The Director of Music Department

Text 1047. This is a sinkhole

For a film, first establish a project, find investment, produce, and distribute!

The distribution here is not just the release of movies, but also the distribution of various copyrights.

The channel resources in this area are completely controlled by several giants in Hollywood.

Maybe they cannot have an absolute monopoly, but they are relatively monopolized.

Because maybe there are some small distribution companies, they can also distribute movies, and even some companies can do it, a lot of screens.

However, small distribution companies are far behind in terms of publicity.

How do the publishing companies under the giants make money?

First of all, the regular distribution share, this part is the direct profit of the issuing company.

Regardless of the box office of your movie, the distribution company will draw this part in proportion.

The second is to announce the budget.

Generally speaking, for relatively promising movies, the distribution company will advance the publicity budget.

Including, publicity budget, and distribution copy costs and so on.

The latter has nothing to say.

But the former has a lot to say.

First of all, for the issuing company, although they advance the promotional expenses, it is because this part is profitable for the issuing company.

Especially for giants who control a large number of publicity channels and resources.

For example, in the budget, how much does it cost to buy the page of a certain newspaper, but in many cases, they will give priority to companies under the parent company of the group.

It can be said to be left-handed and right-handed.

Then, when the movie is released, they will first deduct the money from the movie box office share.

The only possible risk is that the box office share is even lower than the promotion fee paid in advance.

But most of the time, this possibility is very low.

Because as a distribution company, most of the time, they can set a certain box office expectation for a movie through feedback from various channels in the early stage, and then make a publicity plan.

Therefore, the most profitable and safest thing is always the issuance.

If the movie sells well, everyone is happy, the distribution company can make a fortune, and the producer can also share a lot of profits.

But if the film loses money, it is the producer who loses first, not the distribution company!

For example, if a movie costs 10 million yuan, the distribution is divided into 10%, and the publicity budget is 3 million yuan!

As a result, the box office was only 10 million!

So at this time, if the share with the theater chain is calculated at 50%, that is to say, the theater chain will share the past 5 million box office share with the distribution company.

At this time, the distribution company will first take away 1 million distribution share, and then deduct 3 million from the publicity budget. In the end, the producer can only get 1 million share.

But the fact is that, generally speaking, a distribution share of 10% is almost impossible for outsider film companies.

This is also the reason why many domestic movies would rather sell out than release them normally.

Because that is the real tiankeng, unless it is the work of a director like Wang Yifan who is well-known and has great confidence in the film, otherwise, most of the time, some domestic films pass normal in Hollywood. Movies released in the way of distribution are often at a loss.

Of course, if the movie sells well, there will naturally be other income, such as income from copyright peripherals.

But if the movie does not sell well, then these copyrights and peripheral income based on the movie box office are not worth mentioning.

The reason why Hollywood giants are more resistant to risks is that most of the time, they are both producers and distributors, and even operate their own theaters. Therefore, this is the real profit without middlemen.

To put it bluntly, the issuing company, more often than not, is actually equivalent to a middleman!

 …

Although Wang Yifan is not optimistic about Ahri Media's so-called globalization strategy, Ahri's PPT is still quite good.

At least, many film companies in China were moved.

Why, in their view, if there is one more market, and it is the world's largest market like North America, at least one more income, right?

This is indeed the case.

Although this income is likely to be so low that these film companies are speechless, it has to be said that purely from this aspect, there is indeed an additional income-generating channel.

But if it is really based on the North American market, then it is the real tiankeng.

"It's better not to participate in the cooperation. Overseas distribution, it is enough to cooperate with Hollywood giants. After all, it is not domestic." Wang Yifan said calmly.

Lin Husheng nodded.

In fact, for Huaxin, for Wang Yifan's film project, Ari's so-called new distribution channel is really not attractive.

Because Wang Yifan's movies are co-operated with giants in Hollywood, so most of the time, they may be shared with a lot of profits, but it can definitely be regarded as a win-win situation.

Because Wang Yifan's movie itself has a high box office potential, so, naturally, there is no such thing as a big shop bullying customers.

In fact, this is also a tacit agreement.

As long as you don't get involved in distribution, be your leek, and the Hollywood tycoons will naturally not let their money go without making money.

In the previous life, DreamWorks finally compromised and gave up the distribution rights!

It can be seen that distribution is the real red line for Hollywood giants! The bottom line that outsiders are absolutely not allowed to be contaminated!

"However, it may not be very attractive to us, but to other companies, isn't this attractive?" Lin Husheng still frowned.

Wang Yifan nodded and said, "That's for sure!"

"At least in the short term, Ahri Media's release of this piece will definitely attract many companies, but this is actually a sinkhole." Wang Yifan sighed.

"What do you say? Wouldn't it be a good thing to have one more market?" Lin Husheng asked suspiciously.

"Yeah, it's a good thing, but when we usually make movies, we first estimate the movie's box office potential and return on investment, which is only for the domestic market, but once someone has high hopes for the North American market, what do you think the result will be? situation?" Wang Yifan asked back.

"You mean, you will miscalculate the size of the market?" Lin Husheng said with wide-eyed eyes.

"Yes, this is really a sinkhole!" Lin Husheng immediately nodded with a wry smile.

Why do you say that?

This involves the cost of the movie.

For example, why did Hong Kong Island movies decline?

To put it bluntly, the movie itself is a money-burning business.

But in the early days, everyone knew the local box office market on Hong Kong Island, and in addition to the relatively stable box office in Southeast Asia, they would control costs according to this scale.

For example, the box office of the first movie is 30 million Hong Kong dollars.

Then film companies that use the local market as their ticket warehouse will naturally strictly control costs.

The cost is mostly no more than a percentage of the box office of a headline movie.

But if they miscalculate the size of the ticket warehouse, then at this time, they will have big problems in cost control.

Still looking for "Music Department Director" free novel?

Baidu direct search: "" Reading novels is very simple!