Video distributor getting boost with prime properties.

Finding a niche market and exploiting it is what his business is about, says Don Gold, co-president of Studio Works Entertainment.

Just over a year since he established his video distribution business in Thousand Oaks, Gold and his partner and company co-president Gregory Yulish, have developed a successful business model that is already profitable.

"Our idea was to find properties that are recognizable or have a lot of potential in the consumer market," Gold said.

In the past year, Studio Works has acquired the rights to the 1989 CBS crime drama "Wiseguy," which had a successful three-year run on network television. But since much of the syndication market deals with half-hour sitcoms, hour-long dramas have had little attraction to buyers, making them readily available to distributors like Studio Works.

"It may be a secondary product to a studio but not to us so we're lucky in finding a lot of these shows," he said.

The company is rolling it out this month "Wiseguy'" on DVD with extras like interviews with show producer Stephen J. Cannell, show star, Ken Wahl and actor Kevin Spacey who played a mob boss in a three-episode are.

"We're developing other deals and hope to get more shows of the caliber of 'Wiseguy' for our slate," Gold said.

So far, the company has acquired the rights to "Greatest American Hero," "21 Jump Street," and others, including "American Idol,"

The company has also acquired the rights to a number of popular children's shows for distribution, including PBS's "Wheels on the Bus," the cartoon series "Tiny Planets," and "Itty Bitty Heartbeats," among others.

"The strategy is to have programs with a lot of value and consumer recognition and we go ahead and add more value with DVD extras," Gold said.

The children's market has been a boon to the company since most networks no longer program children's shows on Saturday mornings, instead opting to sell the time to others who program it with their own shows while selling time to advertisers.

"If you're an independent and you spend two years creating a show, what do you do with it?"

Video business down

But the home video business has been down lately and competition has been hampered by the big studios flooding the market with titles selling for $5.99 and above. Companies like Studio Works, however, have had to adapt to compete.

"You can't sell products for $5.99 and take a loss on each copy, but you can sell titles with value and customer appeal for $9.99," Gold ,said.

By taking older programs with high appeal, Studio Works has managed to compete with other more established companies and gain a share of the overall market.

"People are willing to pay a higher price for shows they love," Gold explained.

Cheryl Freeman, CEO of Ardustry Home Entertainment, said the home video market is as competitive ,as it's ever been, forcing many companies like Studio Works to adapt or get left behind.

"You have to focus on your relationships with retailers, but also on the quality of your products," she said.

"The fact Studio Works has these (well-known) properties shows they'll do well."

But Gold and his partner Yulish have also moved into the sports and fitness area with distribution rights to the "Ultimate Fighting Championship's Ultimate Knockout" series and "The Goddess," belly dancing fitness series, most recently.

Thanks to its popular children's programs, like "Happy Tree Friends," and "Itty Bitty Heartbeat," the company's numbers are improving and expected to grow higher once its other programs hit the shelves, Gold said.

More planned

With more former network programs like "Wiseguy" coming out next year, the company's revenue could hit $10 million, Gold predicted.

"We're still making deals for certain properties, but we have a full slate for next year," he added.

Although the company's total revenue would depend on new releases during the holiday season, Gold said he was unsure how much revenue they could ultimately bring.

"I could be off by 75 percent so I don't really want to speculate," he said, noting that revenue would exceed $1 million.

As part of an overall strategy, the company is producing a yet untitled independent film for the video market which would be the first in a series of projects meant to enhance the company's list of properties.

"We'd like to do more productions, but we're cautious about how we proceed in this area," he said.

Having gotten his start in the business with the Walt Disney Co. in 1980, Gold moved on to video distributors Vestron and VCI where he helped market some of the biggest home video titles ever, with the "Ultimate Fighting Championship" video series and PBS's popular "Thomas the Tank Engine," featuring former Beatle Ringo Starr.

Gold's also been involved in a number of feature film productions, including most recently "Natural Born Killers," "Dragonball," and the Fox TV special "Alien Autopsy: Fact or Fiction."

But forming his own distribution business was a career goal for a long time.

"It's a challenge," he said, "to be out there dealing with people and developing relationships."