively densely populated, and modern entertainment equipment is a huge attraction for city residents.
Although VCD is not cheap, ordinary wage earners can only afford it with a salary of one or two months. But after all, this kind of family property can be used for a long time, and a one-time purchase should be used for ten years, so many families with stable incomes have also begun to grit their teeth and buy under the advertisement.
Since there are not many users of VCRs in Hong Kong, it will not take a few months for VCDs to catch up, and the popularity rate has far exceeded that of VCRs.
This is the case even in Hong Kong, a developed city like Japan in Asia, where the penetration of VCRs is even lower, so VCDs are growing faster than they have ever been in history!
Historically, VCD was originally promising, however, within a few years of its introduction, DVD with a larger capacity than VCD was launched, which made the VCD industry decline rapidly within a few years.
But at present, VCD and DVD technology patents are monopolized by new startups. In the case that VCDs can make huge profits, of course, DVDs will not be made so quickly. When there is a strong competitor to VCD, DVD, as well as Blu-ray, HD and other technologies will be considered later...... If competitors really think that they can surpass Xinchuang Electronics in technological competition, then they are very wrong! The technology that Xinchuang Electronics Company has now come up with is only one piece ahead of its counterparts in the world, but it can come up with black technology that has been ahead of its counterparts in the world for 20 or 30 years at any time...... Lin Qi likes to see that competitors spend a lot of money to delve into technology that surpasses that of Xinchuang Electronics, however, Lin Qi quickly upgraded the technology, making the huge investment of competitors meaningless!