Open iTunes on your computer. To import DVDs, you must have iTunes version 9 or later. You can upgrade to the newest version of iTunes for free from the Apple website. (See Resources)
Insert the DVD with digital copy into your computer's disk drive.
Click the name of the DVD in the iTunes sidebar --- the name is located in the "Devices" section.
Enter the redemption code that appears on the insert included in the DVD case. Click "Redeem."
Enter your Apple ID and password when prompted and click "OK."
Attach your iPhone once the movie has been successfully imported into iTunes. Click the name of the movie in the "Movies" section of the sidebar and drag it to the iPhone. A sync begins that transfers the movie to your phone.
Source.
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iTunes is an application that allows the user to manage and play audio and video on a personal computer, purchase music videos App and Audio book through its built-in music store, download free podcasts, back up songs onto a CD, encode music into a number of different audio formats, share library over a local network.
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