VSDA Indefinitely Postpones Consumer Shows5 Sep, 2003 By: Kurt Indvik
The Video Software Dealers Association (VSDA) announced today that it is indefinitely postponing its “Tinseltown” consumer entertainment shows, the first of which was scheduled for Oct. 25 – 26 in Minneapolis.
Since the VSDA announced the concept at its 2002 annual convention, the Tinseltown shows have been rescheduled and/or postponed on several occasions, the VSDA citing the impact of the war in Iraq and logistical reasons. The events, which were to feature a broad spectrum of participation from home video, video game, music and other entertainment media suppliers and retailers, never seemed to generate much visible support, and the VSDA never disclosed any sponsors, other than Blockbuster, Inc., during the course of the shows' development.
Meanwhile, the VSDA has been focusing on operating on a positive annual cash flow basis, seeking ways to generate more revenue while also reducing costs.
“We remain excited about, and committed to, the Tinseltown consumer shows,” maintained Bo Andersen, president of the VSDA, in making the announcement. “However, it became clear to us, as it has to other event producers, that it is extremely difficult to launch a new show in the current business climate. In addition, given our current resources, the financial and human resources necessary for successful start-up of this venture at this time would have to be diverted from core functions of the Association. Therefore, it did not seem wise to us to invest further in the Tinseltown project at this time.”
Though no exact figure was available, sources say the investment by the VSDA in the development of the Tinseltown shows was well below six figures.
Andersen did say that “…the Association's direct financial investment in Tinseltown was relatively low. The indefinite postponement will not have a significant impact on the Association's financial performance.” He added that the association has not abandoned the idea and will continue to analyze its prospects for presenting the shows in the future.