Film distributionLearning Outcome:-understand key terms-to know what distribution is-how it occurs/works

Key terms Distribution Legal rights (to be shown) Box office British cinema Hollywood Ownership

Vertical integration Horizontal integration Conglomerate Parent company Subsidiary company

Marketing Above the line / below the line Premieres/screenings etc

Synergy Local distribution Exhibition Cinema release Release dates

What is distribution? Film distribution describes everything that happens in between production (making

the film) and exhibition (people watching the film in cinema, DVD, television, via the internet, a plane or anywhere else!)

Distribution involves all the deals done to get the film shown including the promotion.

Involves: Acquiring legal rights to show a film (+ownership) Distribution is about releasing and sustaining films in the market place Marketing and releasing the film Making and distribution of prints/files to cinemas Making and distribution of DVD/blue ray to stores

Film distributers The key players in film distribution are the

big companies which controls much of the industry, control the distribution of their own products, and of others

Films are loaned out to cinemas for a set amount of time

release dates are secured a set number of screens and screen times

OWNERSHIPVertical/horizontal integration

Vertical Integration Horizontal Integration

The three stages are seen as part of the same larger process, under the control of one company (conglomerate – 1 large institution)

*control over ALL stages of production, distribution, exhibition

Distribution is a collaborative process, ( not conglomerate = multiple companies) requiring the materials and rights of the producer and the cooperation of the exhibitor to promote and show the film

*only control over some stages of production and/or distribution and/or exhibition

The parent company owns multiple companies across different stages of the film industry.

The parent company owns multiple companies at the same stage of the film industry. A smaller company, owned by the parent is a subsidiary.

Vertical/horizontal integration

Production Production Production

Distribution

Exhibition

Horizontal

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Owned by subsidiary company

Example of parent company: _____________________ _Example of subsidiary company: ____________________

Types of distributionMAJOR US STUDIO INDEPENDENT PRODUCER

Generally have their own distribution offices in all the major territories

By contrast, they have to sell their films to different distributors in each territory

Film distributors in the UK 5 major distributors dominate the UK film industry:

United International Pictures Warner Brothers Buena Vista (disney) Twentieth Century Fox Sony

Roughly 9/10 films seen in the UK are distributed by the above companies

*This does change from every few years…..

Local distribution‘Local’ distribution

– one country – not 90+ territories-Cinema, DVD, TV rights

A local distributor will conventionally share profits equally with the producer for the theatrical leg, pay back higher royalties for broadcast rights, and lower for video/DVD

Different films made my different companies are distributed differently:

-different parts of world (global vs local)-different levels of distribution/exhibition (ex. Some not go to cinema)

British film vs. American film Advantages of American film/studios

compared with British film. American films has the same advantage

with the language. American studios have an enormous

capital (money/profit) at their disposal American film companies can afford to

take a risk- 1 in 9 films fail at the box office

Why can they afford eight films to fail?

American film diet for British British film producers periodically experience

boom periods What do you think about now? What are successful British films? Why?

Although the British film industry attract a large global audience, in Britain we experience a large film diet of American films

Why? Due to the popularity of Hollywood films in the UK, the

distribution of films into cinemas and DVDs into our shops in dominated by US companies, who are clearly going to put their money into their own products

Cinema release and legal rights Film distribution has its own unique procedures

Success or failure of a cinema release determines how the DVD and TV releases will be handled subsequently (after)

In the international film business, the rights to screen a film are sold in respect of distinct ‘territories’ (such as the UK)

British film in America What do you think the advantage of British

films going to America and across the world?

(Compare this with just being distributed in Europe) America is geographically huge Americans and a number of countries

around the world speak English The size of the audience for a film is

potentially huge

Film distributors (small companies) What are the issues for smaller distribution

companies? They have to compete with the larger distributors for the bigger

films Being in digital age (new processes/equipment is £££) Every film shown in a cinema is a separate ‘print’ of the film

projected via a reel The major companies can afford to produce far more prints

than the smaller companies, knowing the expensive costs will be will be worth it in relation to box office returns

Small companies often support smaller films which might aim to educate (not make lots of money but to enlighten audiences)

A small company (producing a less commercial product) can not afford to produce a lot of prints, so people who want to see more alternative films often have to wait until their local independent cinema has a print often little choice of where and when you see it!

Film distributors IN most cases these distributors have direct links to

Hollywood production companies that make the films. They deal with exhibitors who are no longer (they used to be)

owned by the same Hollywood companies, but they (for reasons of profit) prioritise Hollywood films over

theirs Usually the blockbuster films we are familiar with are

distributed via ‘blanket release’, so even if a small UK independent company manages to get its product into cinemas it is usually competing for attention with one or more films that take on the status of an ‘event’

One of the outcomes of the distribution arrangement outlined above is that half of the films released in Britain do not reach the whole country

Release datesThings to consider AnswerWhat is the aim of most films?

Who releases them?

When is it the best time to release films?

How do they do it?

Release datesThings to consider Answer

What is the aim of most films? To make the highest amount of money from the largest audience (at box office)

Who releases them? Distribtors Film Distributors Association – oversee process10 releases a week

When is it the best time to release films for optimum success?

Fridays/weekends (when people go out)

Seasons (valentines, Halloween, Christmas)

In relation to other releasedNear (before) Oscars

How do they do it? Marketing/promotional campaigns(most expensive part!)

Marketing/promotion Why is this important to the film industry?

To make return (money back which was invested for production)

To make return on distribution costs (prints) A Hollywood blockbuster is released ‘wide’ with one or more prints sent to each

multiplex. Typically 400-500 prints, each costing £1000. So, a significant investment

To make more income (profit) at box office and from merchandise

The wide release of a film depends on a blanket of promotional and advertising coverage for the first weekend (or more) to create a ‘buzz’ about the film. Some big films are advertised months before release…..

Marketing Think of all the ways films are marketed (a way to get people to consume/buy):

*consider above the line/below the line….

Above/below the line marketing/advertising ‘Above the line’ advertising which will be funded

as part of the project Trailers billboards various other spin offs e.g. McDonalds happy meal

toys and in house promotion of the film.

‘Below the line’ publicity which is not paid for but generates mutual interest an interview with a magazine or newspaper or

reviews (any positive reviews will obviously help the promotion of the film although any bad publicity will obviously have an impact on the film

Marketing (advertising) Posters Adverts in……… newspapers, magazines, billboards, poster outside on telephone boxes, buses, taxi etc……intunes/netflix etc) Trailers (often free to TV & radio stations)

TV (commercials) Radio Online

Pop ups YouTube Social Media: facebook, twitter etc

Films (in cinema) Films (beginning of DVD)

Preview of part of film (like first 8 minutes online) Non traditional promotion

Viral videos………….competitions/games/voting etc (usually through social media) Film premieres (stars turn up….hold interviews, sign autographs etc) Advance public screenings (sometimes competitions)

A distributor will consider the use of advance public screenings to create word-of-mouth and advance 'buzz' around a film. Interviews with big stars and directors (as they are often setting points of big films) Award ceremonies (film festivals etc) Film website Pre-orders (on iTunes) Synergies

Products with other companies (etc Mobile phone (James Bond)…..burger king (Transformers)….) With TV shows (X-factor will film/show the films premiere)

Preview screenings for journalists/critics (able to write/talk about them = passes down…..) Pre release campaigns (Many independent distributors in particular do not have press departments, and will consequently hire a press

agency to run a pre-release campaign)

Which are Above the Line/Below the Line?

Life of marketingRemember that marketing isn’t just BEFORE the film is released

To sell DVD To sell downloads

Often the selling points of these is the success in cinemas! Re-release (Example – titanic) To sell on iTunes (sales such as .99p ……or part of packages) Reason to buy netflix/lovefilm etc.

Of course to sell merchandise too…..clothing…..toys…….video games etc.

Prints It is called ‘film’ because this used to be shot on FILM

Cameras have film reels Prints were made to show in cinemas

Just recently, the industry has moved to digital distribution and digital projection/exhibition However, prints still exist

To show in smaller towns/cities that don’t have digital capabilities To show in traditional cinemas that still believe in and celebrate the old tradition of classic filmmaking Financially, only massive films with massive budgets can afford to create prints (and digital)

MAKE 35mm (the size of the actual film reel)

COST £1000.00 per print

HOW SHOWN Hired by exhibitor

Disadvantages of prints What do you think?

Disadvantages of printsDisadvantages

Expensive to make

Expensive to store (very big)

Expensive and difficult to transport

Makes showing time longer(if only make 100 prints, only 100 cinemas can show it)

Very fragile, easily damaged

Wear and tear = get damage the more used/watched

Wasteful (get thrown away to view)

Digital distribution & projection It is likely the film is firstly shot on digital cameras and

therefore editing in digital software programs (production)

Digital projection, especially when married to the increasing use digital formats in production, can now replicate - if not surpass - the image quality of conventional 35mm cinema presentation

The compressed and encrypted files sent directly to cinemas to be downloaded, de-encrypted (unlocked) and opened as files for screening with digital projection equipment.

Digital distribution & projectionADVANTAGES DISADVANTAGES

Cheaper (no prints)

Instant transportation as the files are sent electronically (not long like transferring prints)

Piracy

Able to make money faster Films are likely to be more commercial/mainstream (preventing the promotion of independent cinema)

The shortened first-run period will allow distributors to release on DVD earlier

Digital Screen Network DSN sites supports new facilities

in 211 screens across the country (out of a total of just over 3,300)

small but important step change towards full digital cinema

The Exhibitors (cinema chains) in 2004:Cinema Chain Number of

screens

Odeon/ UCI 930

Cine UK and UGC 780

Vue 580

Showcase 250

Others 1000

Only Showcase remains in American hands, but all the other chains are deeply committed to distributing American films.

Film distribution Consider what the following quote

means: If you break it down and look at it as a

business then the audience has the greatest power. It’s the audience who likes a particular superstar, then Hollywood is forced to use the superstar and that star then becomes extremely powerful.

What does this mean?

Film distribution Consider the next quote:

In a world where money spent in the budget of a film often sees 50% going on promotion as opposed to what you actually see on the screen, the idea that we have a world where the consumer can exercise authority is absurd.

This industry is like any other. Of course it has to see things but it doesn’t rely on waiting, listening , responding to an audiences want and then delivering that to them.

It relies on knowing which parts of the world and the media need its products and will pay for them.

What does this mean?

Questions about quotes Which person is right?

Does market forces give the consumer more power and choice and thus influence what we want is what is being made for us to buy?

Or does it actually convince us that what we want is being made for us?

Do millions of people go and see Pirates of the Caribbean 2 in the first week of release because, A) its expected to be as good if not better than the previous film, B) because it has had good marketing? C) or both?

Key terms Distribution Legal rights (to be shown) Box office British cinema Hollywood Ownership

Vertical integration Horizontal integration Conglomerate Parent company Subsidiary company

Marketing Above the line / below the line Premieres/screenings etc

Synergy Local distribution Exhibition Cinema release Release dates

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