Let's talk about Mark Cuban and his new way of showing and distributing movies, starting with Steven Soderburgh's Bubble, premiering this weekend.

For those who aren't all that well-versed in this new vertical integration strategy for movies, here's a good article from Fast Company.

An excerpt that gives you the basic idea, though there are more details in the article:

By releasing new movies in several formats on the same day--"day-and-date release," as it's known--Cuban and Wagner believe they can make more efficient use of the marketing dollars spent on each film. Studios typically mount separate campaigns, months apart, for the theatrical and DVD releases. (The DVD marketing campaign for a major movie can cost north of $15 million, according to Nielsen Monitor-Plus.) All too often, however, by the time the movie is out on DVD, it has been battered by critics, overshadowed by newer releases, or has simply faded into oblivion. "I look at my own movie consumption habits," says Cuban, "and a lot of times I'm saying, 'Boy, I want to see this movie,' and 'Damn, I missed that one. I'll buy the DVD when it comes out.' And I never do it." Cue the millions of cheering parents who'd like to see King Kong on the same day their single friends do.

Each of the six Soderbergh movies will be released day-and-date, with showings on HDNet and DVDs initially priced at a premium--perhaps $30 or $35. There may also be rental DVDs simultaneously available from Netflix, or downloads from CinemaNow, an online service.

It's a counterintuitive idea, and it stirs near panic in just about everyone involved in making, distributing, or showing movies. It could encourage moviegoers to just opt out--to buy the DVD or watch the movie on cable, skipping the hassles of parking, the $7 popcorn, and finding a good seat. "Is it a better model?" asks Wagner. "It makes total sense to put the customer in charge. The more complex question is whether it's a better model for us. I think time will tell. It's not about one or two movies. It's about a slate. How should they be priced, how should the model be tweaked?"

The release of the Enron movie was their first partial trial of the idea. On the day of its theatrical debut, it was also shown once on HDNet Movies. The reaction from other theater owners was harsh: Some refused to screen the film at all. So Cuban and Wagner developed a scheme to appease them in the future, a "bonus pool" made up of 1% of gross DVD sales, on the rationale that theatrical showings promote the DVD.

Of course, no release strategy or digital key chain can get around the challenge of making movies that people want to see. Cuban knows this, and he has boiled that imperative down to a Yogi Berra-esque koan: "If there's bad movies, people don't go. If there's good movies, people go."

i loved that Enron movie.

A couple more pieces of reading material

"What Business Are Theaters In?" from Cuban's blog, Blogmaverick.com

"Bubble Bursts Film Tradition" from Los Angeles Times

"Go See Bubble" from Blogmaverick.com, today

Cool idea, but it'd be better if they wouldn't release special editions 6 months after the regular ones come out.

It will be interesting to see how this pans out. I'm sort of ambivalent about it. I love seeing movies in theaters, but I rarely do anymore because it is overly expensive, but mostly because most stuff released now and days is shit and doesn't interest me. Also, I hate people and if there's anyone sitting near me they usually end up pissing me off somehow.

I'd never pay $30 for a dvd just because it's new. Give it a month and it will be down to like 10 or 15.

It seems that the chances of movie theaters' survival seems to decrease as time goes on, which I think is sad. However, it very well may adapt and stick around, perhaps in an altered form. It's going to have to provide somethign that home video does not--besides just getting out of the house, probably.

the big losers here are the theater owners. especially the bigger chains.

The plan involves kicking back a percentage of revenue from the DVD sales into participating theaters to compensate for lost concession stand revenue.

I just don't find the movie theater experience to be that enjoyable. But you fix that problem by addressing the desires of your consumer base, not upcharging everything and adding commercials to the beginning of movies. Cuban is trying to change the experience for the consumer while cutting some of the waste on the movie business end. Another innovation they are working on is a free MP3 download of the soundtrack from the Landmark website.

One of the hot tickets around here is a "Moms at the Movies" program where they play a kid-friendly picture around 10-11 in the morning and parents are allowed to bring babies and younger children that most reasonable people would consider to young or disruptive to bring to a movie.

I think they also get a matinee or discount price, and possibly free popcorn. The program is doing well because it has provided a unique experience for a group of consumers who normally wouldn't attend.

I gave up going to the movies last year for that reason, it just wasn't enjoyable anymore. Overcharged and driven to homicidal rage by inconsiderate fellow moviegoers does not a good time make. I'll wait for the dvd, and if it's too expensive I'll buy it on ebay.

Me and the wife will go see a movies real early, maybe the first running of the day. Usually there are just older couples who barely make any noise whatsoever. THat usually makes for an enjoyable time. The few problems we'll run in to are lack of maintenance on their audio equipment. PLenty of times we've experienced speakers cutting out.

I like this idea, but I only learned any specifics about Bubble yesterday through NPR. It's a cool idea, and I'm surprised that the details of the plot aren't being more heavily promoted via the usual channels. If the movie comes out in a bunch of different formats on the same day and noone is intrigued about the content of the film, it won't make a difference. Maybe they know what they're doing. Anything to subvert the usual is OK by me.

Bubble was cool. Bob Pollard's did the music.

It would have to be a very special movie to get me out to deal with the idiots on a Friday or Saturday night at this point. It's been at least 10 years since we've done a "date night" on a weekend that included a movie. Wifey and I only go to the early showings if something grabs our interest. I'm not sure there's a better indicator of our society's slide into laziness and rudeness than the movie going experience.

i'm a regular reader of cubans blog, he constantly is coming up with amazing ideas to revolutionize the world

I agree with this, too.

Bubble was apparently shot in Parkersburg, WV where some friends of mine are from/live so that would be the only draw for me. The trailer is horrible, and while I respect Soderburgh for some of his outings, his video filmmaking is rather old now. Stop squandering! In any event, this is an interesting concept. Cuban had an interview in Playboy which briefly talked about HDNet and all that jazz. I think studios see a good thing. If I go to a movie and exit going wow!, then I will be much more likely to buy the DVD THAT night then I am 6 mos, or even 3 mos down the road. Same with concerts. Also, people now have fancy stereo setups with their HD widescreen plasmas (well, not all of us) so they just want to skip the movies and enjoy at home. They have no problem forking out $20 because, going to the movie costs that much anyway. It can and will work if they get hooked up with some quality movies.

As for theater owners...screw them. Here's why. I cannot tell you how many theaters I've been in that don't care about people on cell phones, or ripped up seats, or even projecting the picture correctly. Most aren't mom and pop joints. Regal, Movieco, Loews...yeah. I enjoy theater going but at the same time I'm always stressed as to whether or not some person is going to sit and talk the whole movie.