[From www.sfvbj.com- If there is one thing that Steven Hirsch never wants to have happen to Vivid Entertainment Group is to be described as old.
Since its founding a quarter-century ago, Hirsch has guided Vivid through technological and cultural changes. A company that began releasing its adult movies on videotape has moved into digital. While never a niche producer, Vivid managed to corner certain market segments with its contract performers and celebrity sex tapes.
“It is an ongoing challenge to stay current,” Hirsch said.
Considering that Vivid is a global brand based on female nudity, the corporate offices in the Cahuenga Pass are extremely business-like, almost chaste. No posters for Vivid films hang in Hirsch’s office but like any good producer he does display the awards his films have won.
A Midwestern native who moved West with his family as a teenager, Hirsch got his start in the adult industry working for his father. After a stint as a national sales manager for another company, Hirsch (and a business partner) started Vivid and continues to operate the company under the strategy of quality films with beautiful performers.
In the digital age, those films are transitioning away from a physical product to distribution via online. This is why Vivid scaled back its DVS business and focuses on the Internet.
“We have hired probably 10 people in he last two months as we get focused in that direction,” Hirsch said, “We see that as where the dollars are coming from and we want to be positioned for that.”
Question: Is the adult industry as recession proof as some people would claim?
Answer: No, I don’t think so. What the adult industry is going through is the perfect storm. We are dealing with an immense amount of free content available on the Internet as well as pirated content on the Internet. Those two things have taken their toll on the business. As a result DVD sales are down as well. On top of all of that we have the economic downturn. Certainly we are not recession proof. This company has been around for 25 years. We have been fortunate enough to build a brand. People know who we are and know they are going to get a certain level of quality when they view a Vivid film. I feel there will be a thinning out in the industry. But those that are left will be that much stronger.
Q: Do you think that thinning out is necessary?
A: I think it’s inevitable there is going to be some contraction. There are way too many producers out there who are producing basically the same kind of content. There is an overlap there that is just not necessary. When you don’t have the DVD sales and you’re becoming more dependent on VOD (video-on-demand) and the Internet there needs to be some differentiation. Those who are able to be the most clever are going to be ones that ultimately survive.
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