An industry practitioner speaks

In a series of Q&As, professionals in all facets of the packaged media industry share their views of things past, present and yet to come. It’s the turn of JAKOB SKARIN, Founder & CEO of packaging design company Jakebox AB in Sweden.

DVD celebrated its 10 anniversary last year. How many more years are we going to see DVD around?

For commercial DVD titles there will be a market as long as DVD players aren't more or less completely replaced by Blu-ray players. The price of BD players is already so low that I doubt anyone that needs to buy a new player will settle for just a DVD player, but many are still reluctant to invest in a new player as long as they have one that works. So, I would say as long as most current DVD players haven't broken down, there will still be a market for commercial DVDs. And after that too, since DVD might remain a low budget alternative to buying Blu-ray discs.

However, and luckily for us, promotional/corporate DVDs have a longer life expectancy, since the more advertising and information you get online, the less response it will generate, and the more impact a physical media will get. Especially if the disc is presented in a nice way.

Are there lessons in the development of the DVD format that could/should be applied to Blu-ray as regards packaging?

Well, I guess I'm a bit biased on that issue. Naturally, I believe that very eco-friendly and user-friendly packaging that everybody goes WOW about should be used more often and for bigger releases.

The unexpectedly rapid fall in price of Blu-ray discs, so early in the commercialisation of the format, makes the economics of BD production very challenging especially in view of the heavy investment required. If, in response to the market, publishers and distributors cannot charge premium price for their BD titles, they may not use more expensive, creative BD packaging, reverting to "vanilla" formula. Do you fear these developments?

On the contrary! I believe that’s the very opposite that will happen. And that is one of the main issues the industry still hasn't really understood. People will gladly pay a premium price for something that has some extra value, like a nice good-looking package, extra material, etc. But they will be less and less willing to pay for content that comes in "vanilla" packaging, which they can just as well download.

Do you have a riposte?

I guess I will just have to prove my above stance scientifically. There are several examples in the music industry that support this view, but we have yet to show that it applies to the DVD and Games industries. Until now my company hasn't had the resources to approach the DVD industry. ESCA Europe 2009 in London was our first real step in that direction, and now we're busy talking to studios and film distributors.

Some are complaining that the current blue plastic box for Blu-ray discs looks cheap and does not do justice to the new HD format. Do you think a more sophisticated, therefore more expensive packaging, will help distributors maintain a premium price? And for what genre?

No doubt about that. It will suit the traditional ‘collectors’ genres – comedy, sci-fi, anything that has a cult status, The Star Wars, Star Treks, Lord of the Rings and all the superhero stuff. Probably kids' movies too, and games. I wouldn't expect to see a furry metal collectors' box of Sophie's Choice or Kramer vs Kramer.

What are the kind of novel, original, advanced new features we are likely to see in packaging in the future?

Unfortunately, I think there will be more weird and desperate attempts at originality, like rubber tires and porcelain pieces, but sooner or later the buyers will be fed up with weird and unstoreable junk box laying around. The packaging we offer might have a slightly milder WOW effect, but it's also more sustainable, more user-friendly, more eco-friendly, and easier to keep and store.

Some say that unless the entire home entertainment chain goes 'green' (reducing carbon footprint) – from film production, delivery, replication, printing, packaging, retailing – there is little point for packaging manufacturers to do it alone.

I wouldn't say that. Any effort that helps our planet to survive is worthwhile and should be embraced. I'm very happy and proud of my contribution, whether the replicators and other parts of the value chain choose to contribute or not. Naturally, I react, as others do, when I hear that some are not willing to try to reduce their use of plastics, although there clearly are ways of doing it.

Going 'green' only becomes a public relations exercise. Do you agree or disagree, and what should be done?

Sometimes, it's surely so. And those with huge marketing budgets can easily come across as ‘greener’ than those who actually are, by simply saying it louder. I think the only way to make it real is by political means. It is more or less impossible to run a small, green operation as long as non-green alternatives are cheaper. Most people say they are very concerned about environmental issues, but when it comes down to it, nobody is willing to pay for it.
I think we need tougher legislation and/or more grants for green production to even out the odds.

It is said that diversification is the best way of staying afloat in the face of market uncertainty. How to you see your company's range of products and services evolving over the next 2 and 5 years?

Our first step is to get into the DVD and Blu-ray markets. Next, we see demand for developing similar ingenious packaging for credit cards, gift cards, and USB sticks. But we need to grow a bit before we can take on that task, or merge with another company.

Contact: www.jakebox.com...

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