I have a good idea that I was too lazy to see all the way through..
If you conver avi files to swf files you can substitute any image with them. I was trying to replace the console images with videos , you might actually be able to do both if you don't care if the name of the system to shows.
There wsa this one strange thing that I came across though, the mame video I converted would make this weird noise at the beginning after being converted. It didn't happen for any other videos, just the mame one. But it looked pretty nice.