An Introduction to Film

(Marvins-Underground-K-12) #1

homogeneous audiences must attract them through
publicity generated by media coverage, festival
screenings and awards, and audience word of mouth.
Today’s movie audiences are composed primarily
of young people, whose preferences are reflected in
the following list of the fifty highest-grossing films
worldwide. The list in Table 11.4, which is not
adjusted for such factors as ticket-price inflation,
population size, or ticket purchasing trends, neces-
sarily gives more weight to recent films (in this case,
those made since 1977).
The mode of production determines how the
activities in this final phase of postproduction are
accomplished. Under the studio system, in the days
of vertical integration, each studio or its parent
company controlled production, distribution, and
exhibition. Independent producers, however, have
never followed any single path in distributing films.
A small producer without a distribution network
has various options, which include renting the film
to a studio (such as Paramount) or to a producing
organization (such as United Artists or Miramax)
that will distribute it. These larger firms can also
arrange for the film to be advertised and exhibited.
Deciding how and where to advertise, distribute,
and show a film is, like the filmmaking process
itself, the work of professionals. During the final


weeks of postproduction, the people responsible
for promotion and marketing make a number of
weighty decisions. They determine the release date
(essential for planning and carrying out the adver-
tising and other publicity necessary to build an
audience) and the number of screens on which the
film will make its debut (necessary so that a corre-
sponding number of release prints can be made
and shipped to movie theaters). At the same time,
they finalize domestic and foreign distribution
rights and ancillary rights, contract with firms who
make videotapes and DVDs, schedule screenings
on airlines and cruise ships, and for certain kinds
of films, arrange marketing tie-ins with fast-food
chains, toy manufacturers, and so on.
The model for distributing and exhibiting a movie
depends on the product itself. For example, there are
exclusive and limited releases (a first-run showing in
major cities, often used to gauge public response
before a wider release), key-city releases (a second-
tier release that further measures public response),
and wide and saturated releases on hundreds or
thousands of screens in the major markets as good
reviews and word of mouth builds public awareness
and demand. In addition, based on the mode of
release, there are complex formulas for establish-
ing the rental cost of a print (or digital download),

TABLE 11.3 (continued)

Subtotals Totals Grand Totals

Insurance $2,800
Miscellaneous expenses $3,350
Trailer (preview) $2,000
Stills $850
Publicity $3,000

INDIRECT COSTS $239,778
General studio overhead (35%) $223,822
Depreciation (2.5%) $15,956

GRAND TOTAL COST (release negative) $878,000

Source: Adapted from Joel Finler, The Hollywood Story(New York: Crown, 1988), p. 39.


MARKETING AND DISTRIBUTION 509
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