IT company Perpetual Action Group developed PAG View technology, which allows content providers to include bonus scenes onto DVDs that users can access only by using a code. The code is obtained when the user calls or texts a telephone number given on the DVD, either via mobile phone or landline, and pays a fee. The viewer then enters the code via the DVD player remote control to open the scene.
“Locked Content” DVD technology has been in use in Europe for several years, and recently adult producer Harmony Films introduced a PAG View Pay-Per-View bonus scene in the European DVD release of “Young Harlots: In Detention.” However, the U.S. version will not include the PPV scenes but later U.S. releases will offer PAG View technology.
Hustler first started using the technology in DVDs that were distributed in its magazine in Holland. In January, PAG View approached Hustler Europe, which led to development of a marketing loyalty program with refined technology that will be exclusive to Hustler.
Hustler Europe Managing Director Helen Clyne worked with PAG View’s Head of Distribution, Matthew Hicks and Hustler Europe’s CEO, Jeff Hawkins to develop the program.
PAG View technology is the only “locked content” solution in the world that offers Pay-Per-View functionality. All other “locked content” systems only have a single release code rendering them in effect Pay to Own or Pay Once Watch Many. PAG View requires the viewer to pay each time the scene is viewed.
Revenue generated by the PAG View PPV scenes will then be split three ways between Hustler, PAG View and the retailer, after any charges are deducted by the telecom carrier.
“The problem with all other “locked content” systems is that the only beneficiaries of the revenue streams generated are the content providers,” Clyne told XBIZ. “You know “locked content” is a great technology but what we’d been looking for — for a long time — is something new where the retailers can also earn money with us. If I were a video store owner, I’d say, ‘Why the hell should I sell, rent or give away these DVDs if I’m not earning anything? After a long and painful search we are delighted to have found PAG View and to have worked with PAG to enable all involved in the distribution chain to share in the revenue generated.”
"PAG View technology is now available Europe wide and plans to be available globally in the near future."
From there, the PAG View DVD will allow retailers to track consumer information gathered when viewers pay to access the bonus scenes. This will be the first time statistics based upon end-user behaviour patterns will be available to our industry.
“We can pinpoint from the codes the location of the store, and even identify the salesperson that gave out the disc,” Clyne said. “You can use it as a tool to analyze how different store locations are performing, or you could give incentives to your store staff, because you can track all of these statistics online in real time.”
Clyne also pointed out that while other content producers may view DVDs as a dying format, Hustler believes that DVDs are still viable, considering that most consumers own a DVD player. In addition to the market saturation of the DVD player the DVDs themselves have become far cheaper to manufacture and are now viable as media for promotional giveaways as well as their traditional application for films.
“If you think about the DVD-player penetration on the market, it’s at the highest point it will ever be,” Clyne said. “Every household has at least one DVD player, so as far as we’re concerned, the DVD as a medium is still a fantastic vehicle for providing content.”
A presentation outlining the Hustler PAG View Loyalty Marketing Program will be the first presentation in the Conference room on April 25, during the erotika show in Cologne, Germany.
The company will also be exhibiting a line of Blu-ray DVDs, as well as Hustler fashion apparel and other products on the Hustler stand.