Moratorium on Potter Films!

 

Just days ago, Warner Brothers announced that they will no longer be shipping any copies of the films to stores as of December 29. This is a marketing model that is most commonly used by Disney with their animated classics which has proven to be quite profitable. By removing the films from stores, it causes customers to rush out and buy the films before they are removed so that they can enjoy them, while Warner Brothers plans re-releases of the films in the future with new editions or on a new video format for a limited time causing the rush of sales once again.

Source Amazon.ca

This causes the supply chain for Potter films to be open for limited time windows every few years in which production will be maximized, but due to the limited nature, demand is extremely high to and profits are made, and then removed once again when profits begin to decline or the inventory turn over rate increases becomes to large.

This model has been extremely successful for Disney as they re-release their “classics” every few years, but will Harry Potter be able to be as profitable as their are a limited number of films, considering they have made $5.1billion before the release of the last film on DVD/Blu-Ray?

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