Hi Mary, Lets see if they let me help you on a competitors product without deleting my message!
Its really pretty easy, when you add the video it will appear on a sidebar, and also as a little frame on the menu.
Select the movie in the sidebar, then click the "Video Chapter" button at the top. This opens a. new viewer window. Your movie will start playing, and every where you want a chapter to start, click the "add Chapter" button. You can adjust the exact start and stop later, or erase a chapter and reset it. When you have made all the chapters you want, click "Add Chapters on Menu" at the bottom. That will automatically break your movie into chapters, that you can drag from the sidebar to the menu. Be careful because they will all say the same title, but they are the different parts. They are listed in order so if you drag them in order you should be fine.
I've written the app author about being able to change the chapter names and it is not possible at this time, so if you are not sure which is which, you can click the little pencil on each chapter and it will open a window that shows the whole movie with the chapter identified. If you want to see just the chapter, press the button that looks like a little black box in a tray. You can adjust the chapter by drawing the little indicators left or right. Then click done.
In the menu window you can have little clips for each chapter, or edit the frame by selecting the frame, and clicking "edit frame" below it. You can change it to a text title instead of the movie frame, or select a static image from the chapter. You can also resize and change the frame style here, or in the menu. One thing I have not figured out is how to have a frame and text for each chapter, so what I did was just added my own text box by clicking Add Text. You can make a different text box for each chapter, then select it and click "edit text" below. That way you can chance font, colors, size, outlines, shadows, etc.
Hope that helps. They do ache a support email, and some youtube videos that might help too. Good luck!