Lecture #10 - Lecture 10 Marketing Tends to be a fixed cost...

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10/27/09 Lecture 10 Marketing Tends to be a fixed cost for opening a movie Marketing costs prevent indie movies for being picked up, more so than acquisition cost Release Patterns Months in advance financier and distributors set the release schedule o All know what the competitors release schedules are o Make sure own movies do not compete with target demographic, style, etc o Difficult because a lot of movies and not a lot of weeks Decide between o wide release o limited release o platform/exclusive release – documentaries, independent, foreign film, WOM, no money to release in higher number of theaters Released platform than any others Exhibition Competition Increase competition for recreational dollar Less recreational dollars to deal with for consumers DVD Real estate It is more the real estate business than the film rental business o Theaters that own the land & theaters that rent the space
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o In an economic downturn theaters that own the land survive
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Lecture #10 - Lecture 10 Marketing Tends to be a fixed cost...

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