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1、AccountingTHEBUSINESSOFSELLINGMOVIESBYS.MARKYOUNG,JAMESJ.GONG,WIMA.VANDERSTEDE,TATIANASANDINO,ANDFEIDUOnceamovieisproduced,it’sallaboutgettingasmanyeye-ballsaspossibletoseeit,astheysayintheindustry.Butthecompetitionissteepgiventheavailableentertainment
2、optionsforconsumers:Videogames.Television.Homevideo.Music.Sports.Inthissequelto“TheBusinessofMakingMovies”intheFebruaryissueofStrategicFinance,we’llpresentourresearch(whichincludeddataonmorethan2,000movies)onthekeysuccessfactorsthatleadtobox-officesucc
3、ess.Nowonwiththeshow.March2008ISTRATEGICFINANCE35MARKETINGANDDISTRIBUTIONtronicmediacampaignstoencouragepeopletopassTheterm“distribution”oftencoversboththemarketingalongmessagesaboutanewmovie.andplacementofmoviesintheatersand,ultimately,oth-Oneofthebes
4、t-knownexamplesofviralmarketingermarkets,suchasDVD,video-on-demand(VOD),andinvolvedthe1999releaseofTheBlairWitchProject,antelevision.Formajorstudiomovies,boththeproductionindependentfilmthatcost$60,000toproduceandthatandmarketingbudgetsarecommittedsimu
5、ltaneously.airedattheSundanceFilmFestival.ArtisanEntertain-Whileastudiomakesthemovie,itsmarketingdivisionismentpurchasedtherightstothefilmfor$1million,developingacomprehensivemarketinganddistributionspent$20milliononamarketingcampaign,anddistrib-planfo
6、rthefilm.utedthefilm.LaunchedontheInternet,thecampaignsuggestedthatthefilmwasarealdocumentaryaboutMarketingthreestudentswhodisappearedinthesecludedwoodsofManypeoplenowconsidermarketingtobethekeyfactorMaryland.Themoviewentontogross$249millionthatleadsto
7、box-officesuccess.Overtime,marketingworldwideattheboxoffice.costshavebeenescalating.AnaverageamountforaLicensingisanothercriticalpartofmarketing.OneofMotionPictureAssociationofAmerica(MPAA)filminthebestexamplesisthe10-yearrelationshipbetween2006was$34.
8、5millioncomparedto$25millionin1999,McDonald’sandtheWaltDisneyCompany.Saidtobeaanincreaseofalmost40%insevenyears.$1billiondeal,McDonald’spaidDisney$100millionaAmovie’smarketingbudgetoftenreachesashighasyearanddid11promotionsofDisneyfilms