--- title: How the Movie Industry Can Catch up to iTunes With the Help of SAP description: Learn why the movie industry must get the payment bundling process right using Apple iTunes as an example and how SAP can help image: https://www.sapbwconsulting.com/hubfs/AI-Generated%20Media/Images/An%20image%20of%20the%20movie%20industry%20evolving%20and%20hoping%20to%20match%20Apples%20iTunes%20operations%2c%20focusing%20on%20the%20importance%20of%20payment%20bundling%20and%20distribution.jpeg --- ![Movie Industry Audience](https://www.sapbwconsulting.com/hubfs/AI-Generated%20Media/Images/An%20image%20of%20the%20movie%20industry%20evolving%20and%20hoping%20to%20match%20Apples%20iTunes%20operations%2c%20focusing%20on%20the%20importance%20of%20payment%20bundling%20and%20distribution.jpeg) # How the Movie Industry Can Catch up to iTunes With the Help of SAP Table of Contents ## Apple's iTune and SAP   Read a very interesting article today in the International Herald Tribune (IHT) regarding how the Movie Industry is evolving and hoping to avoid a Napster moment and hoped to match Apple’s iTune operations.  Watching this video,  “[The Many Faces of SAP at Apple, Part I](http://www.youtube.com/watch?v=PaSVHvHEbQk&feature=related)”.   Learn why the movie industry must get the [payment bundling process](https://www.sapbwconsulting.com/business-process-consulting) right using Apple iTunes as an example and how SAP can help which is a very interesting presentation on how [SAP](https://www.sapbwconsulting.com/blog/unleashing-business-success-balanced-scorecard-strategy) is used at Apple, a key message jumped out with regards to what the movie industry has to get right:  The way credit card charges are handled by Apple.    ## How Do Sell at .99 Cents?   Though the presenter doesn’t go into too much detail, what is stated is that at .99 cents a clip, and many thousands to millions of these tiny charges being made per day, if Apple had to pay the per charge processing fee usually charged by the credit companies, they would not be able to make this [business model](https://www.sapbwconsulting.com/sap-partnership-advisory-services) work.   ## How does this apply to the Movie Industry?    It is simple, really!    They must get two elements  right to [stay in the game](https://www.sapbwconsulting.com/blog/inbound-marketing/how-i-learned-to-sell-like-a-lion-king) and remain [profitable](https://www.sapbwconsulting.com/blog/how-to-improve-sap-profitability-management-the-ultimate-guide):   - **Distribution** (which they got right before with the multiplex) - **Payments**   ## **Necessary But Not Sufficient**   There are, of course, many other necessary conditions which are not sufficient by themselves to enable the movie industry to avoid getting Napstered: - [Rights](https://www.sapbwconsulting.com/blog/how-the-movie-industry-can-catch-up-to-itunes-with-the-help-of-sap) Management - Content Management - Production Cost - And Many More ## The Price is Right   The price point needed has already been found-the Red Box Movie rental model seems to have hit it.  However, it has a couple of limitations: - Limited to Customers who walk by - Limited in so far as quantity of DVDs in the machines, therefore, not really a fully [digital distribution](https://www.sapbwconsulting.com/blog/inbound-marketing/12-sap-crm-content-management-system-requirements) (meaning unlimited, self-replenishing, inventory that has only a vague shelf-life, i.e., older movies tend to decline in popularity, yet if somebody wants to watch them, they need to be available on-demand at virtually no additional production cost) ## Bundled Payments   Now that the price point has been found, the next step will be for the Movie Industry to arrive at the same ‘bundling’ of payments deal with the payment networks, i.e., Mastercard, Visa, American Express, Paypal.    Of course, all of these business processes need a highly advanced IT infrastructure, led by an end-to-end Business Intelligence system.    [![Click me](https://no-cache.hubspot.com/cta/default/118735/e11e2ca3-9f28-4681-ba52-5e7fa0ee656c.png)](https://cta-redirect.hubspot.com/cta/redirect/118735/e11e2ca3-9f28-4681-ba52-5e7fa0ee656c)     Topics from this blog: [Movie Industry](https://www.sapbwconsulting.com/blog/topic/movie-industry) [Payment Networks](https://www.sapbwconsulting.com/blog/topic/payment-networks) [SAP and Apple](https://www.sapbwconsulting.com/blog/topic/sap-and-apple) ### Download SAP BW Mindmap Learn what SAP Business Warehouse is and what it does in under five minutes [![Get this Mindmap](https://no-cache.hubspot.com/cta/default/118735/8db2ad37-8211-47a3-86ae-09b6b2bb297b.png)](https://cta-redirect.hubspot.com/cta/redirect/118735/8db2ad37-8211-47a3-86ae-09b6b2bb297b) [mailto:someone@yoursite.com](mailto:someone@yoursite.com) ### Lonnie D. Ayers, PMP About the Author: Lonnie Ayers is a Hubspot Certified Inbound Marketing consultant, with additional certifications in Hubspot Content Optimization, Hubspot Contextual Marketing, and is a Hubspot Certified Partner. Specialized in demand generation and sales execution, especially in the SAP, Oracle and Microsoft Partner space, he has unique insight into the tough challenges Service Providers face with generating leads and closing sales using the latest digital tools. With 15 years of SAP Program Management experience, and dozens of complex sales engagements under his belt, he helps partners develop and communicate their unique sales proposition. Frequently sought as a public speaker in various events, he is available for both inhouse engagements and ** remote coaching. ** ![Balanced Scorecard Consultant](https://www.sapbwconsulting.com/hubfs/social-suggested-images/Balanced%20Scorecard%20Certified%20Graduate.jpg) He also recently released a book **"How to Dominate Any Market - Turbocharging Your Digital Marketing and Sales Results",** which is available on [ Amazon.](https://www.amazon.com/Dominate-Turbocharging-Digital-Marketing-Results/dp/1728357950/ref=sr_1_1?dchild=1&qid=1589182458&refinements=p_27%3ALonnie+D.+Ayers&s=books&sr=1-1&text=Lonnie+D.+Ayers)**** [View All Articles by Lonnie D. Ayers, PMP](https://www.sapbwconsulting.com/blog/author/lonnie-d-ayers-pmp) ## The SAP Blog Subscribe to our blog and receive SAP BW Updates, demand generation, inbound marketing, sales enablement, technology and revenue generation insights and ideas delivered right to your email. [mailto:someone@yoursite.com](mailto:someone@yoursite.com) ![SAP](https://googleads.g.doubleclick.net/pagead/viewthroughconversion/960101754/?value=0&guid=ON&script=0) ![](https://www.facebook.com/tr?id=199270410761059&ev=PageView&noscript=1) ```json { "@context" : "https://schema.org", "@id" : "https://www.sapbwconsulting.com/blog/how-the-movie-industry-can-catch-up-to-itunes-with-the-help-of-sap#blogposting", "@type" : "BlogPosting", "about" : [ { "@type" : "Thing", "name" : "Movie Industry", "sameAs" : "https://en.wikipedia.org/wiki/Film" }, { "@type" : "Thing", "name" : "Payment", "sameAs" : "https://en.wikipedia.org/wiki/Payment" }, { "@type" : "Thing", "name" : "Bundling", "sameAs" : "https://en.wikipedia.org/wiki/Tying_(commerce)" }, { "@type" : "Thing", "name" : "Process", "sameAs" : "https://en.wikipedia.org/wiki/Business_process" }, { "@type" : "Organization", "name" : "Apple", "sameAs" : "https://en.wikipedia.org/wiki/Apple_Inc." }, { "@type" : "Thing", "name" : "iTunes", "sameAs" : "https://en.wikipedia.org/wiki/ITunes" }, { "@type" : "Organization", "name" : "SAP", "sameAs" : "https://en.wikipedia.org/wiki/SAP_AG" }, { "@type" : "Thing", "name" : "Industry", "sameAs" : "https://en.wikipedia.org/wiki/Industry_(economics)" } ], "author" : { "@id" : "https://www.sapbwconsulting.com/about-lonnie-ayers#person" }, "description" : "Explore how the movie industry can leverage SAP solutions to match iTunes' success by improving payment processes, bundling options, and operational efficiency.", "headline" : "How the Movie Industry Can Catch Up to iTunes with the Help of SAP", "inLanguage" : "en", "mainEntityOfPage" : { "@id" : "https://www.sapbwconsulting.com/blog/how-the-movie-industry-can-catch-up-to-itunes-with-the-help-of-sap#webpage" }, "mentions" : [ { "@type" : "Thing", "name" : "Article", "sameAs" : "https://en.wikipedia.org/wiki/Article_(publishing)" }, { "@type" : "Organization", "name" : "International Herald Tribune", "sameAs" : "https://en.wikipedia.org/wiki/The_New_York_Times_International_Edition" }, { "@type" : "Thing", "name" : "Napster", "sameAs" : "https://en.wikipedia.org/wiki/Napster_(pay_service)" }, { "@type" : "Thing", "name" : "Faces", "sameAs" : "https://en.wikipedia.org/wiki/Face" }, { "@type" : "Thing", "name" : "Presentation", "sameAs" : "https://en.wikipedia.org/wiki/Play_(theatre)" }, { "@type" : "Thing", "name" : "Credit Card", "sameAs" : "https://en.wikipedia.org/wiki/Credit_card" }, { "@type" : "Thing", "name" : "Sell", "sameAs" : "https://en.wikipedia.org/wiki/Sales" } ], "name" : "How the Movie Industry Can Catch Up to iTunes with the Help of SAP", "potentialAction" : { "@type" : "ViewAction", "name" : "Get IT Staffing Support", "target" : { "@type" : "EntryPoint", "actionPlatform" : [ "http://schema.org/DesktopWebPlatform", "http://schema.org/MobileWebPlatform" ], "inLanguage" : "en", "urlTemplate" : "https://www.sapbwconsulting.com/SAP-BW-Consulting-Support" } }, "publisher" : { "@id" : "https://www.sapbwconsulting.com#organization" }, "url" : "https://www.sapbwconsulting.com/blog/how-the-movie-industry-can-catch-up-to-itunes-with-the-help-of-sap" } ``` ```json { "@context" : "https://schema.org", "@id" : "https://www.sapbwconsulting.com#website", "@type" : "WebSite", "name" : "SAP BW Consulting, Inc.", "publisher" : { "@id" : "https://www.sapbwconsulting.com#organization" }, "url" : "https://www.sapbwconsulting.com" } ``` ```json { "@context" : "https://schema.org", "@id" : "https://www.sapbwconsulting.com#organization", "@type" : "Organization", "logo" : { "@id" : "https://www.sapbwconsulting.com#logo" }, "name" : "SAP BW Consulting, Inc.", "sameAs" : [ "https://www.linkedin.com/company/543163/admin/", "https://www.youtube.com/user/SAPBWConsulting/", "https://twitter.com/Lonniea39", "https://www.facebook.com/SAPBWConsulting" ], "url" : "https://www.sapbwconsulting.com" } ``` ```json { "@context" : "https://schema.org", "@id" : "https://www.sapbwconsulting.com#logo", "@type" : "ImageObject", "caption" : "SAP BW Consulting, Inc. logo", "url" : "https://www.sapbwconsulting.com/hs-fs/hubfs/sapbw-consulting.png?width=2847&name=sapbw-consulting.png" } ``` ```json { "@context" : "https://schema.org", "@id" : "https://www.sapbwconsulting.com/about-lonnie-ayers#person", "@type" : "Person", "name" : "Lonnie D. 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