Move over Starbucks.
By the end of the year, music lovers can start shopping for albums while waiting in line for Chardonnay, draperies or even massages.
West L.A.-based independent music label Immergent, owned by 5.1 Entertainment, just signed a deal with Dion Sales to push the label’s titles into “non-traditional” store environments think high-profile bed-and-bath type stores, spa chains, wineries and specialty grocery stores (coffee houses made the list, too just not the ubiquitous chain with the green logo).
The initiative includes releases by artists such as Pat Benatar, Bob Marley, Lynryd Skynyrd, Jerry Lee Lewis and John Lee Hooker, which are part of the company’s approximate 500-title catalog.
The music-sales-by-coffee-house concept has a successful track record: In 2004, Starbucks patrons were responsible for more than 30 percent of the CD sales for Ray Charles’ duet album “Genius Loves Company.”
“Record retail stores continue to be the most important part of sales, but we’re always looking for more ways to get product in front of consumers,” said John Trickett, chief executive of 5.1 Entertainment. “People are looking for other ways to buy music Starbucks is a great example with the success of their CD sales. We want to leverage as many opportunities as possible.”
Trickett would not disclose specific retailers but said announcements would be made in the next two months. Several titles will be in the outlets by the end of the year, though most will appear in stores in 2007. The company specializes in multimedia music entertainment and has been a pioneer in the dual-disc and DVD Audio formats, a higher quality, enhanced digital sound recording that essentially play musical tracks in surround-sound.
Immergent is using Florida-based Dion Sales to push their artists’ products and further dual-discs and DVD-A format marketplace penetration into the non-music retail outlets, as well as mail order and Internet outfits.
High-Def Diving
Image Entertainment Inc. has rolled out its initial slate of high-definition DVD titles, which will be released in November: “Chicago/Earth, Wind & Fire: Live at the Greek,” “Heart: Alive in Seattle” and “Barry Manilow: Manilow Live!”
There are more titles to come, including those that are part of the Chatsworth-based distributor’s recent 10-year agreement with Relativity Media LLC. Under the deal, Image will distribute films independently financed and produced by Relativity on home video formats, including HD-DVD and Blu-ray Disc.
Relativity, a financing company that has structured more than $4 billion worth of production slates, intends to finance up to 20 wholly controlled major motion pictures each year after 2007, which will be granted to Image. Each title covered by the deal will carry a 10-year exclusive distribution term from the release date.
In addition to generating revenue, the deal provides a shot in the arm for Image’s takeover defense strategy by granting Relativity 3.4 million shares of Image’s common stock.
The company has been locked in a bitter takeover battle with Lions Gate Entertainment Corp. since last fall, and the stock grant makes Relativity one of Image’s largest shareholders.
The first few films under the Relativity agreement will be identified by the end of the quarter and released in the second half of calendar 2007. Image executives project that the deal will generate revenues of $60 million to $90 million next year and $140 million to $210 million in sales in 2008 based on the release of seven films. Image shares were trading at about $3.70 mid-week.
Beyond Raisinettes
Women & Wine, a Los Angeles-based Web site, wine club, travel and lifestyle company, has launched the “Food & Wine Film Series” at Westwood’s Crest Theatre on select Tuesday evenings, starting Sept. 19. The series focuses on culinary-themed films, starting with “Babette’s Feast,” “Like Water for Chocolate” and “Big Night.”
Moviegoers won’t leave hungry. The company will be dishing out food and wine inspired by each film at pre- and post-screening receptions in the theater lobby.
Anne Riley-Katz can be reached at [email protected] or at (323) 549-5225, ext. 225.
