They're expensive because they are considered a special interest item, with limited sales potential as opposed to mainstream movie DVDs. Because the production and distribution companies stand to sell fewer anime DVDs than other genres, they need to make more money per disk to recover their costs. Hence, the higher cost per disk to the consumer.
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It might cost someone in the ballpark (these are just estimates, actual prices may be more dramatic) of $70 for 2 episodes are in a DVD for a new series in Japan. While in the US, $45 for 4 episodes for the same series...
Buying DVD and BD from Japan seems to be a lot more expensive in Japan than overseas in a country like the US. It might cost someone in the ballpark (these are just estimates, actual prices may be more dramatic) of $70 for 2 episodes are in a DVD for a new series in Japan.
Anime in Japan is not that popular as you might think. Most anime airs way into night, mostly around midnight. That is why, even if anime is accepted much more in Japan, the number of people who watch late-night shows and are actually willing to pay is quite low.
part), the high price is due to rental pricing. Basically the home video industry was originally "set-up" so that only a few thousand sales were made for niche releases, and these were made to video rental shops.
They had to buy the time to air it on television like an infomercial -- there's no money coming in from advertising or broadcast at all. Since the series is niche, there's not a whole lot of merchandise: mostly high end figures that'll only sell a few hundred units each.
TL;DR - Content isn't subsidized as much in Japan by advertisers/networks. Upside: Total creative control, release on their own schedule. Downside: DVDs/blurays and merchandise are significantly more expensive.
Buying DVD and BD from Japan seems to be a lot more expensive in Japan than overseas in a country like the US. It might cost someone in the ballpark (these are just estimates, actual prices may be more dramatic) of $70 for 2 episodes are in a DVD for a new series in Japan.
The High Prices... To a Westerner, the Japanese DVD market seems horribly overpriced. With the average disc running over ¥7,000 (US$92) and only containing 2-4 episodes of a series, the cost of collecting a single show can easily run several hundred dollars -- more than many American fans spend in a single year.
As animated television goes, anime is actually made on the cheap. This article goes over the costs per episode of a few different US animated shows; every one of them is more expensive than the cited high-end cost of $300,000 per episode for anime.
DVD rentals CDs aren't the only glorified drink coasters that are still widespread in Japan. DVDs are still a thing as well.
Classic anime with a lot of film grain has a harder time with the bitrate limitations of streaming video, and in that case the difference can be much more noticeable. Blu-ray also supports much better (lossless) audio and full graphical subtitle options, which most streaming services simply can't touch.
Every Blu-ray has lots of licensing fees involved, and that really keeps the price high. With the popularity of these discs starting to decrease, the price does not budge, so that revenue stays high for the manufacturers producing the Blu-ray.