XBIZ President and seminar moderator Alec Helmy led the group in discussions ranging from high-definition content to turning tube sites into marketing tools, and survival was a common theme.
WantedList co-founder Anh Tran said that with an industry that puts out more than 10,000 titles a year, problems like tube sites stealing free content are inevitable, and the way to combat revenue loss and compete is to make content stand out from the rest in quality and detail.
"Find ways to provide a meaningful experience [for the viewer]," Tran said, adding that focusing on creating and building new customers is the best way to stay on top.
Being aware of what your target market wants to buy and be ready to use new distribution platforms. LFP's Michael Klein said that while the company once created content for DVD that eventually made its way online, it now produces content specifically for the web, a platform that now is driving the market
Digital Playground's Joone said that the company's higher-end titles still do better on DVD than its gonzo content because the audience for his high definition titles is much different. For now, high definition content can not be watched in its true quality online, so there still is a need to purchase it on HD DVD or Blu-ray.
Plus, he added, that high-resolution content can eventually be repurposed for IPTV broadcast.
Hot House Entertainment's Steven Scarborough said that shooting in high definition hasn't been cost effective for his company yet and hasn't felt the need to do so. We'll always have DVD collectors, he said, and it's not yet clear if those numbers will be enough to warrant switching over to high-def.
Klein said he is convinced that high-def DVDs will be a pickup for the marketplace, despite higher replication and production costs.
In terms of offline retail, Klein urged the importance of offering customers something other than straight porn, and used Hustler Hollywood as an ideal example of the changing retail marketplace. Offering consumers "lifestyle" products, rather than straight porn or adult items, will dramatically widen a customer base.
Scarborough said that his titles sell best in stores that sell leather gear and sex products, and understands they all cater to a particular lifestyle.
And all agreed that tube sites are here to stay, and the best way to deal with them is to learn how they can work in your favor, using them as promotional tools by licensing a small percentage of content and limiting the amount broadcast for free.
As long as you're aware of where your content is online and truly know who you're affiliate are, free content online won't be as much of a threat as some believe. And as far as free user-generated content, the entire panel agreed that at this point, it's not at all a threat.
"They're just looking for the government to clamp down and throw [them] away," Klein said. "It's a dangerous step."
