[Jadge]

"DVD sales will never match box office for blockbusters.

Actually, you are very wrong. The numbers we are looking at are gross figures. A large percentage of those stay with the exhibitors (theatre chains). Then there are the production and advertising costs which are generally not recouped from a theatrical release.

Most films are just a two hour advertisement for their video release. This is where the money is made. DVD sales only help to enhance this market. Consider every type of store that sells or rents DVDs. Blockbuster, Best Buy, Walmart, etc, etc. They are everywhere. Now multiply that by the number of towns in the country that house these retailers. We are talking about tremendous sales, and tremendous business. It dwarfs revenues generated by the theatrical release.

[dogbyte12]

FOTR sold 35 million DVD's and Video Tapes in the US. Ya figure an average price of $20... that is $700 million gross as compared to the $313 million it grossed in the theaters.

Add in the soundtrack, and video store rentals, and they are really making hand over fist money on this franchise.

Austin Powers is a good example of this phenomena. It did extremely mediocre in the theater but became a huge video sleeper hit. It made just $53 million in the theaters, but because it did so well at home, a sequel was made, and another, grossing 206 and 213 million respectively.