tfc_blog

SELLING YOUR FILM WITHOUT SELLING YOUR SOUL

–      TIPS ON HOW TO DO JUST THAT –

–      Highlighting DIY Tools & Services You Should Know About –

 

By Sheri Candler and Orly Ravid

These tools and services are either ones that were used by filmmakers in the book  Selling Your Film Without Selling Your Soul or ones that we reached out to for support of the book because we believe in what they’re doing.  To be sure there are others to be covered in future posts.

 

1. Amplifier-http://amplifier.com/what-we-do/ECOMMERCE TOOL –

This company powers the estore for Nina Paley’s Sita Sings the Blues. She sells DVDs (both standard edition and artist signed edition), tshirts, necklaces, pins and soft toys. Amplifier is an ecommerce tool that allows you to sell custom merchandise directly to your fans, cutting out the retailer middlemen, by providing fulfillment and customer service. If you don’t have a warehouse and staff and equipment to store, pack and ship your merchandise and deal with any complaints (and I know you don’t), Amplifier takes orders from your site, stores your merch in their warehouse or fulfills just in time merchandise, ships it out and handles any customer problems seamlessly. They can also service custom orders (like give freebies to any order over $50 if you want to do that, or they can fulfill print on demand merchandise) all under one roof.

 

2. Believe Limited-http://believelimited.com/Monetizing YouTube and Viral VideosAdventures of Power utilized this service to help raise their Youtube profile. There is a whole section in the book written by Ryan Gielen about what Believe did for the film. The gist of their service is video marketing that helps a film reach the top spots on Youtube, Amazon, iTunes etc by spreading video content around, collecting large amounts of views, comments and subscribers (in the case of Youtube). They design branded channels and help craft video content that is compelling enough to spread and help seed it around the Internet to ensure that it spreads. According to their service sheet for a $50K campaign that runs 6 months, they recommend creating 20-25 pieces of video content that they can drive roughly 5-6 million views on Youtube. They start from the film’s target release date and work backward to help plan out the content release strategy that will ensure a continuous build up of interest and viewers. 

 

3.  ConneXtion –  http://www.theconneXtion.comFulfillment services of all Media Jon Reiss recommended them to handle fulfillment for our book and he has been happy with them as is Topspin which considers them a preferred vendor.  The ConneXtion was founded in 1997 and has been running the direct2fan (d2f) business for artists, labels, authors, filmmakers, comedians, nonprofits ever since.  They’ve worked with films such as The Yes Men.  They handle fulfillment and manufacturing for DVDs, CDs, Merch, books both on digital and brick and mortar side.  COSTS are: OFFICIAL D2F STORE: $200 setup fee & 80% paid on all physical items and digital albums sold direct2fan. DISTRIBUTION to DIGITAL RETAIL: No setup fee; 85% paid on each dollar from retail. ConneXtion’s services are: DISTRIBUTION -D2F:  physical and digital cds/merch/etc sold via an estore; DIGITAL to RETAIL (ie iTunes, Amazon, Emusic/400+ others); PHYSICAL to RETAIL (ie. brick and mortar stores); DISTRIBUTION of PHYSICAL items via AMAZON, eList/Newsletter Management (coming Fall 2011), Tix, Licensing, and Clearance of Cover Songs, and eMarketing.

 

4. DISTRIFY www.Distrify.com – DIY TOOLSET

One can use Distrify to sell a film anywhere on the web and via social media platforms by embedding their widget. Ideally one gets one’s fans to embed the widget on forums, blogs, websites, etc.. If your trailer and film are on Distrify, when you share the clip, you’re also sharing the store to buy the film or find out about upcoming screenings. When your audience shares it further, you’re always spreading the point-of-sale along the way. Anyone who shares it gets paid a share of sales they generate. One does not have to start selling through Distrify right away – one can use it to promote screenings and events through the trailer interface. If the film’s not available in the user’s area, they can make their interest known directly through the player as well. Distrify compiles the statistics for filmmakers and give them the mailing list data – all part of their service. Any new screenings you add are also automatically listed in all the players that have been embedded around the web. And when one wants to start selling the film, one can add it as well. There are no up-front charges, fully non-exclusive, and they don’t need any rights.  They take a 30% transaction fee on sales and split the 5% affiliate revenue with the filmmaker. Distrify worked with Adventures of Power and is also working with Lionsgate in the UK, for example.  Excerpt from the book regarding Adventures of Power: “In terms of the player/purchase options, Ari noticed a huge emerging fan base in Mexico that he speaks of in his interview. He realized 50% of his 100,000 Facebook fans were in Mexico. Distrify added Spanish closed captions as well as English and they introduced streaming as an option in Mexico. They’ve been told that several companies prevent streaming in Mexico, and they added the Mexican Peso as a currency that people can sell with.”  The Adventures of Power team was especially impressed with the Facebook tab – which will soon have customizable art, html linkage, and of course, the Distrify player widget.  It’s easy to add (embed) the widget – so not only is it easy to get on the film’s website and blog, etc. but it is easy for affiliates to embed as well. NOTE: The key will be to have consumers be comfortable with buying films this way and via DIY services in general and that should get easier and easier with time. And of course marketing and publicity are up to the filmmaker’s team as usual.

 

 

5. Dynamo Player – www.Dynamoplayer.com – DIY TOOL

 

Filmakers use Dynamo Player by embedding the video viewer on their own website and by having a film’s fans embed it on their websites or blogs for a rental period of the filmmaker’s choosing. Prices are set by the filmmaker, payment is immediate via Paypal and a monthly statement is sent letting one know how many streams were sold, geographic information, and where the traffic originated. Dynamo is non-exclusive and enables any filmmaker to immediately upload their film, set a price, publish the film on their own site and elsewhere with no up-front costs or monthly fees. Filmmakers receive 70% of every transaction, every time, with no hidden costs, no matter what features they use and they get paid immediately by every viewer, no matter where they watch the film. They can include a free trailer, supplemental videos, multiple language versions and other bonus material at no additional cost. Viewers pay easily with PayPal, Amazon or credit card in just a couple of clicks. A single-click auto-debit option is coming soon as well. Payments are made to the rights holder by PayPal or Amazon, on-demand, at any time. Some filmmakers get paid every week if they want and we are happy to write checks for high volume publishers. Dynamo accepts all currencies and works in any country.  Dynamo provide sales numbers and a range of related data by day, week, month or by a custom range of dates. Sales statistics are immediately available, so there is never a need to wait for a monthly report to see your sales performance, but a formal downloadable or printable monthly report will be available in July. Filmmakers can also see statistics for trailer views, player interaction, payment follow-through and more, so they can gain insight into viewer behavior and tweak the presentation of their film to boost sales.  Filmmakers can control access by DVD Region, continent or country with a simple set of checkboxes. Dynamo enables geo-blocking at no cost because we consider it absolutely necessary for independent filmmakers to have this option while shopping their films in different markets. Dynamo often includes films in public announcements, blog posts, tweets and other marketing efforts. Dynamo filmmakers have been featured in stories on IndieWire, GigaOm and other media sites, and have earned new sales when their films have been embedded within the articles.

6. EggUp – www.EggUp.com – DIY Platform / Tool

EggUp is a publishing platform for filmmakers and film distributors. They note that they “help filmmakers and distributors rent and sell their films online while preventing piracy”. Their free online publishing tools can help one distribute and sell film or video which is all packaged and encrypted into a file called the “Egg”. The Egg is made available for download and allows consumers to watch and share with friends and family virally while filmmakers are able to make money. With EggUp gets a website to promote their film together with an integrated pay per view solution. They also list your films in our film catalog called GoEggit. One can distribute the Egg on a website, and other online retailers with your very own buy now button without setup fees and inventory.  They are Worldwide and can Geo Filter as needed.  Again the key is marketing one’s film; they can’t do it for you.

For pricing and fees etc go to:

http://www.eggup.com/how_it_works/transactionfees

http://www.eggup.com/pricing

 

7. LBi-http://www.lbi.com/us/ – ePR and Internet/Viral Marketing Services

Case study Adventures of Power utilized LBi for their ePR services paid for by their distributor Phase4. LBi focused on media placement for trailers and news stories on a large array of film and entertainment websites. LBi provides a multitude of services, including social media maintenance, but AoP did not find their “voice” authentic for the film’s social media sites and instead funneled the firm’s work into utilizing relationships with website editors and bloggers to secure unpaid editorial features for the film, a useful service since filmmakers typically do not have these relationships.

 

8. Prescreen – www.Prescreen.com —  PLATFORM

 

Prescreen is a new platform that curates films and distributes them via a daily email to an opt-in audience.  Their list is presently approximately 40,000 and growing daily. It is free to sign up to receive the Prescreen daily email. One has the opportunity to ‘rent’ the movie to stream. Each movie they feature lives on Prescreen for 60 days (and this is an exclusive period in terms of digital distribution). On Day 1, the movie costs $4 and one will have up to 60 days to view the film; while on Days 2 – 60, the movie costs $8 and one has 60 – (x days) to complete the film. Though a moviegoer has up to 60 days to complete the film, ‘renting’ on Prescreen is similar to that of any other mainstream steaming services offering 48 hours to complete the film once one starts the stream.  TFC worked with Prescreen for its first film during the Beta phase, HOW TO START YOUR OWN COUNTRY, and the numbers of transactions are as follows:  As of 10/18/2011 (when this was drafted) the movie will still be available on Prescreen for another 27 days, so the numbers will probably change. 19 sold during Private Beta; 46 sold on Day 1; 18 sold after Day 1 (21% of total sales have come after Day 1).  Prescreen noted: “This 21% is consistent with the breakout we’re seeing for other movies as well. Across the site we’ve seen about 22% of purchases come after Day 1.” RE: The 60 Days and WINDOWS (I quote Shawn Bercuson Founder & CEO): “Individual filmmakers typically view Prescreen as a marketing and distribution outlet while bigger libraries and producers tend to see prescreen as a promotional tool given the finite amount time a movie lives on Prescreen (60 days)… We built Prescreen as a way for content owners to gain more visibility into their target market and transparency about their core audience. At scale, we believe Prescreen is most powerful when used as a promotional tool along side other distribution windows in other mediums (theatrical, DVD, etc). By doing so, a content owner is able to leverage existing marketing dollars from other windows and capture (and capitalize) on the audience however way they want to consume online. Once the content owner understands his/her audience, they can market within the digital medium much more efficiently and cost effectively. “

9. Sonicbids-http://about.sonicbids.com/bands/how-it-worksPAIRING BANDS TO BRANDS: Sonicbids is an online matchmaker between bands looking for gigs and promoters and brands who need music. According to their website, their mission is to help create and empower an Artistic Middle Class through the use of innovative technology. The site helps fashion an EPK for bands who are looking for bookings, either live or in partnership with brands (your film is a brand) so that they may be found by promoters or marketing people. They also allow bands to search people looking for talent for international music festivals, clubs, songwriting contests, radio, licensing and more and vice versa. This how Hunter Weeks and Mike Dion found music for their film Ride the Divide‘s soundtrack.

Excerpt: “In the case of Ride the Divide, they specifically targeted bands that

lived in one of their niche communities. They used a source for music called SonicBids.com, where musicians offer their music for use in films, events and concerts. Half of the musicians in RTD came from Sonicbids and they specifically searched for musicians from the states along the Rocky Mountains.”

 

 

10. VODO- http://vodo.net/Peer-to-Peer (P2P) Monetized File Sharing

Case study Pioneer One has been releasing their episodes on VODO since day one. To date, their series has been downloaded over 3.2 million times and raised almost $80,000 for the production costs through fan donations.

According to their website, VODO was launched in late 2009 to help creators promote and distribute their independent films, music and books using Peer to Peer technology [some call them pirate sites]. VODO believes there is immense untapped potential for independent creators in P2P distribution and that the new model of networked, free-to-share, peer-powered distribution will soon present better opportunities for creators than the old scarcity-powered models (theaters, DVD, etc.). Each month they release and promote one free-to-share film, in conjunction with their distribution partner BitTorrent and viewers are encouraged to donate funds to the productions they view. Pioneer One raised $30,000 in its first eight weeks using VODO. The Yes Men Fix The World raised over $25,000 in its first month using VODO.

 

 

FULL DISCLOSURE: Both Prescreen and Dynamo player sponsored our book but we pursued them because we believe they provide a good service to films and filmmakers and are great solutions.

November 7th, 2011

Posted In: Uncategorized


Legal Tips for Filmmakers

By The Film Collaborative Legal Counsel Cherie Y. Song, Esq.

 2257 Regulations

§ 2257 of Title 18 of the U.S. Code, the enforcement guidelines for the Child Protection and Obscenity Enforcement Act of 1988, requires producers of visual depictions of actualsexually explicit conduct to maintain records to ensure that actors in such depictions are not minors and to label materials containing such depictions with the location of the records.  In 2006, Section 2257A broadened the record-keeping and labeling requirements of 2257 to visual depictions of simulated sexually explicit conduct.  Failure to comply with either is a criminal offense.

What does this mean for the indie filmmaker?  Practically speaking, if your film contains at least one simulated sex scene, regardless of genre, and the film’s original production commenced after March 18, 2009, then you may be subject to the record keeping requirements of Section 2257A unless you’ve timely filed what’s called a “safe harbor” exemption letter with the U.S. Attorney General certifying, among other things, that in the regular course of business, you collect and maintain IDs of all performers and give the statutory basis for eligibility for the safe harbor.

Because distributors, as “secondary producers,” may be required to maintain records that identify the filmmaker for any depiction and that verify the filmmaker checked the legal age of performers prior to the date of original production, a growing number of them are requiring such safe harbor letters from filmmakers to minimize their liability.  Obtaining a safe harbor letter may be a condition to close the deal, so make sure you look into this in advance.

Terminate and Revert.

You’re sick and tired of waiting for him to live up to his promise, and you remind him and remind him a second time, and he still forgets.  You’ve had it and want out.  Where do you go from here?  In the context of a distribution deal, you want your contract to contain a clearly written default/termination provision that allows you an “out” if the distributor fails to do something material, say pay you overages or send you statements.  Make sure your rights automatically revert to you upon termination (but subject to any pre-sold territories).  In addition, make sure you have an “out” if the distributor files for bankruptcy or assigns the contract to an unaffiliated third party who may not necessarily be able to live up to the promises the distributor made.  Then you can take your film and try to monetize it in any unsold territories, which may be difficult, but it’s better than the alternative, which is to be stuck in a bad relationship.

Terms Should Be Defined.

It’s not uncommon – in fact, it’s the norm – that distribution contracts contain undefined terms, or better yet, terms whose definitions are to be given meanings “in accordance with industry standards.”  Some filmmakers prefer the IFTA definitions because they are believed to be on their faces more “fair” than the definitions contained in some distributors’ contracts.  Read the definitions carefully, and make sure you’re not inadvertently giving your rights away.  For example, if you want to stream your film on your website(s) or social networking pages, make sure the definition of “Digital Rights” in your contract excludes this right.  You may want to consider putting in a reservation clause as follows:  “Notwithstanding anything to the contrary contained herein, Licensor shall retain the right to [list reserved rights].”  In all cases, you should have a qualified distribution attorney review the contract to make sure it reflects the deal you made.

Please also refer to TFC’s Digital Distribution Tips in regard to definitions of digital rights. Technology of delivery is not the only factor that should be considered in defining and categorizing rights. One must consider payment methods and potential modes of receiving content.

Payment Triggers.

If you’re getting a minimum guarantee (usually paid out in installments), your contract should contain clearly defined triggering events for payment(s) and a time period within which such payment(s) should be made.  If distributor fails to pay the full MG within a certain time period following complete delivery, you should have the right to terminate the agreement, get any materials in distributor’s possession returned to you and all rights granted to the distributor should revert to you so you can take your film elsewhere.

Disclaimer:  This article contains information of a general nature that is not intended to be legal advice and should not be considered or relied on as legal advice.  Any reader of this article who has legal matters involving information addressed in this article should consult with an experienced entertainment attorney.  This article does not create an attorney-client relationship with any reader of this article.  Cherie can be reached at CherieSong@me.com

 

October 24th, 2011

Posted In: Uncategorized


Digital Distribution Tips by Orly Ravid of The Film Collaborative.
These digital distro tips were posted on indieWIRE
and I wanted to add a tad about the cool new digital platform PRESCREEN www.Prescreen.com which launched after I composed the tips.

1. CARVE OUT DIY DIGITAL:
Distributors and Foreign sales companies alike often want ALL RIGHTS and including ALL DIGITAL DISTRIBUTION RIGHTS.
What to watch out for overall is not the purview of these tips however this is: No matter what, at least CARVE OUT the ability to do DIY Digital Distribution yourself with services such as: EggUp (http://www.eggup.com/), Distrify (http://www.Distrify.com/), Dynamo Player (http://site.dynamoplayer.com), and/or TopSpin (http://www.topspinmedia.com), off your own site, off your Facebook page, and also directly to platforms. Several of our case studies employed or will now employ these options even when sometimes also engaging in traditional distribution (e.g. Adventures of Power, Violet Tendencies, American: The Bill Hicks Story to name few). Platforms and services can almost always Geo-Filter thereby eliminating conflict with any territories where the film has been sold to a traditional distributor and often times a distributor will not mind that a filmmaker sells directly to his/her fans as well in any case. ADDITIONALLY, since I wrote this blog Prescreen, www.Prescreen.com launched its platform and we used it and so far it seems like really a great way to boost the profile of a film and jumpstart one’s digital distribution. It worked well for How to Start Your Own Country and we are trying other films now as well.

2. PLATFORMS ≠ AGGREGATORS ≠ DISTRIBUTORS:
Platforms are places people go to watch or buy films. Aggregators are conduits between filmmakers/distributors and platforms. Aggregators usually focus more on converting files for and supplying metadata to platforms and that’s about it. Marketing is rarely a strong suit or focus for them but it should be for a distributor, otherwise what’s the point? Aggregators usually don’t need rights for a long term and only take limited rights they need to do the job. Distributors usually take more rights for longer terms. Sometimes distributors are DIRECT to PLATFORMS and sometimes they go through AGGREGATORS. It makes a difference because FEES are taken out every time there is a middleman. Filmmakers should want to know the FEE that the PLATFORM is taking (because it’s not always the same for all content providers though usually it is other than for Cable VOD, for example) and know if a distributor is direct with platforms or goes through an aggregator. Also, filmmakers should have an understanding what each middleman is doing to justify the fee. On the aggregator/distributor side, we think 15% is a better fee than 50%, so have an understanding of what services are included in the fee. If a distributor is not devoting any time or money to marketing and simply dumping films onto platforms, then one should be aware of that. Ask for a description in writing of what activities will be performed. Companies such as New Video (worked on our case studies Bass Ackwards and Note by Note) function well as both a distributor and an aggregator.

3. THINK OF DIGITAL PLATFORMS AS STORES
A film should try to be available everywhere however sometimes that is too costly or not possible and when that is the case one should prioritize according to where the film’s audience consumes media. Think of digital platforms as retail stores. Back in the DVD days (which are almost gone), one would want a DVD of an indie film in big chains such as Blockbuster and Hollywood Video but especially a cool, award winning indie would do well in a 20/20 or Kim’s Video store because those outlets were targeting a core audience. With digital, it’s the same. While many filmmakers want to see their films on Cable VOD, some films just don’t work well there. Some films make most of their money via Netflix these days and won’t do a lick on business on Comcast. Other films do well on iTunes and some die there whereas they might actually bring in some business via Hulu or SNAG. Docs are different from narrative and niches vary. Know your film, its audience’s habits and resolve a digital strategy that makes sense. If money or access is an issue, then be strategic in picking your “stores” and make your film available where it’s most likely to perform. It may not be in Walmart’s digital store or Best Buy’s. Above all, if you dear filmmaker have a community around you (followers, a brand), your site(s) and networks may be your best platform stores of all. Though there is something to be said for viewing habits so I do recommend always picking at least a couple other key digital storefronts that are known and trusted by your audience.

4. CABLE VOD LISTINGS
By now many of you may have heard that it’s hard to get films marketed well on Cable VOD platforms. Often the metadata either isn’t entered or entered incorrectly and it’s nearly impossible to fix after it goes live. Hence, oversee the metatags submitted for your film and check immediately upon release. Also, since genre/category folders and trailer promotion are not always an option for every film, it is the case that films with names starting in early letters of the alphabet (A-G) or numbers can perform better. Then again, there’s a glut of folks trying that now so the cable operators are getting wise to this and not falling for it. All the more reason to focus on marketing, marketing, marketing your title, so audiences are looking for it and not just stumbling upon your film in the VOD menu. There are only going to be more films to choose from in the future, not fewer.

5. ART must work SMALL
Filmmakers, if there is one thing I must impart to you once and for all it’s this: TAKE GOOD PHOTOGRAPHY!!! Take it when making your film. Remember, most marketing imagery if not all for digital distribution (which will be all of “home entertainment”) must work SMALL so create key art and publicity images that also work well small and in concert with the rest of your campaign. Look at your key art as a thumbnail image and make sure it is still clearly identifiable.

6. KNOW YOUR DIGITAL DISTRO GOALS
This harkens back to Jon Reiss’ points. I have seen distribution plans wasted because a vision for the film’s path was not resolved in time to actualize it properly. If your film is ripe for NGO or corporate sponsorship and you want to try that, you will need loads of lead time (6 months at least!) and a clear distribution plan to present to potential sponsors (who will always need to know that before agreeing). If making money is a top concern, then know how YOUR FILM’s release is mostly likely to do that and plan accordingly. It may be by collapsing windows or it may be by expanding them. All films are different and that’s why our case study book has different examples to look at. American: The Bill Hicks Story for example did Day & Date Theatrical/VOD with Variance & Gravitas. That strategy can increase revenues, but is not for every film so know what sort of release makes sense for the film before starting so you don’t inadvertently lose out on options. With Prescreen now an option, if interested, one needs to carve out that window before EST (electronic sell through) / DTO (digital download to own) and streaming digital rights are sold. TFC is doing this with the film HOW TO START YOUR OWN COUNTRY for example. If showing the industry that your film is on iTunes matters to you for professional reasons more than financial then know that is your motivator but know that getting a film onto iTunes does not automatically lead to transactions, marketing does.

7. TIMING IS EVERYTHING:

Digital distribution often has to be done in a certain order if accessing Cable VOD is part of your plan. That is not the only reason to consider an order and an order is not always needed, but it can be a consideration. Sometimes Cable VOD is not an option for a film (films often need a strong theatrical run before they can access Cable VOD) and, in this case, the order of digital is more flexible and one can be creative or experiment with timing and different types of digital. However, Cable VOD’s percentage share of digital distribution revenues is still around 70% (it used to be nearer to 80%) so if it’s an option for your film, it’s worth doing, at least for now.

It is very often the case that if your film is in the digital distribution window before Cable VOD (on Netflix for example), that will eliminate or at least dramatically diminish the potential that Cable MSO’s (Multi System Operators) will take the film or even that an intermediate aggregator will accept it. There is more flexibility with transactional EST (electronic sell through) / DTO (download to own) / DTR (download to rent) services such as iTunes but much less flexibility with YouTube (even a rental channel) or subscription or ad-supported services such as Netflix (subscription) or Hulu (which is both). Films that opted to be part of the YouTube/Sundance rental channel initiative (such as Children of Invention) could not get onto Cable VOD after. The Film Collaborative has to hold off on putting films in its YouTube Rental Channel if cable VOD is part of the plan. Of course, there are exceptions to every rule due to relationships or a film proving itself in the marketplace, but better to plan ahead than be disappointed.

Companies such as Gravitas are also programmers for some of the MSOs so they have greater access to VOD, but they too discourage YouTube rental channel distribution before the Cable VOD window and they do Netflix SVOD (Subscription Video on Demand), distribution after. In general, people often do transactional platforms first and ad-supported last with Netflix being in the middle unless it’s delayed because of a TV deal for example. This is not always the case and some distributors have experienced that one platform can drive sales on another but in my opinion it depends on the film and habits of its audience. You should know that Broadcasters such as Showtime will pay more if you do your Netflix SVOD after their window rather than before.

The question you have to resolve is what value does each option have and what is the best order for your film given your resources.
This tip was written for the Sundance Artists Services initiative: http://bit.ly/ArTiSts

8. THE DEVIL IS IN THE DEFINITIONS

This tip and the one above were originally written for the Sundance Artists Services initiative (http://www.sellingyourfilm.com/blog/2011/08/25/the-devil-is-in-the-definition-know-what-vod-means/). For full details on this, visit the site.

There is no standard yet for definitions of digital rights. IFTA (formerly known as AFMA) has its rights definitions and for that organization’s signatories there is therefore a standard. But many distributors use their own contracts with a range of definitions that are not uniform. When analyzing distribution options, be aware that terms such as VOD can mean different things to different people and include more or fewer distribution rights and govern more or fewer platforms.

Consider the term “VOD”. In some contracts, it’s not explicitly defined and hence can mean anything and everything. IFTA is clear to categorize it as a PayPerView Right (Demand View Right) and limit it to: “transmission by means of encoded signal for television reception in homes and similar living spaces where a charge is made to the viewer for the rights to use a decoding device to view the Motion Picture at a time selected by the viewer for each viewing”.

However in some contracts, it’s defined as “Video-on-Demand Rights,” meaning a function or service distributed and/or made available to a viewer by any and all means of transmission, telecommunication, and/or network system(s) whether now known or hereafter devised (including, without limitation, television, cable, satellite, wire, fiber, radio communication signal, internet, intranet, or other means of electronic delivery and whether employing analogue and/or digital technologies and whether encrypted or encoded) whereby the viewer is using information storage, retrieval and management techniques capable of accessing, selecting, downloading (whether temporarily or permanently) and viewing programming whether on a per program/movie basis or as a package of programs/movies) at a time selected by the viewer, in his/her discretion whether or not the transmission is scheduled by the operator(s)/provider(s), and whether or not a fee is paid by the viewer for such function/service to view on the screen of a television receiver, computer, handheld device or other receiving device (fixed or mobile) of any type whether now known or hereafter devised. Video-on-Demand includes without limitation Near VOD (“NVOD”,) Subscription Video-on-Demand (“SVOD”,) “Download to burn”, “Download to Own”, “Electronic Sell Through” and “Electronic Rental,” for example. This example includes everything and your kitchen sink.
One has to ask if a definition of VOD or another type of digital right includes “SVOD” (Subscription Video on Demand) and includes subscription services such as Netflix and Hulu Plus. Why does this matter? Well if the fee to the distributor and/or to you is the same either way then it may not matter. If there’s a difference in fees depending on the nature of distribution, then it will. Recently an issue in a deal came up with respect to distinguishing ad-supported specifically from general “free-streaming”. Is ad-supported governed by a “free-streaming” rights reference? Why wonder, Just spell it all out; better to be safe than _____.

Another example, if a contract notes a distributor has purchased “VOD Rights” but does not define them, or defines them broadly, then do they have mobile device distribution rights as well? The words “Video-on-Demand” sometimes are used only to refer to Cable Video on Demand and other times much more generally. In a “TV Everywhere” (and hence film everywhere) multi-platform all-device playable universe, the content creator needs to know.
The devil is in the definition which you must read carefully BEFORE you sign on the dotted line. Know what you want for and can do for your film in terms of distribution and carve it up and spell it out.

October 10th, 2011

Posted In: Uncategorized


Dear Filmmakers,

The book has arrived! Selling Your Film Without Selling Your Soul can be downloaded for FREE or a purchased, depending on your preference. Check out sellingyourfilm.com/store

syfnotsys-keyart-formats

I wanted to share why we wrote this book and how it came to be and why I think that is applicable for filmmakers.  Below is a section of a letter I wrote in our new collaboratively authored book Selling Your Film Without Selling Your Soul (co-authored with Jon Reiss and Sheri Candler).

“We want for you what you want for yourselves, to have a sustainable filmmaking career, to find your audiences and connect with them, and to thrive creatively, professionally and financially…As the industry and business of film distribution and revenue streams changes in the face of new digital technology’s impact on distribution and changes in audience and consumer access and habits, we collectively encourage you to look at the source of success and then be liberated and empowered to discover that you don’t always need a line of gatekeepers or multiple middlemen to make your dreams come true. And even though there may be cases where to some extent the gatekeepers and middlemen make sense, it’s almost never a useful paradigm on its own anymore.

The more filmmakers try to release films in a more hybrid or even fully DIY fashion, the less of a stigma some may feel about it and the more useful and appealing DIY will be, even as an at- tractive and comforting strategy to future investors and producers, as opposed to the present frequent thinking that privileges the all rights sale even with deleterious terms. DIY or hybrid distribution need not seem like a last resort. It need not seem less sexy. It need not seem less successful. It need not seem like a negative or blemish in any way. What filmmakers need is to access audiences and revenues from all sources, both for one’s present work and one’s future filmmaking…

The point and purpose of Selling Your Film Without Selling Your Soul is to highlight the questions filmmakers can ask, such as: “What is my audience?” “Where is it?” “Is a distributor more capable of reaching it or less so?” “Is there something an all rights distributor can do for my film that I cannot do myself?” and “If so, are the terms worth the difference?” The answers will vary but we believe asking the question(s) is key in every instance. This case study book highlights many of the methods and techniques and practices film- makers can follow now and in the future to distribute one’s work in the most filmmaker-friendly and sustainable way possible. There are lessons about what and who worked well and others not-so-much. The more filmmakers practice this the more powerful and useful and rewarding the filmmaker practice of this will be.”

And I want to note how we financed this book and how I think that is relevant to filmmakers.

Over a year ago I decided I wanted to create a case study book and I invited Jon Reiss and Sheri Candler to participate and I am so glad they did, it’s been awesome working with them.  The traditional model of book publishing is to find a book agent and get a deal with a publisher. There’s usually a lot of rejection and if or when you get a deal, the publisher normally gets the better end of it, especially if you don’t have a name as an author. And often one is frustrated that a publisher has not done this or that and usually the author does a better job marketing the work anyway.

It’s the author’s name and creativity that is selling the book, not the publishing house. The fact of how many publishing houses passed on Harry Potter is a great lesson about how the fat cat corporate gatekeepers don’t always know what time it is.

We did for about 5 seconds consider seeing if we could publish Selling Your Film Without Selling Your Soul in a traditional way, through a publishing house. Then we thought we would either be turned down since the book is for a very niche interest audience or receive a small advance (most first time authors receive less than $5,000 in advance money. There are 4 authors of this book) and never see another penny. Sound familiar?

Also, if we are going to champion filmmakers who are using some form of self-distribution for their work, It would be pretty hypocritical to go the traditional route with a publisher.

Here is what we did do and why:

We created a production budget that made sense for the scope of the book and the audience it was made for. We could have budgeted more money for it and waited until we scraped that budget together. It could have taken more than a year to do that. We decided to spend a reasonable amount that would ensure the book was available on all key digital platforms and now even in print. BUT, we decided not to do an iPhone App because that would have cost more and put strain on the budget given that this book is very specific and for a very specific audience.

We clearly defined our audience: filmmakers who are interested in DIY or Hybrid or P2P distribution methods. Not everyone and not even every filmmaker.

We set out to find sponsors to help pay for it. With this reasonable budget in mind, a clearly defined audience and a way to reach them ourselves, we knew what kind of sponsors would appreciate this. We also decided that the way to make it worth their while was to make the book FREE at least for a time and at least in one format always. It ensures the likelihood that the book will be shared widely. We also decided the sales price would be low cost in any case so that price was never a barrier to the book finding its audience and its readers seeking it out.

We did not pursue random sponsors, but rather carefully considered the ones that made sense given the defined audience target. This made sponsorship success much smoother and easier.  We could persuasively communicate that our audience was their target audience and how we would reach them (through our many media and personal contacts) and when (launch during IFP Week) and where (New York and all over the world via the internet). We gave them clear information that they could feel good about and see as a perfect fit for their brand.

We published the book ourselves and it’s available today on all key digital platforms where eBooks are sold. It is about one year to the day from when I first conceived the idea to having it out for all to read. The print edition will also soon be in retail stores via an aggregator, much like going through an aggregator to get onto Netflix, Hulu and iTunes (though we managed our own iBookstore inclusion).
So if you are making a film, there is a strong likelihood you can follow this model but you need to prepare for it well:

1. Who is your audience?

2. How will you reach them? Specifically as we did, targeting certain press, certain blogs, certain podcasts whose readers and listeners match those for the book.

3. What is a reasonable budget for your film that is fundable, recoupable and profitable via these methods of self-financing and self-distribution and/or financing via sponsorship?

4. If you want to try the sponsorship route, you will need to create a presentation deck and go out to companies a minimum of 6 months in advance of your release, but more likely more. Big companies make decisions a year in advance often.

5. For sponsorship to be attractive to a brand, they will need to know a specific distribution plan in order to see how being involved with your film achieves their marketing objectives. It takes planning and advanced thinking that doesn’t rely on hoping a gatekeeper “buys” your film.

This is how we did it for a book and some films can be done this way too, even if they cost 5 or 6 figures or even 7. It’s really just a question of the right pairing between content and audience and brands and above all things, advance planning and TIME and EFFORT that can and will pay off.

I am proud that we did not have to adjust our content for anyone, that we did not have to rely on anyone to give us access to our readers, that we have full control of the book we wrote and above all, that we are in the black before we have even released the book. How many artists can say that?

I would not have done it any other way.

The book’s site has a BLOG too www.SellingYourFilm.com/blog

and here is a link to an interview with Prescreen to explain their new platform.  And you may want to read other blog posts there about case studies that are in the book and ones that are not.

Here’s a link to the Prescreen interview: http://www.sellingyourfilm.com/blog/2011/07/19/sponsor-spotlight-prescreen/

TFC is thrilled that HOW TO START YOUR OWN COUNTRY (TIFF 2010, Directed by Jody Shapiro who incidentally is also a producer for one of our faves, Guy Maddin) is NOW AVAILABLE via PRESCREEN (presenting sponsor for Selling Your Film Without Selling Your Soul).

I want to give Prescreen a little shout out since they’re just launching and we’re excited to be working with this new platform from launch stage.  Prescreen, an innovative movie marketing and distribution platform, that officially launches today to give filmmakers an alternative to traditional advertising and distribution channels – through the mass marketing of curated content that is then shared by users through social media.  Prescreen offers users the ability to subscribe to a daily email alert, view trailers and rent movies to stream on demand, as well as earn rewards and discounts for sharing movie information on their social networks. Their daily email service highlights one movie per day, enabling their featured films to reach a wide audience.

Prescreen also delivers a Prescreen Performance Report to each filmmaker and distributor whose movie is featured on Prescreen. The report offers aggregated analytics and demographics about the audience for each featured film.

How it Works:

  • Consumer subscribers receive an email alert featuring one new movie each day.
  • Users watch the movie trailer for free and can purchase a rental to view the entire movie to stream on demand for up to 60 days.
  • Users can earn discounts and rewards by sharing the film through their social networks using Facebook, Twitter, etc.
  • Prescreen aggregates the purchasing data, protecting the privacy of each user, and delivers valuable demographic and analytic information back to filmmakers and distributors for future marketing and distribution efforts.

To see their featured the film HOW TO START YOUR OWN COUNTRY go to:

https://prescreen.com/movie/How-To-Start-Your-Own-Country and sign up!

For more info about the fascinating documentary that we all love here at TFC go to:

www.HOWTOSTARTYOUROWNCOUNTRY.com or use this link http://www.howtostartyourowncountry.com/Country/Enter.html

or visit the TFC site: http://www.thefilmcollaborative.org/films/howtostartyourowncountry.html

To see a video about Prescreen works go to: YOUTUBE http://www.youtube.com/watch?v=Pjh3F9ZbHYo OR – FACEBOOK

https://www.facebook.com/photo.php?v=10150285053926517

Today’s featured film is THE ROBBER.

Prescreen is now accepting full-length feature film applications on a variety of topics and genres. To submit, visit: prescreen.com/submit.  To sign up for the daily email service, visit: prescreen.com

Bye for now. We hope you like the book and if you have any questions feel free to contact us at contactus@thefilmcollaborative.org

 

September 15th, 2011

Posted In: Digital Distribution, Distribution, Distribution Platforms, DIY, Marketing, Prescreen, Uncategorized


The IndieWIRE panel I am commenting on was at the Elinor Bunin Munroe Film Center on July 16, 2011. indieWIRE Editor in Chief Dana Harris moderated a discussion about the past 15 years of film distribution with (left to right): Richard Abramowitz, Amy Heller, Bingham Ray, Bob Berney, Ira Deutchman, Mark Urman, Arianna Bocco and Jeanne Berney. It can be found here:

 

The Sundance distribution announcement was just made today.

  1. So glad to know, as Mark Urman noted, that even big A-list cast films have a hard time getting listed properly on Cable VOD in terms of cast.  We know that Sundance indie Adventures of Power also was not always listed properly in terms of noting its full cast (namely Jane Lynch & Adrien Grenier who both have massive fan bases were sometimes left off the film’s VOD description).  What will it take the MSOs to get it together? Please let’s not all name or rename our films with numbers or start with the letters A,B,C,D, or E.  If Comcast can insert ads into programming surely they and all the other dozens of MSOs (Multi System Operators) can find a way to help attract an audience for films on their system by categorizing them and filling in complete descriptions even on mammoth platforms.
  2. The glut of content was discussed and the marketing challenges all distributors of cinema face.  We all know it’s cheaper to make films now, there are more of them, they don’t die or go away, they just multiply annually and even some of the panelists spoke to younger generations not even committed to being filmmakers, but just making films because they can and it’s made to seem so cool. Indeed. And what I want someone to say, well ok I will just say it, is when the real numbers behind film distribution are revealed across the board perhaps we’ll see a trim in supply. The best, most creative and most committed will survive  and thrive.  Investors will be choosier because they’ll have all of the REAL information they need to make educated decisions. As for how to clear through the clutter, well, that goes back to the basics of know-your-audience, down to the “T” and don’t pretend it’s everyone. I look forward to even more lifestyle and interest oriented programming and content servicing and all the more reason for filmmakers to cultivate audiences directly, where there is no room for glut or confusion.
  3. They joked about no one knowing VOD numbers, except for Arianna of IFC of course and Mark sometimes when his VOD client (Tribeca Films I presume) fills him in.  Well, we have some from our forthcoming case study book Selling Your Film Without Selling Your Soul and I want to challenge ALL FILMMAKERS to share your numbers and stop the madness of mystery! And I agree, it’s time that these numbers start getting tracked and reported in a more automated fashion as theatrical box office and DVD sales are now. Still those number only show gross, and not the spend needed to achieve those numbers.
  4. Amy of Milestone noted younger people have different habits in terms of what they want to view and how they view.  So maybe we need younger folks running distribution companies now. TFC is hiring.
  5. Arianna of IFC notes that piracy is a huge issue and that young people do not want to pay for content.  So we can either be disturbed by that, or we can work with that knowledge and release in a way that will maximize revenues, instead of forcing audiences into outdated window methods. One film we recently observed tried to monetize its distribution via sponsorship, but waited way too long to get started, tried to do so without a distribution plan in place, is having its theatrical launch 6 months after its festival premiere and cannot seem to make a decision on the rest of its distribution whilst it awaits fat-enough-offers that are not coming.  That sort of paradigm is a set up for failure and leaves the film open to piracy when a clear plan from the start and an immediate release after festival premiere could have led to quicker monetization (sponsored, DIY and/or via a donation campaign on VODO).  We caution against proceeding with filmmaking or distribution when there is no viable plan in place.
  6. A question via TWITTER that came in was: Where do you want to be 15 years from now? Richard Abramowitz is amazed he’s still in the biz now… and that’s honest in that it speaks to deep concerns about the changes in the business and the truth is, the more transparent service providers are about their numbers, the more likely they will survive. Those less transparent are not likely to sustain themselves.  What I object to is the mythology in this industry and the mask of success that hides the real story of spending more than you made back because there are too many expensive services or middlemen.  Who can tell me about their PROFIT? Not just for themselves, but for the filmmakers and investors they represent? Who will publicly admit the numbers on how much was spent for each service even on services they did not really need if they were better educated, and each middleman and what that yielded?  When people do not, it’s largely because they want to get the next project funded and, to me, this is no better than a pyramid scheme.  You know what eventually happens with those, right? See 2008 for an indication. Anyone who wants to challenge TFC on its transparency please do, I am ready.
  7. ‘Theatre going experience is in our DNA (like gazing at a fire)’, says Bingham Ray. The communal experience is what it’s all about. Amen. I say let’s bring back the drive-in. I especially want it for Sundance film Co-dependent Lesbian Space Alien Seeks Same.
  8. Ira speaks to the Opera audience. He noted, as audiences get older they crave that experience (communal screening) more. I love that Ira Deutchman grew a business out of this niche. Niche is golden.  A lesson for us all.
  9. Ira spoke to “eventizing” theatrical– several noted about adding Q&As, live music, director attendance, panel discussions– to enhance theatrical and all of those screenings do well. Indeed. We have observed the same and that speaks even more to filmmakers knowing their audience and being more engaged in their own releases. There is nothing of this that one cannot do.
  10. Ira ends quoting Richard Lorber “everything is possible and nothing works” harking back to 25 years ago when distribs celebrated small victories and spent little – before the rise and fall of indie bubble and the studios dressing big releases in indie clothes. My comment is regarding the “professional” the middle man, the lack of transparency even still is a burden, the fees paid excessive if one analyzes from the point of view of sustainability and healthy business.  Service deals are announced like acquisitions.  That’s why they say “film business” is an oxymoron but it need not be.  And that’s why TFC’s resolve now is to not work with unsustainable filmmakers. We do not want to feed the habit, enable unrealistic expectations. If you spent too much on making your film, if your expectations are unreasonable, if you are not committed to being educated about both film and engaging audiences, and most of all, if you are just a money bag and not a creator but rather buying into the dream that your film (which you did not even create) is going to make you rich or richer, please go home.                                                                                                                                                                                                                                                                                                                                                                                                                                                      And now, on a less cranky and more joyous note: What I love about the Sundance distribution initiative:

11. It’s offering filmmakers a truly filmmaker friendly set up by having a good partner and fair contract terms.

12. The terms offered by a truly excellent partner like New Video were already good in general, but are now even slightly advantaged.

13.  That the deal is non-exclusive and allows filmmakers proper agency and control.

14.  That I partly inspired it starting in 2009 and that the folks at Sundance listened, discussed, and worked it out slowly but surely and that there is more to come.

15.  The Sundance brand connected with its alumni of filmmaker’s brands and on key platforms that function as the key portals to film lovers (and yet not at the exclusion of other viable modes of DIY and traditional distribution) is the model I have always championed even before TFC launched, because it makes sense. It’s good for filmmakers; it’s good for audiences and back to # 1 and #2, initiatives like this are the way to help clear a path through the content of clutter to the curious eyes of cinema loving consumers.

 

 

 

July 27th, 2011

Posted In: Digital Distribution, Distribution, Distribution Platforms, DIY, Long Tail & Glut of Content

Tags: , , , , , , , , , , , , , ,


WAITING FOR GODOT – “To wait endlessly, and in futility, for something to happen.”

In future posts, we intend to track the progress and releases of the films that did deals at Sundance.   And we also will track deals and respective progress related to other fests such as Tribeca and Cannes (which seemed to be largely a SundanceSelects play with an occasional TWC and Magnolia deal and a few others coming.).  But for now, I want to address a phenomenon that I keep seeing and strongly feel needs to change.

Filmmakers are approaching us with films that had their festival run a year or even two years ago, OR, a film that did not have the benefit of an A-list festival selection, or maybe not even a B-list festival run, or is even more than two years old. I guess they assume that deals are still out there for their films and they are holding off on moving into the market until those deals are struck.

Film sales happen (when they happen) more often than not, for these reasons (I am speaking to filmmakers in America and trying to sell films in and/or from America):

 

  1. FESTIVALS & AWARDS& REVIEWS:  The film has the good fortune of being an official selection of a prestigious name film festival (and attended by or at least tracked by industry). By virtue of being an official selection, the festival brand helps the film’s brand and perceived value of that film to potential buyers.  Also, publicity that actually occurs as a result of being part of the festival helps the film get noticed and attain perceived value to potential buyers. Winning prizes helps (especially Audience Awards) and getting great reviews help in attracting potential buyers.
  2. The value (actual value of a deal that can be done) starts to go down after a festival premiere.  Meaning, films that don’t sell at festivals or do not start negotiations at or close to the festival’s start or end date,  go down in price.  The perception in the market is the length of time between a festival premiere and settling on a distribution deal  indicates the amount of value the film has. If there is a long passage of time, the price goes down accordingly and the likelihood of getting any deal fades. of course  this depends to a greater or lesser degree  on who is selling and who wants to buy and what their motivation is. But usually, prices go down in direct proportion with the passage of time.
  3. CAST: The film has cast that increases the perceived value. And if #2 is accompanied by  #1, all the better. This is not a cast of unknowns or a cast of former notable talent.
  4. GENRE / DEMOGRAPHIC APPEAL / NICHES:  Genre appeal, including horror, sci fi, western films often sell better than dramas; docs sell better than mockumentaries, often not always.  Hot topic or big concept / trend topic documentaries or documentaries involving key niches or names often sell than more obscure or more personal documentaries, of course there are always rare exceptions. Best not to bank on your film being one of those.  Films appealing to specific large enough demographics seem more “valuable” than those that don’t seem to have any specific appeal. Broad comedies can sell but highly depend on notable cast and when they don’t have the cast, it’s almost always the case that they need a big festival to create the buzz that gives them the commercial push.  Foreign sales are not attractive for  American-centric stories unless they are studio films, genre films, and/or have the cast or had/will have a big l theatrical release.
  5. THEATRICAL:  A small US theatrical can help usually only if the reviews really were strong and the film has some commercial appeal or at least niche appeal (and there are distributors catering to that niche if it’s not more broadly commercial).  Theatrical in the US can’t hurt foreign sales but a tiny US theatrical can also have no impact on foreign sales whatsoever if the film is perceived as too American and does not feel either commercial enough for other territories to compete with all the world cinema or does not fit into niches for which there are buyers (if it’s not broadly commercial enough).  Or the film can fit in to the niche but the niche is also glutted so competition is stiff.  For Broadcast sales, sometimes it is simply a matter of programming and timing luck; the film fits what the stations are looking for.

We all know there’s no guarantee of a sale and sometimes even when a sale occurs, it’s not necessarily a great one. Even at the top A-list fests, many films do not “sell” so even for those filmmakers a strategy of building community around your film WAY AHEAD of your first public exhibition / premiere is wise, because this way, even if you are afraid of or counseled not to start any distribution in tandem with that premiere or necessarily soon following it, and even if you think you have a shot at the big deal, or a deal and that is what you want above all things.. even then, all that community building will do is increase the perceived value of your film.  And guess what? If that deal never comes, or if the offers suck (which you may be more scrutinizing of and careful about when you do the math based on your acquired ability to distribute directly to the fans), you will always have that back up plan.

Many filmmakers come to us with thousands of even tens of thousands of Facebook and Twitter fans, lots of traffic to their site, an email list started and even good reviews of their film if it played smaller fests or if their genre was reviewed by niche film sites and this has all happened months ago or even a year ago or even two, and they are waiting for a DEAL, I have to say, DON’T WAIT. * You already have a deal*, direct to the fans of the film, the ones you have been connecting with and getting the attention of for all this time. Let them see it/buy it and stop waiting! They’ve been waiting and if you make them wait too long, they will either wander off in frustration or they may feel no other alternative but to view the film via P2P networks for free or get a DVD via E-bay that a journalist or programming staffer is selling for extra lunch money.

In short, and yes this blog is short compared to the usual (whew), don’t wait for Godot. There is nothing this marketplace is signaling that merits the wait.  Broadcast sales are a different matter, you have a doc, or Latino-interest film, or gay film, or genre film, or even film with some cast.. a TV deal can MAYBE be done but still, there’s all the rest YOU should be doing  sooner than later, or working with people who can help you do it if you don’t know how.  This includes DVD and Digital off your site, it includes all the key digital platforms and it even includes hybrid theatrical / events and other public performance of the film (educational and/or commercial).  And if your films has legs, you can carve out deals and DIY and work it all out.  But if you just sit on your film and wait you are risking losing everything and I have to ask you, based on what? What information are you working with? Part of your distribution plan should include how long will wait before you start distribution? What is your path to sales? Plan A, B and C and how can you plan for all of those? It is no longer enough to hope for distribution and sit and wait.

Filmmakers, don’t hate the messenger… I say this with love and as someone who embraces deal making as much as I do DIY. J You must have a plan of action early in your process.

Here’s an example of a filmmaker who we think did it right, and he worked with Peter Broderick:

http://www.peterbroderick.com/distributionbulletins/files/47cea5ca884d84a0e1ed01f23ef06d3d-16.html

And we’ll have other examples and even more details in our forthcoming digital case study book entitled SELLING YOUR MOVIE WITHOUT SELLING YOUR SOUL: Case Studies in Hybrid, DIY, P2P Independent Film Distribution (co-authored by The Film Collaborative, Jon Reiss, and Sheri Candler). Until then, stop waiting and get moving toward bringing your film to its audience.

 

 

May 23rd, 2011

Posted In: Uncategorized


TEN TIPS for FILMMAKERS

Going to Market or Seeking Distribution
Going to a festival / market such as Cannes is exciting. Wine is often cheaper than water. Almost anything you eat there tastes better than almost anything you’ll eat here, even though it is a tourist trap. Somehow, no matter how many carbs one eats, one usually still loses weight either because of the hustling and bustling or the fact that the French make their food lighter even when it’s rich and they don’t use preservatives when we do…. ahh France. But, I digress.

When searching for distribution at or in preparation for, a festival or market, be clear about your goal and the amount of responsibility you have to your investors. You should be conducting a lot of research before you ever hit the market floor to identify which companies will be a good fit for your film. Depending on your knowledge, experience, willingness to take responsibility and the type of film you have, it may be advantageous to sell your film on your own, or it may be better to use a sales agent. Much is entailed with selling a film in different territories and formats and if you do not have experience in doing so, you may be better off working with someone who does. I have some tips for you to follow regardless of how your film will be sold.  The Film Collaborative can help filmmakers who have decided to handle their own sales by evaluating contracts and guiding them through the process without taking the filmmakers rights, but it does depend on the filmmaker’s willingness to actively solicit buyers in the first place. Attracting suitable  buyers is a time consuming and costly process (travel, marketing, sales skills), so if you have no interest in doing this, it is better to delegate that work (and your rights) to a sales agent. Before signing on the dotted line with ANYONE, (sales agent or distributor) you will need:

1. REFERENCES: Get references, and then call or email the *other* filmmakers the company has worked with. I am only partly teasing. You should be able to find a list of current clients on their website and you can research contact details for those people. It’s great to contact the references actually given, but sometimes it gives a clearer picture to contact a few at random.  You’ll be shocked by how useful this can be to either comfort you that you are doing the right deal or protect you from being stuck in a deal you should not have done. The Film Collaborative has set up a Distributor ReportCard (a sort of “Yelp of Indie Film Distribution”) to help in the research of this.  Check out our Distripedia™ section on our website www.TheFilmCollaborative.org

2. CAP EXPENSES: Define and cap all recoupable expenses and evaluate those based on projections. Spending $30,000 –  $50,000 – $75,000 – $250,000  ++ is not inherently bad or good. It depends on the upside and the reasoning. Be clear about what the expenses are for, how much is approved, and if you and 8, 10, or 12 other people are being charged back for the exact same bill.  Let’s not let that happen. Are you paying for a party in Cannes? Maybe that is what is needed to attract buyers…just make sure that you are choosing to do so and that it makes sense. If the expenses are for distribution, have an idea about P&A budgets for different types of releases, the size of the release, the realistic projection of return and how long that return might take. The bigger the release (theatrical to many cities, large advertising spend, high cost publicists), the more expense is incurred and likely the longer it will take to recoup.  And one should have a clear sense of the objectives and projections of the theatrical so one can properly analyze expenses.

3. RIGHTS vs RIGHT TO SELL RIGHTS: Distinguish between the right to represent the rights (example, traditional sales agency could choose to do vs taking all rights) and vs having rights to actually directly distribute (example a sales agency that takes all rights so that it can also then directly do digital distribution or a buyer who buys multi territories but then has other companies do the distribution in most of them, or a company that does not do its own theatrical or its own digital or its own DVD.   Extra middlemen mean extra fees means less $$$ to you. You may want a company to have both and take care of it all for you and maybe it’s even the most advantageous deal because of relationships and best terms. Just know what the deal terms will be instead of realizing after the fact.  This is especially critical when fees and expenses come into play.  You may not want or need your sales agent to directly distribute to digital platforms if you can manage this yourself or they don’t end up even doing that in unsold territories but have your rights anyway, or maybe you do. And that brings me to another point about rights, don’t give any away that won’t be “exploited” as they say in the industry (that’s meant to be a nice thing).   I.e. have rights revert back to you that are not properly handled and try to not give them away in the first place without knowing why it makes sense to.  And I always like to carve out digital platforms a filmmaker can get onto that a sales agent or distributor does not want or choose to (in collaboration with the distributor or sales agent of course).

4.  ACCOUNTING: Make sure you know when Accounting is due and when your corresponding payment is due.  Try for QUARTERLY unless you don’t like money coming in at least 3 times a year since most will pay no sooner than 30 or 60 days after the end of the quarter.  Semi-annual accounting is possibly acceptable later into a term if you have no choice.

5. AUDITING & ARBITRATION: Reasonable Auditing and Arbitration provisions are key so you can have a clear way of investigating.  Know where the arbitration will be conducted. “Resolving a matter via arbitration may be less expensive and more expedient than having to sue the distributor, but an arbitration provision may also be less effective at encouraging the parties to compromise prior to invoking arbitration than the threat of a lawsuit,” says TFC’s legal counsel Cherie Song, an attorney at McGuireWoods LLP.  Also, “a distributor should have an obligation to maintain records of all sales and rentals of the film, and give you the right to inspect such records at reasonable hours with prior notice,” she says.  “If your audit finds an underpayment, the distributor should pay you the difference within 30 days of demand, and if the difference is more than 5%, the distributor should reimburse you for your auditing costs.”

6. TERMINATION: Also set parameters by which a deal can be terminated. Not suggesting this should be random and exploitive of the sales agents or distributor’s efforts, but should they be in breach or become insolvent, one needs a remedy if it’s not cured.  “If the distributor fails to fulfill a material obligation (e.g., if the distributor fails to pay the MG or your share of “Gross Receipts”, fails to provide statements or fails to market or distribute the film within a certain time period following complete delivery) or files for bankruptcy, then you should have the right to terminate the agreement with notice, with the rights to the film in unsold territories immediately reverting to you,” Cherie recommends.  “The distributor should also indemnify you for claims resulting from its breach of the agreement and violation of third party rights. Furthermore, the distributor’s payment and indemnity obligations should survive the expiration or earlier termination of the agreement.”  And our capitalizing of “Gross Receipts” is on purpose.  All terms that have any possible key meaning and affect your deal should be capitalized and DEFINED!  Many thanks to Cherie for her impeccable services to our filmmakers overall.

7. MARKETING PLAN:  In order to distinguish a knowledgeable and reputable distributor from one who is less so, ask for a detailed marketing plan. For filmmakers to be in the strongest negotiating positions on this, a marketing plan should have already been developed and implemented during production and a fan base already started. The distributor will simply be adding extra muscle to this plan, both in terms of financing and staff. If there is no previous plan, ask to see exact specifics on how the title will be handled in-house and the expenses associated with it before agreeing to a contract. This is of utmost importance as the success of your title depends on these efforts. Without a clear understanding of the strategy, you may find your title simply becomes part of a catalog passed along during markets or part of a library that is rarely exploited.  The more effort a filmmaker makes in gathering an identifiable audience for their work, the more leverage he/she has because the film has provable potential.
8.  BUILDING AN AUDIENCE YOURSELF: Intentionally putting a fine point on this topic! More and more distributors and sales agents are researching your title just as much as you are researching them. If you haven’t made any effort to build an audience, the perception is maybe there isn’t one. You should be looking at the sales agent/distributor relationship as a partnership not as a savior. This makes your film far more attractive to those companies because they can see the money making potential and their efforts will make the title a much stronger earner.    Wouldn’t you want to have an edge up on getting a better deal or not even needing one if you had already built an audience around your film well in advance of your first premiere? I know I would. (And thanks to our social network marketing guru / strategist Sheri Candler who contributed to this blog and especially #7 & #8).

9. CARVE OUT SOME DIY:  Whenever possible, carve out the ability to sell off your own site and also via your own social networking pages and via other key DIY platforms & solutions.  We recently did a blog (April 2011) about these so feel free to check out that info via the TFC site.
10. SPLIT RIGHTS / BE AS DIRECT AS POSSIBLE:  If there is one thing I cannot stand is big fees taken out for being in the middle of revenue and not doing much to justify the fee.  If a distributor is direct to key retailers and key digital platforms and is doing all or most of the release directly great. But if a distributor is licensing your rights for a not-very-huge-fee and hiring someone else to do the theatrical (and recouping an extra fee expenses) and / or not direct with libraries and institutions (if relevant) and/or not direct with key retailers or digital platforms then why bother? Go direct. Be as direct as possible.  Split rights as much as possible especially when there is little investment on the MG side and/or little theatrical P&A side that help justify the rights needed for recoupment.

In closing, I will again emphasize research, research, research.  Don’t be lazy and then regret later. It may have been more difficult to do this as an average filmmaker previously, but it isn’t difficult now. Take responsibility for your work and the business of it.  Ask around.  Ask other filmmakers, other companies, Ask us. Ask at least 3 people any given question so you can get a sense of the real answer to the extent there is one.

 

Bonne Chance!

 

May 6th, 2011

Posted In: Distribution, Distributor ReportCard, Film Festivals, International Sales, Marketing, Theatrical, Uncategorized


In a new media world in which people sometimes conflate distributor with platform and buyer with online/digital store, I want to draw that distinction and highlight a few new and compelling DIY options (platforms or toolkits) for filmmakers to sell or rent their films to audiences / consumers directly.  TFC always encourages filmmakers to develop their own brands while also noting the importance of being connected to other brands that generate significant traffic and indie film consumption.  In other words, sell direct to your fans off your site and other sites and social networking platforms and/or via other DIY platforms or tools but also recognize the usefulness of being available where average film consumers go, i.e. via Cable VOD if you can manage it, and other key platforms/online digital stores (depending on the nature of the film) such as: Amazon, Netflix, iTunes, Vudu, Hulu, Sony Playstation, Xbox etc.

The few DIY platforms or toolkits highlighted in this blog are:  Distrify, EggUp, Groupees, Stonehenge’s iPhone Apps.  Next time we cover this topic, we’ll investigate more into DIY platforms FansofFilm www.FansofFilm.com and Open Film www.OpenFilm.com (7,000 films, 70% shorts).

Let’s begin.

DISTRIFY www.Distrify.com

Peter Gerard & Andy Green, the co-founders of Distrify, are both filmmakers who formed Distrify. I met with Andy @ SXSW.

Distrify is not a film sales platform – it’s a toolset. One can use Distrify to sell a film anywhere on the web and via social media platforms. Once your trailer and film are on Distrify you embed it on your website like http://www.justtogetarep.com/ and Facebook page like https://www.facebook.com/just.to.get.a.rep?sk=app_203403406338325

You can then start telling your film’s fans about it and ask them to embed the widget on forums, blogs, websites, etc.

Distrify’s “sell-movies-socially” tools are designed to make effective social media marketing profitable. If your trailer and film are on Distrify, when you share the clip, you’re also sharing the store to buy the film or find out about upcoming screenings. When your audience shares it further, you’re always spreading the point-of-sale along the way. Anyone who shares it gets paid a share of sales they generate.

One does not have to start selling through Distrify right away – one can use it to promote screenings and events through the trailer interface. Here’s an example of an upcoming Anime release that is using the Distrify player to promote upcoming screenings: http://www.we-loveanime.com/

If the film’s not available in the user’s area, they can make their interest known directly through the player as well. Distrify compiles the statistics for filmmakers and give them the mailing list data – all free. Any new screenings you add are also automatically listed in all the players that have been embedded around the web. And when you want to start selling the film, you can add it as well.

There are no up-front charges, fully non-exclusive, and they don’t need any rights.  They take a small transaction fee on sales (see specifics below).

In the Beta period it is free to sign up and upload one film to Distrify. They don’t charge for uploading or hosting and there is no subscription fee for a Beta account. They do charge a 30% revenue share on sales. They note that their profit “is around 3% to 5% so it’s costing us around 25% to deliver the service to the customer . We’re working hard to reduce these costs and when we do we’ll hand the saving over to the rights holder.”

Peter Gerard followed up noting that whilst still in Beta their pricing is FREE to sign up and sell one film and a 30% transaction fee on all sales through their player and there are no costs for special encoding. Their Beta period ends in June and after they will continue this pricing option and offer some premium plans.

Distrify Beta Pricing

Free sign-up for a one-film account

They charge a 30% transaction fee on all sales made through Distrify

They split the 5% affiliate revenue with the filmmaker.

Beta users will be given a special offer when they leave the Beta period, and normal account pricing will be determined at that time.  And filmmakers keep all their rights.

How do you get paid?

Each month if you’ve earned sales revenue they will send you a sales report and transfer your earnings to you directly via PayPal or bank transfer. You may be charged by PayPal or your bank to receive the transfer. When you get your first sales report, they say “just let us know how you prefer to be paid”.

What about affiliates?

“We will soon offer your audience the ability to earn a share of revenues that are generated from their sharing. Once this is enabled they will earn 5% from each sale they refer to you. We are currently offering to split the cost of the revenue-sharing with you. This means we only charge 27.5% on a revenue-shared sale. You keep the remaining 72.5%.”

EGG UP www.EggUp.com

“EggUp is a publishing platform for filmmakers and film distributors. We help filmmakers and distributors rent and sell their films online while preventing piracy. Our free online publishing tools can help you distribute and sell your film or video which is all packaged and encrypted into a file called the Egg. The Egg is currently available for download and allows consumers to watch and share with friends and family virally while filmmakers are able to make money. With EggUp you get your own website to promote your film, together with an integrated pay per view solution. We also list your films in our film catalog called GoEggit. Distribute the Egg on your own website, and other online retailers with your very own buy now button without setup fees and inventory.”

Payment options: FREE, Rental, Purchase. Filmmaker will be able to choose several options.  Accept Paypal and major credit cards.  Customer credit card information does not go through their servers. They only link to the filmmaker’s Paypal account. Paypal holds customer’s credit card info.

They are Worldwide and can Geo Filter as needed.

Content: Currently about 60 films due to focusing on developing technology and negotiating deals with international governments and studios. They will be ramping up pretty quickly in the next 3-5 months with content.

When I asked about revenue thus far to filmmakers they answered with this: “It really varies since it’s up to the filmmakers. Some filmmakers make $0 due to they are not marketing their content or older film with no cult following. While others are getting consistent purchases daily since they have a full marketing strategy including PR pushing their film. It adds up but nothing making millions”.

EGG UP’s FEES:

Full length features: $1.25 per transaction ($2.00 – $1,000.00 retail)

Short film: 15% per transaction ($0.99 – $1.99)

EggUp noted that they are reviewing their fee structure and may be changing it soon.

Egg Up Overview: Image

http://i811.photobucket.com/albums/zz38/Egg_Up/EggUP_Overview3.jpg

Egg Up Filmmaker Benefit: Image

http://i811.photobucket.com/albums/zz38/Egg_Up/EggUP_Filmmaker3.jpg

JON REISS’ GUEST BLOGGER Solomon MacAuley– Raved about EGGUP:

http://jonreiss.com/blog/2011/03/03/prevent-film-piracy-and-globally-monetize-instantly/

SHERI CANDLER interview for MicroFILMMAKER Magazine about EGG UP:

http://www.microfilmmaker.com/tipstrick/Issue58/EggDist1.html

GROUPEES (YAWMA) groupees.yawma.net & yawma.net

I was introduced to this platform via TFC client Ari Gold (Adventures of Power).  Thomas Brooke who demo’d the platform / service via Cisco’s WEBEX.  I was impressed with the simplicity and comfort of the interface.

Thomas Brooke is the Founder and CEO of YAWMA. YAWMA is the social media technology company that operates Groupees. Thomas describes GROUPEES as:

“A Flash sale (24-48 hr) platform focusing on digital media entertainment (music, games, film)
- Like Groupon in the sense that we’re crowd-sourcing but deal isn’t dependent on a certain number of users buying and “tipping” the deal; rather we start with the good deal but the content owners set a goal and if achieved it unlocks extra exclusive content (to incentivize users to work as a group and spread the promo through their social graph)
- There is a high degree of Facebook and Twitter integration so purchases spread virally
- Flexible SaaS based system supporting product bundling, multiple pricing options (fixed price, pay what you want), inclusion of charity, etc.  We’ve set Groupees up as an on demand platform where content creators/licensors sign up to run a single promotion, all of which is configured through a web interface. It is a platform by invitation only- we’re sourcing quality independent music, games and film.”

Their next Groupee starts on Wednesday so if you go to: http://groupees.yawma.net

you will see the promo vid and count-down clock now live.

Here is a screenshot and the model we’re using for projections on Music groupees:

FEES: The model split is reflected at 60-40% (in favor of filmmakers / same as Apple’s fees) which is their standard rate…

When I asked why they were more expensive as Apple (which takes 30%) Thomas answered: “While it is true that Apple takes 30%, they don’t do anything for their 30% beyond providing a distribution system. Fact is we’re not just a point of distribution. We’re pretty sophisticated technology with a high degree of customization, strong FB and Twitter integration and 100% pr support (strongly question this, what do they mean by 100% PR support?) for every promotion we run. Groupon is really a better business analogy, and they take 50% but have nowhere near the social media integration or customization features. I do appreciate your asking whether to make mention but I’m certainly comfortable with this.”

“In terms of film/video, we can support straight download in any format and also video streaming. As mentioned, the service requires buyers to register so all files are secured behind a firewall. I think for indie film the concept of bundling films from different film-makers might work very well as it provides good cross promotion and from the consumer’s perspective allows you to get two cool films from a single purchasing experience. Definitely one of the premises of our platform is convenience as people are overwhelmed by our digitally connected world so by featuring quality indie entertainment as a part of a single promotion, consumers get the benefit of a curated good deal on relevant media/entertainment. I think also there is an opportunity to bundle films with music, especially where there’s a good thematic connection. Obviously, a soundtrack with a film is a no-brainer as well. We’re also currently looking at possibly bundling a video game that is from the horror genre with a horror film. “

Groupee Platform Features

  • Support for all digital media formats
  • Support both video download and streaming
  • Web-interface for creating and configuring the Groupees promotion
  • E-payments through PayPal and Amazon payments
  • Live World map that tracks purchases as they occur around the globe
  • Facebook and Twitter integration so purchases spread virally
  • Real time sales statistics and reporting
  • Flexible promotional programs including Fixed Price or Pay What You Want payments, charitable giving, cross-promotional bundles, goal setting with incentive giveaways
  • Cloud-based, highly scalable platform capable of supporting 1,000,000 downloads per 24 hrs.

STONEHENGE – Distributing films  worldwide via Phone Apps www.StonehengeProductions.com — FilmApps…Get Your Film in More Hands

Stonehenge Productions enables film producers to sell their films on iTunes, Android Market and Amazon Appstore as applications for the iPhone, iPad and for Droid platforms.

Their pitch: “With a low start-up cost of just $680, you can have an application of your film available on Phones everywhere !! You keep 100% of sales revenues minus the 30% that Apple charges.”

What do you get for $680?

    • An iPhone FilmApp
    • Embedded film in the App (better than streaming)
    • About page/synopsis
    • Twitter/FB/Email (Sharing) integration,
    • A merchandise page for users to buy merchandise, DVD…(e.g. Amazon)
    • Links to the film’s/director’s site (opens within the App)
    • A trailer/video clip viewer (user can watch the trailer, clips, outtakes, behind the scenes)
    • Photo gallery of shots from the film
    • an RSS/News feed for any feed you would like to provide.
    • Custom Graphic design and layout (using your art).
    • Turn around is typically two weeks and then 7-10 days at Apple.
    • Got other ideas? Let us know what you’d like

How?

Contact Stonehenge Productions and we’ll provide you with further instructions to upload your content. It will then be turned into a customized application. You’ll get final review and you’ll continue to hold all rights to the film.

We’ll submit it to Apple and manage the whole selling process through the App store OR we’ll put it on the Android Market or Amazon Appstore.

A Stonehenge Sales Sheet: http://www.stonehengeproductions.com/sales-sheet/

Mark Smillie of Stonehenge notes “we are really working hard to build FilmApps that encourage participation over the lifecycle of the film…so pre-release to build awareness and fan base, at release to drive fans to the theater and post release to sell the film through the App channel.”“We build for Apple, Android and sell on the iTunes, Droid and Amazon app stores.”

Their latest press release for our App for the film: Race to Nowhere.  It’s a good example of a social activism app paired with a film App.  http://www.prweb.com/releases/2011/03/prweb5193274.htm

Another testimonial Mark showed me is from John Paul Rice of “One Hour Fantasy Girl” “Apps for films work: Itunes report for One Hour Fantasy Girl in Q4 2010, rental/downloads up 558% over Q3. Credit goes to @WeGoTo11”  John Paul Rice President No Restrictions Entertainment from Twitter:https://twitter.com/norestrictions/status/53291871367200768

* That’s all for now folks. More platforms and tools and DIY solutions next time.

April 12th, 2011

Posted In: Uncategorized


Recently I was invited to be on a panel at the International Film Festival Rotterdam (IFFR) and participate in their mentoring sessions and the lab at Cinemart.  Great experience. I am always amazed by the difference between the US and Europe. The whole government funding of films and new media initiatives as our government is about to shut down.  Well, their policies and practices do take their own financial toll too but one I think is worth it.  For all my europhileness I have to note that the Europeans can be just as guilty of not wanting to watch subtitles in fact some countries dub films instead. And of course we know that Hollywood is big business in Europe too. But all in all, art house cinema seems to reach more broadly in Europe and even some parts of Asia than it does in the US.  Films in Cannes and other top fests can sell all over Europe and never in the US or success in opening theatrically only in NY and maybe LA and overall it seems to me box office is generally down for foreign language cinema.

International filmmakers want US distribution and it was painful for me to discuss their prospects at IFFR because for so many, the prospects are slim.  But this one’s for you! (Please note this blog is focused on digital distribution and not healthy categories for foreign language cinema such as Non Theatrical including Museums, Films Festival, Colleges, Educational / Institutional).

Cable VOD was 80% of the digital revenue in the US in 2009 but it’s now declining little by little, now estimated to be in the high 70’s (approx 77%) and may decline further still. The reason for this change, which is expected to continue, is that Internet based platforms are growing.  Regarding FOREIGN LANGUAGE ON CABLE VOD: Distributors and aggregators agree that foreign language cinema is very hard to get onto Cable VOD platforms and slots for non-English cinema are reserved generally for marquee driven films and/or films with a real hook (name cast/director, highly acclaimed, genre hook).   A big independent Cable VOD aggregator notes a real struggle in getting foreign language films to perform on Cable VOD and even Bollywood titles that had wide theatrical distribution and a box office of upwards of $1,000,000 still perform poorly (poorly means 4-figure revenue, 5-figure tops). They have had some success with foreign martial arts films and will continue with those in the foreseeable future. Time Warner Cable (TWC) remains more open to foreign language cinema though it plays the fewest films, a range between 190 – 246 at any given time (with a shelf life usually of 60 days and with 2/3rd of the content seeming to be bigger studio product, and the rest indie).  By comparison Charter and AT&T play about 1,000 and Verizon plays 2,000, and Comcast plays about 4,000.  [See below for the 2010 breakdown of Cable subscription numbers.] Hence, individual titles may perform better on Time Warner Cable for obvious reasons, Comcast may have more subscribers but there’s less competition and TWC is in New York, the best demographic for art house cinema.

Generally speaking, platforms overall are far more receptive to foreign films following the recent success of DRAGON TATTOO, TELL NO ONE, IP MAN, etc.  than they have ever been before.  However as one can see from the titles noted, foreign genre films are preferred because they have the opportunity to reach broader audiences than the usual foreign film.  Genres that reportedly work include:  sci-fi, thriller/crime, action, and sophisticated horror.  Dramas have had limited success, and comedies often don’t translate, nor does most children’s content. In regard to Cable VOD – foreign box office is becoming an important proxy, because the marketing and pr tend to build US awareness on the larger titles prior to being available here.  Many companies have built very successful VOD businesses pursuing a day and date theatrical or DVD strategy.  Again, genre films work best, with horror and sci fi being the top performers.  3 of the top 10 non-studio titles in 2010 were foreign language subtitled releases.  Small art house distributors say that at most it’s a small dependable revenue stream via services such as INDEMAND http://www.indemand.com (iN DEMAND’s owners are and it services Comcast iN DEMAND Holdings, Inc., Cox Communications Holdings, Inc., and Time Warner Entertainment – Advance/Newhouse Partnership.)  Distributors and aggregators all site Time Warner as being far more open to foreign language cinema than Comcast, because it’s urban focused (NY, LA, etc) not heartland focused as Comcast is.

In terms of these titles finding their audiences on Cable VOD, Comcast announced improved search functionality by being able to search by title and Cable VOD is aware of its deficiencies and is said to be improving in terms of marketing to consumers but Cable VOD is still infamous for its lack of recommendation engines and discovery tools. Key aggregators work to have films profiled in several categories and not just the A-Z listing.

Top 25 Multichannel Video Programming Distributors as of Sept. 2010 – Source NCTA (National Cable Television Association)

Rank MSO BasicVideoSubscribers
1 Comcast Corporation 22,937,000
2 DirecTV 18,934,000
3 Dish Network Corporation 14,289,000
4 Time Warner Cable, Inc. 12,551,000
5 Cox Communications, Inc.1 4,968,000
6 Charter Communications, Inc. 4,653,000
7 Verizon Communications, Inc. 3,290,000
8 Cablevision Systems Corporation 3,043,000
9 AT&T, Inc. 2,739,000
10 Bright House Networks LLC1 2,194,000
11 Suddenlink Communications1 1,228,000
12 Mediacom Communications Corporation 1,203,000
13 Insight Communications Company, Inc. 699,000
14 CableOne, Inc. 651,000
15 WideOpenWest Networks, LLC1 391,000
16 RCN Corp. 354,000
17 Bresnan Communications1 297,000
18 Atlantic Broadband Group, LLC 269,000
19 Armstrong Cable Services 245,000
20 Knology Holdings 231,000
21 Service Electric Cable TV Incorporated1 222,000
22 Midcontinent Communications 210,000
23 MetroCast Cablevision 186,000
24 Blue Ridge Communications1 172,000
25 General Communications 148,000

FOREIGN LANGUAGE CINEMA VIA OTHER DIGITAL PLATFORMS and REVENUE MODELS:

DTO (Digital Download to Own (such as Apple’s iTunes which rents and sells films digitally) – this space has been challenging for foreign films in the past, and most services do not have dedicated merchandise sections. Thus, the only promo placement available is on genre pages, so the films need to have compelling art and trailer assets to compete.  iTunes and Vudu (now owned by WALMART – see below) are really interested in upping the ante on foreign films over the next 12 months.  Special consideration will need to be made for the quality of technical materials, as distributors have encountered numerous problems making subtitled content work on these providers.

SVOD (Subscription VOD such as NETFLIX’s WATCH INSTANTLY) – this space is probably the best source of revenue for foreign content because the audience demos skew more sophisticated and also end users are more inclined to experiment with new content niches.  Content in this space should have great assets and superior international profile (awards, box office), and overall should evoke a “premium feel” for the right titles, license fees can be comparable to high end American indies.  Appetite for foreign titles will increase as the price for domestic studio content continues to accelerate.  Genres are a bit broader than VOD/DTO, but thrillers, sci fi and action still will command larger sums ($). Good Festival pedigree (especially Cannes, Berlin, Venice, Sundance, etc.) will also command higher prices.  Overall, it’s a great opportunity as long as platforms keep doing  exclusive deals.  NETFLIX has surpassed 20,000,000 subscribers and a strong stock price and is in a very competitive space and mood again. (See more below).  Hulu expects to soon reach 1,000,000 subscribers  “to approach” half a billion in total revenues (advertising and subscription combined) in 2011, up from $263 million in 2010. That’s from $108 million in 2009. (see more below)

AVOD (Advertising Supported VOD – such as SNAG and HULU) – Another great space for foreign content (as evidenced by the recent exclusive HULU – Criterion deal – (see below) although that deal is actually for HULU’s subscription service (Hulu Plus). These platforms are more willing to experiment with genres and content types and favor art films and documentaries over genre films. Depending on the film, annual revenues can approach low to mid four (4) figures in rev share.  SNAG recently was capitalized to the tune of $10,000,000 but seems to be spending that money on marketing and not on “acquiring” so a film’s revenue is likely to be dependent on performance and rev/share unless one strikes an exclusive deal with SNAG and manages to get an MG.  HULU’s revenues are covered above.  Films report low 4-figures but sometimes 5 and 6 figure revenues but up until now those higher performing films have been English language and appeal to younger males.

TELEVISION / BROADCAST SALES: For foreign language cinema unless one has an Oscar™ winner or nominee, or an output deal, the prospects of a meaningful license fee are slim. Even worse, if you do secure a deal, it will likely preclude participation in Cable VOD, Netflix and any of the ad-supported VOD platforms such as Hulu and Snag.

KEY SPECIFIC TOP SPECIFIC DIGITAL PLATFORMS / RETAILERS:

AMAZON reportedly is readying a service that would stream 5,000 movies and TV shows to members of its $79-per-year Prime free-shipping membership program. Amazon being corporately tied to extremely popular entertainment information service IMDB and the film festival submission service WITHOUTABOX gives it a potential edge in the market, one that has never been fully harvested but easily could be and seems to be looming. And since its inception, Amazon has let film content providers open up shop on their site directly without a middle-man. Middle man aggregators get slightly better terms. Amazon presently offers 75,000 films and television shows combined and plans to soon exceed 100,000. It should be noted Amazon VOD has been US-focused though recently bought Love Films in the UK.

FOCUS FEATURES’ NEW DIGITAL DISTRIBUTION INITIATIVE: There is not much information out on this yet but FOCUS/UNIVERSAL are launching a new digital distribution initiative that may or may not brand their own channel on iTunes etc., but does seem to be focused on niche cinema to some extent and this may speak to foreign language titles. An option to watch out for.

GOOGLE is working on encroaching into the content delivery market with its launch of GOOGLE TV, which unfortunately has not created quite the fanfare the company planned for.  It boasts: The web is now a channel. With Google Chrome and Adobe Flash Player 10.1, Google TV lets you access everything on the web. Watch your favorite web videos, view photos, play games, check fantasy scores, chat with friends, and do everything else you’re accustomed to doing online. GOOGLE TV does come with the Netflix App and others. Google partnered with some of the leading premium content providers to bring thousands of movie and TV titles, on-demand, directly to your television. Amazon Video On Demand offers access to over 75,000 titles for rental or purchase, and Netflix will offer the ability to instantly watch unlimited movies and TV shows, anytime, streaming directly to the TV.

HULU: Hulu’s numbers keep growing for certain films, which has to-date not been foreign language but that may change given the Criterion Collection announcement. Hulu is also now a subscription service (HULU PLUS) and announced the Criterion deal is for that. Criterion of course specializes in classic movies from the canon of great directors–Ingmar Bergman, Jean-Luc Godard, Federico Fellini, etc.–and has about 800 titles digitized so far, many of which are also available via Hulu competitor Netflix. It’s understood that this will be an exclusive deal, and that the Criterion titles that Netflix does offer will expire this year.  Hulu Plus subscribers will initially get access to 150 Criterion films, including “The 400 Blows,” “Rashomon” and “Breathless.” Hulu says the movies will run without ad interruptions, but may feature ads before the films start; the free Hulu.com service will offer a handful of Criterion titles, which will run with ads.  Hulu, owned by Comcast’s NBC, Disney’s ABC and News. Corp.’s Fox introduced the Hulu Plus pay service last year. Hulu CEO Jason Kilar says the $7.99-per-month offering is on track to reach one million subscribers in 2011. Competing for exclusive content seems to be on the rise as platforms compete for household recognition and top market share.

iTunes (APPLE): iTunes dominated consumer spending for movies in 2010 but that may not last long. One can get onto iTunes via one of its chosen aggregators such as New Video, IODA, Tune Core, Quiver…  Home Media Magazine reported the findings of an IHS Screen Digest report that showed that Apple was able to hold off challenges from competitors like Microsoft’s Zune Video (via XBOX Kinect), Sony PlayStation Store, Amazon VOD and Walmart’s VUDU.  Despite the new competition,  the electronic sellthrough and video on demand market rose more than 60% in 2010, Apple iTunes still came out on top, perhaps due in part to the release of the iPad last spring and Apple TV last fall.  Research director of digital media for IHS, Arash Amel, said, “The iTunes online store showed remarkable competitive resilience last year in the U.S. EST/VOD movie business, staving off a growing field of tough challengers while keeping pace with a dramatic expansion for the overall market.”  However, it’s important to note that although iTunes staved off competition, the overall iTunes consumer spending fell almost 10% in 2010 to 64.5%.  It was 74.4% in 2009.  Insiders predict it will not hold its market dominance for long.

Microsoft’s Zune Video was one of Apple’s biggest competitors last year, accounting for 9% of U.S. movie EST/iVOD consumer spending in 2010 but this does not seem a key platform for foreign language cinema.

MUBI:  www.Mubi.com having added Sony Playstation to its platforms reach, MUBI now has reportedly 1,200,000 members worldwide and is finally in a better position to generate revenue.  Still its own figures estimates amount to 4-figures of revenue and that’s for all its territories.  Mubi’s partnership with SONY does not extend into the US.

NETFLIX as reported in Multichannel News “as its subscriber base has swelled, Netflix has become a target for critics complaining that it is disrupting the economics of TV” is now a competitor to Cable and in fact Cable VOD companies won’t take a film if it’s already on NETFLIX’s Watch Instantly service. But Netflix is realizing it erred by losing focus on the independent and is now quietly offering bigger sums that compete with Broadcast offers and that are on par with the 5 and 6 figure revenues generated by Cable VOD for the stronger indie / art house films. Having films exclusively may be the driving force of future monetization in digital, or least in SVOD.  Regarding 2011 outlook, Netflix’s “business is so dynamic that we will be doing less calendar year guidance than in the past,” the execs said.  For the first three months of the year, Netflix expects domestic subscribers to increase to between 21.9 million and 22.8 million, with revenue between $684 million and $704 million and operating income between $98 million and $116 million. Internationally — meaning, for now, Canada — the company expects 750,000 to 900,000 subscribers with revenue of $10 million to $13 million and an operating loss between $10 million and $14 million.

REDBOX: Redbox, whose brick-red DVD vending machines are scattered across the country, is aiming to have a Netflix-like video streaming subscription service up and running by the end of 2011, company executives told investors mid February. Redbox is a wholly owned subsidiary of Coinstar. The Oakbrook Terrace, Ill.-based company claims to have rented more than 1 billion DVDs to date through vending machines at about 24,900 U.S. locations nationwide, including select McDonald’s, Wal-Mart Stores and Walgreens locations. It should be noted though that Redbox is very studio title focused and wide release focused but its streaming service will likely move beyond that.

WAL-MART bought VUDU and is expected to be a major player. Walmart is the world’s largest retailer with $405 billion in sales for the fiscal year ending Jan. 31, 2010. In the U.S., Wal-Mart Stores, Inc. operates more than 4,300 facilities including Walmart supercenters, discount stores, Neighborhood Markets and Sam’s Club warehouses.   VUDU, is Walmart’s recently acquired online media source where consumers can rent or buy movies and TV shows for their internet-ready HDTV, Blu-ray Disc players or PlayStation 3 consoles.  Like iTunes, there are no monthly fees.  Consumers can buy and rent movies when they want, and 2-night rentals are only $2.  It will be interesting to see how VUDU will rise as a contender in 2011 and whether iTunes will suffer as a result of their success.  Wal-Mart advertises that regarding VUDU: “from Internet-ready HDTVs to WiFi enabled Blu-ray players, you’ll find all the VUDU ready electronics you’re looking for at Walmart.com. Whether adding a flat panel TV to your dorm room or upgrading your home entertainment center, our selection of VUDU ready HDTVs has you covered. You’ll also save money on our VUDU ready products when you select items with free shipping to your home. With VUDU, you’ll be able to stream HD movies directly from the Internet to your TV in dynamic surround sound for a great low price. Shop VUDU ready HDTVs and Blu-ray players at Walmart.com — and save. “ And the retail giant makes sure all relevant devices / electronics it carries are VUDU-enabled.  2011 and beyond will be telling.  Wal-Mart caters to the average American so it remains to be seen if there is an appetite for foreign language film via VUDU in the months and years to come. In its inception VUDU was catering to early adaptors of new technology and those eager to watch HD but now it seems to be becoming more generic. New Video is a preferred aggregator to VUDU, among others.

VODO (Free / monetized Torrent): www.VODO.net: This has not been tried in the US by most distributors if any and not for foreign language cinema but it has worked for several projects such as Pioneer One which generated $60,000 USD by having the content made available for free and then getting donations in return.

Other emerging retailers entering the digital space:

Sears and Kmart are the latest over-the-top threats to pay-TV providers’ video-on-demand businesses. Sears launched its online movie download service, Alphaline Entertainment, which will let Sears and Kmart customers rent or purchase movies, including on the same day they are released on DVD and Blu-ray Disc, provided through digital media services firm Sonic Solutions.  Titles currently available to rent or buy from Alphaline include studio and successful TV shows. Under Sonic’s multiyear agreement with Sears, the companies will provide access to Alphaline services through multiple devices including Blu-ray Disc players, HDTVs, portable media players and mobile phones. Sears and Kmart, said in a statement. “We’ll continue to increase the reach and flexibility of the Alphaline Entertainment service by providing consumers on-demand access to the latest entertainment from a range of home and mobile electronics.” Sears, which merged with Kmart in 2005, is the fourth largest retailer in the U.S. The company has about 3,900 department stores and specialty retail stores in the U.S. and Canada.  It remains to be seen if they take on foreign language cinema. New Video is also an aggregator to them.

That’s all she wrote folks. Until the next time.

March 10th, 2011

Posted In: Amazon VOD & CreateSpace, Digital Distribution, Distribution, Distribution Platforms, Hulu, International Sales, iTunes, Netflix, Uncategorized

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,


*This is Part III of  “If I Were a Filmmaker Going Sundance…”

Post Sundance what I have to say is this:  there were more deals done since I started tracking them along with the rest of the industry so for more deal counting and analysis please refer to that blog post.

But thank you Fox Searchlight, TWC and Oprah for injecting the biz with just the right amount of adrenaline to keep it dreaming big; we hope you’re buying big next year. What else is new? Focus has an emerging digital distribution initiative, Amazon is giving Netflix a run for its money (or not, depends on who you talk to)…. everyone is waiting on Wal-Mart to see how much voodoo VUDU can conjure up and SEARS and KMART are in the digital space just in case you though big retail was dead.  Blockbuster is still for sale. Google’s stock price is high as ever and Apple is not going down any time soon judging from its 130,000,000 credit cards on file (and that was just the last time I checked) even though some speculate it will meet its match.

So now that there are almost as many digital plays as they are films (hahahaha of course not literally) how can we distinguish them? TERMS and MARKETING. I have made much fuss about terms before (how long, how many rights, fees and above all, what are the splits between platform/ service and aggregator/distributors).

We hope that filmmakers and their team build community and buzz around their films and start engaging audiences and potential audiences well before and leading up to and following the first public exhibition of their films.  But after a distributor or aggregator comes on board, then what? What do they do for the fees, other than the selling and servicing of the film and its assets to the platforms / services.

Here is an overview of what a few companies do to market films for home entertainment release, either DVD & DIGITAL or just DIGITAL, and mostly in their own words:

FILMBUFF

“FilmBuff is an established leader in the development of innovative release strategies, digital merchandising and promotions.  Our strong retail relationships allow us to emphasize merchandising and promotional placement on all platforms and video portals.  Our internal marketing builds custom outreach programs to build audience awareness and activate the online communities that are ideal for each film.  Custom promos and features on FilmBuff’s social media networks across Facebook, Twitter, YouTube and a host of online video portals work in concert to ensure that films reach the widest possible audience.”

Our dedicated programming and marketing teams will:

• Design a custom release strategy for each film across all digital platforms
• Work directly with online stores on a weekly basis to gain featured digital merchandising.  Some examples of recent featured merchandising and promotions below:

Exit Through the Gift Shop on iTunes

 

 

 

 

 

 

 

 

 

 

 

Collapse on XBox

 

 

 

 

 

 

One Too Many Mornings on Hulu

 

 

 

 

 

 

 

Cemetery Junction on Charter

 

 

 

 

 

 

• Build a public relations program to drive audience awareness through national & international press and blog coverage.

 

Nice Guy Johnny on AOL Video

 

• Execute custom outreach programs to activate and engage the online communities that are ideal for each film.
• Implement online promotional campaigns and features leveraging FilmBuff’s expanding social media community of movie lovers on Facebook, Twitter and Youtube and others.  The community now includes 25K+ engaged fans, followers & subscribers.

 

Savage County on Veoh

 

 

 

 

 

 

 

 

 

 

 

 

• Feature the film in various areas on our website (www.filmbuffondemand.com) which drives users and fans to digital transactions.  The site features video clips, industry content, guest blogs, film extras  and links to all portals where the film is available.  The site currently receives an average of over 20K+ page views per month.

 

 

NEW VIDEO

“New Video’s suite of marketing services for films released on DVD, Blu-ray, digitally and on-demand includes:

Direct contact with retailers and platforms for developing and supporting in-store placements and point-of-sale promotions. (TFC notes: They have a lot of DVD volume so their relationships are more valuable than a filmmaker can get on their own dealing with the retailer).

A full-time in-house public relations team directing outreach to national and regional print, online and broadcast media for both industry and consumers-

Collaboration with partner organizations to drive grassroots awareness; a custom affiliate program for DVD sales referrals.

* Best practices to reach existing fan bases online and off with a solid emphasis on social media. * Strategic advertising to maximize ROI. * Promotion at consumer and trade shows.

The mission of New Video is to leverage 20 years of distribution and marketing experience to provide the broadest possible reach across all distribution channels, while raising awareness through major press, grassroots organizations, and everything in between. Titles we’ve distributed and marketed include GasLand, King Corn, Autism: The Musical, Wild Parrots of Telegraph Hill, Bob Dylan: Dont Look Back, Dr. Horrible’s Sing-along Blog and The Secret of Kells. We collaborate with filmmakers, create custom marketing strategies and share our best practices to build on the momentum they have developed over the life of their project. With expert in-house publicity services, our campaigns cover long lead press, short lead, online, industry, and consumer press outlets (both national and regional, in print, online and broadcast media). Our press releases are media-rich and social media-ready for posting and sharing, and we offer next-gen screener service for press review. We have a proven track record in leveraging talent to maximize press and promotion through marketing opportunities such as podcasts and exclusives. We have a hands-on, strategic approach to grassroots marketing, and we employ social network marketing through our own presence on Facebook and Twitter, and through coordination with supporters’ social networks. We prize our longstanding relationships with store merchandising teams, and add enormous value in our ability to customize and create in-store marketing strategy, such as thematic shelves, customized artwork, and priority placements. We collaborate on selective online, print and radio advertising to strategically improve ROI through targeted buys, and we build opportunities around media events, consumer and trade shows to further press coverage and consumer awareness for a property. We complement these practices with a custom affiliate program for DVD sales referrals to incent partner organizations online. New Video is committed to building and maintaining buzz organically, through extended campaigns, early editorial pitching, and social outreach. We communicate with consumers through our website and blog, social media, and a newsletter reaching 15,000 subscribers.”

TFC NOTES: New Video is a key iTunes aggregator not only for its own titles but for many traditional distributors and even IndieFlix and Indie Rights and TriBeCa Films (remember filmmakers, always ask the questions that help you know how many middle men there are in any given category of distribution).  I know that on the ‘Social Media Outreach’ front for iTunes releases for example, New Video sends out social-media releases with images & clips to sites such as Digg, Reddit, Stumbleupon and they post release on PR Distribution sites such as ClickPress, i-Newswire, eCommWire, The Open Press.   From past experience we know they do a feed-based announcement made available on Google blog search, Technorati, Yahoo! News, Topix, tagged with keywords for easier discovery. New Video does email marketing to its subscribers as well and Trailer or Clip Tagging Promotional clips tagged with “Now Available on iTunes” and syndicated to top video sharing sites (e.g. YouTube, Yahoo!, MySpace, Google, Revver, Dailymotion, Blip, Veoh). They monitor and post reviews in-store Individual reviews posted about the content.  On the online grassroots outreach front, they connect to digital portals; targeting topical, genre and talent fansites and blogs and service those with press release and special offers (exclusives, clips, contests, review copies). And they work fans and friends via the social networking sites. (TFC notes: on Facebook New Video as a company only has a little over 1,700 people.  The page is largely used to promote titles, not facilitate dialog as Sheri Candler observed.).

WOLFE VIDEO

“25 years developing relationships with national retailers, VOD companies, the press and media, film festival programmers, LGBT organizations and our vendors. Over 25 years building traditional and electronic mailing lists, plus a wide social media presence.  Wolfe believes that the key aspect to being an effective Distributor is marketing.  In the absence of this expertise, a distributor is merely a middleman.  Wolfe is widely known for mainstreaming films with gay content.  The most invaluable asset Wolfe brings to filmmakers is experience. Wolfe has over 25 years developing relationships with VOD companies, DVD retailers, niche and traditional media, film festival programmers, broadcasters, LGBT organizations and our vendors. Wolfe has one of the largest channels in the gay niche market which includes traditional and electronic mailing lists and a wide social media presence.

One of Wolfe’s most notable assets is its direct access to gay consumers; better known as WolfeVideo.com.  The website supports heavy traffic and is widely known as a commerce site for gay feature films.  It should also be noted that Wolfe does not sell adult product, so the website is accessible for many audiences.  WolfeVideo.com is supplemented by the QMovieBlog.com and Wolfe’s social network strategy includes a variety of ongoing campaigns across all major platforms. Wolfe has a particularly substantial and active following on Twitter, Facebook and YouTube; for example Wolfe’s work on Were the World Mine generated nearly 100K views on YouTube alone and the famous re-release of Desert Hearts promotion generated over 847,000 views!  Wolfe’s direct to consumer assets also include significant opt-in mailing lists via email and traditional snail mail, which continues to be a strong sales tool for the company and its products. (TFC Notes Wolfe’s Facebook page has 3,368 likes).

Sales and marketing via mainstream outlets is key to the success of Wolfe films.  Wolfe leverages client relationships with VOD, EST and DVD retailers to further market films.  Strategic partnerships bring Wolfe’s films front and center in programs such as the Gay Pride month feature on the home page of iTunes, Internet promotions with Xfinity & dominant presence with DVD retailers such as Amazon.com.  Wolfe has also engaged companies like Sony to develop marketing campaigns.  The Sony Ebridge program was designed to add value to the DVD.  E-bridge gave consumers cool stuff like the chance to win a trip to Australia. It also offered advertisers unique consumer access they would otherwise not reach.

Other clients that partner with Wolfe promotions include hundreds of non-profit organizations nationwide such as LGBT film festivals and political orgs like GLAAD. These organizations work with Wolfe to both screen films for hundreds of consumers and promote the subsequent VOD & DVD releases.  These relationships expand consumer outreach and do the good work of promoting the important work of non-profits.

Publicity is a major focus in every Wolfe campaign.  Wolfe’s publicists (not in-house) facilitate reviews, interviews and other coverage for all Wolfe releases across a wide range of media outlets from national and regional print publications to blogs and websites.  Broadcast networks also work with Wolfe on publicity and marketing.  For example, the Logo Network is presently airing Wolfe PSA’s to educate consumers about the effects of piracy featuring actors from Wolfe films.

Additionally, they not only market films on the Wolfe label, but work extensively with larger labels such as Sony, Universal, Fox, and Showtime to name a few.  Every successful distributor with gay content has hired Wolfe to support their products.  Wolfe has a “soup to nuts” approach to film marketing and they work hard to reach millions of consumers for every release.”

INDEPENDENT LENS

Independent Lens has a strong social media community including nearly 70,000 engaged Facebook fans —the largest of all PBS primetime series, second only to Antiques Roadshow. Independent Lens social networking and online impact: Independent Lens believes social networking is one key component to reaching new, younger and more diverse viewers for our broadcasts, engagement work and online distribution.

Independent Lens is the second most popular PBS series on Facebook. We post daily, and our posts average 55,000 impressions each. We receive an average of 100 interactions (Likes + Comments) on each post. This engagement rate ranks first among PBS series and means that 5 out of 6 of our fans see each post.

(e.g. their The Calling Livestream event from the Chicago Art Institute in December 2010 attracted more than 3,000 viewers on their Livestream channel on their Facebook fan page.).

We have more than 11,000 followers on Twitter.

We post three or more new Blog postings each week, and they feature interviews with the filmmakers, documentary news, dispatches from filmmakers in the field, live chats with filmmakers and the subjects of their films, and more.

In the first quarter of our current season, Independent Lens had 18,000 page views from more than 15,000 unique visitors.”

GRAVITAS

“With there being thousands of films available in the VOD marketplace, here are four ongoing tactics we use to raise the profile of Gravitas films:

1. Traditional PR- As this The Wrap article shows we believe it important to convey to the industry and entertainment enthusiasts that Gravitas continues to innovate in VOD. In this instance, we will be releasing American: The Bill Hicks Story “day and date” in theatres and on VOD in April. This is a film was adored when it screened at SXSW in 2010 and having pre-release PR supporting the film will help us get wide carriage in 100 million North American VOD homes and marketing support from cable and online operators concurrent with the film’s debut.

We have an outside PR firm on retainer and we also do PR/marketing in house.    None of these expenses are charged back to the filmmaker.   We work in house, w/ our PR firm and with our Licensors to ensure appropriate messaging is being conveyed.   Good reviews are crucial, but of paramount importance is letting the Licensor know when and where the film are being played in VOD.   To this end, we communicate with our Licensors every time their film is on a new VOD platform.

Here are a couple recent links to coverage on IFC.com

http://www.ifc.com/news/2010/10/2010-holiday-movie-guide-online-vod.php

http://www.ifc.com/news/2011/01/winter-preview-2011-dvds.php

2. VOD Guide Optimization- As you know, there are over 100 cable, satellite, and telco operators in North America and each operator has their own VOD guide characteristics. As a result, we spend considerable resources internally making sure that our films are mapped so that customers can easily find them. As a result, we have Slingboxes set up in homes all across North America where we can remotely use our office internet connections to peer in to the cable boxes of friends and family to make sure our films are in as many VOD guide folders as possible. The enclosed images shows the layout of 8 different large operators. Our goal is make sure our films show up 4-5 times within each operator VOD storefront in folders frequently called “New Release”, “All Movies A-Z”, “Indy Films”, “2 Day Rentals”, “VOD Premieres”, “In Theatres”, and the appropriate genre categories like “Documentary” or “Comedy.”

Almost each guide (aka UI or User Interface) is a little different and we monitor as many of the UI’s as possible to ensure that we are aware of any guide changes that we should be taking advantage of that would be appropriate for our content so that it is merchandized appropriately.  We do this for all of our licensed content.

3. Online Editorial Outreach: Gravitas’ marketing team has a monthly dialogue  (including sending DVD screeners) with dozens of websites and bloggers that cover independent, genre, and new VOD content including:

IFC.COM

On Demand Weekly

Hammer to Nail

Twitch Film

Film School Rejects

Gordon and the Whale

28 Days Later Analysis

Fangoria

Dread Central

Arrow in the Head

VideoScope Magazine

Horrorphilia

Bloody Disgusting

Here are some recent samples:

http://www.ifc.com/news/2011/01/winter-preview-2011-dvds.php

http://ondemandweekly.com/blog/article/ip_man_-_on_demand/

4. Online and Social Media- Each month we host monthly marketing calls with filmmakers to help implement and grow the online presence of their film prior to and after VOD debut date. Here are just a few examples:

  1. Gravitas Website-We run on ongoing Film Spotlight section off of our home page where we interview writers and directors of Gravitas films currently in VOD release.  http://www.gravitasventures.com/films/

(TFC notes: no info on site traffic and Sheri Candler noted that Gravitas themselves only have a little over 500 people on their own FB page and almost no engagement from fans; few likes, few comments on the material posted there.)

ORLY asked: “Do you have any plans to expand your social network marketing? Any community engagement you want to speak to? I say this because for example Independent Lens does this very well, but most distribs and aggregators don’t. Since you mention it, if you have anything to say about it please do”.

GRAVITAS answered: “To the extent that our social media sites continue to grow, yes, but it’s equally important and effective to spread best practices with our Licensors.  i.e. If Gravitas licenses a film with a FB page of 10K fans, we want to share best practices with that Licensor as to harness their social network to drive VOD activity”.   Gravitas went on to explain that they don’t see themselves as a consumer-facing brand and they prefer to focus their efforts and resources on working with filmmakers’ Facebook pages etc and leveraging the filmmakers’ brands and outreach efforts, coaching filmmakers on having fans look for the film on the right platforms etc.

Back to the rest of the GRAVITAS info about their marketing ONLINE & via SOCIAL MEDIA:

“b.) Partner Portal Marketing- Hulu is one example of a key partner portal that we collaborate with weekly to raise the profile of Gravitas films. Here is a screen shot of the well-regarded documentary Circus Rosaire that is currently being highlighted in the top carousel off the Main Hulu Movies page.

Recently, we were able to work with the website www.Jesse-Eisenberg.com to have them cross promote one of Jesse’s earlier films The Living Wake right after he was Oscar nominated for his work in The Social Network.

http://www.jesse-eisenberg.com/news/2011/01/29/the-living-wake-now-free-to-watch-on-hulu/

We also frequently collaborate with many of our filmmakers to heighten discussion, interaction and interest in many of our Hulu films.

c.) Social Media- Gravitas and its film partners are active users of Facebook and Twitter. Here is one example where are Documentaries on Demand partner PBS tweeted about the VOD release of The Buddha to its over 500 thousand followers.”

http://www.indiewire.com/article/gravitas_ventures_to_launch_documentaries_on_demand_with_pbs/

BRAINSTORM MEDIA

Brainstorm submitted this campaign plan in answer to our desire to what they do on the marketing front. They work with Eventful.

Eventful

What Would You Give Up to Find True Love?

Submit Your Answer for a Chance to Win!

One lucky winner and three guests will win a trip to NYC, stay at the

luxurious Kimberly Hotel, get a pampering spa day and more!

Campaign overview:

Eventful will execute a social media campaign to engage consumers around the film, My Father’s Will. The campaign will allow fans to submit their answers to win a trip to NYC, see submissions from other fans, and watch the trailer for My Father’s Will.  Eventful will execute digital, email and social media marketing to drive campaign participation.

The goals of the campaign include:

  • • Drive entries for the sweepstakes
  • • Build awareness for My Father’s Will through trailer views
  • • Build awareness for accommodations being provided, i.e. hotel
  • • Generate social media and viral engagement for the film and sweepstakes
  • • Create an engaged social community for direct marketing of VOD rentals of My

Father’s Will with including folder locations for each affiliate

Phase 1: Social media campaign – Win it!

1. Eventful will design, build and host:

  • • Campaign micro-site including movie trailer and hotel branding
  • • Custom widgets and social media apps for distribution across Facebook,

MySpace and other sites, enabling consumers to enter the sweepstakes

2. Eventful will execute a comprehensive targeted marketing and promotional plan to engage existing users from among Eventful’s audience of 16 million consumers:

  • • Demographic targeting by location, age, gender, and entertainment tastes
  • • Eventful will engage consumers via dedicated email, onsite promotions, and one-click social media sharing tools

3. Marketing by Eventful will drive participants to the campaign micro-site which will include:

  • • Campaign artwork branded for My Father’s Will
  • • Primary call-to-action to enter the sweepstakes by submitting an answer
  • • Live stream of entries from fans
  • • Official trailer for My Father’s Will
  • • Campaign details with basic rules
  • • Social media sharing tools for Facebook, MySpace, Twitter and email

Phase 2: Drive VOD rentals of My Father’s Will

1. Eventful will promote VOD sales for My Father’s Will through a digital and direct marketing campaign targeting all sweepstakes entrants plus a broader target audience within the Eventful user base.  Campaigns include:

  • • Dedicated email
  • • Onsite promotions
  • • Email newsletter insertions

Proposed Timeline:

  • “Win it!” Sweepstakes: 2/15/11 – 4/15/11

To see the campaign, access it here. http://movies.eventful.com/campaigns/myfatherswill2011

(TFC note: we look forward to hearing the outcome on this campaign)

So, in conclusion, you can see a range of what companies do. In general, some companies are more focused on consumer marketing and publicity and social network marketing than others and some are focused more on marketing to retailers and services and getting best placement and some may do both.  We recommend the latter when you have a choice and of course, no one can market your film better than you can.  In my experience most companies lack on the publicity side, though I will say First Run Features, for example, (since we did not cover them herein) seems to do a great job on that front working with a wonderful publicist, driving Netflix queue action, hiring outreach teams, posting the trailer all over, and take out ads, e-blast loads, as well as work social network sites etc.

I am sure other companies will want to chime in here about what they do and filmmakers too about their experiences, good or not-so-much. We want to hear from you so weigh in! Please offer specific examples, not just marketing speak. In the meantime, our resident social network marketing guru, Sheri Candler, has offered her take on what the above distributors have described.

Sheri Candler says: I am happy to see distributors explaining what they do to market titles under their control. Often, the text on their websites sounds like a generalization of typical activities conducted by any marketing department in any corporation. I urge filmmakers to press for a customized, detailed plan of EXACTLY what will be done on their films and how much it will cost. Ultimately, that cost will be deducted from your backend, so it is important to understand what you can expect from your distributor before you sign up with them. It also gives you an idea of what you will still need to do yourselves. This isn’t fix it, forget it and the money just rolls in.

As noted above, I think social networking activities by most distributors is minimal at best. If you already have 10K fans on your Facebook page and the distributor offering to perform social networking activities for your film only has 500, they really can’t offer much. Especially look at how they handle their pages. Is it mostly shill? Is there any engagement going on? Evaluate them on what they can bring you that you can’t do yourselves. I strongly disagree that distributors shouldn’t consider themselves consumer facing companies. All companies are consumer facing in this age of digital ubiquity. But if it is true, they aren’t consumer facing,  most likely those distributors shouldn’t be using social media as a company at all. SOCIAL media is all about facing the customer and conversing with them.

The only impressive distributor in the above list with regard to social networking and utilizing it effectively is Independent Lens. Look at their page and see how they are using it. Very impressive. No wonder they have almost 70K fans. Ask if your distributor has a social media team (not 2 interns!) and ask to speak with those people to get a sense of what they will do with your title or how you can combine efforts effectively. Just getting a large entity to tweet about your title once is not going to do much; it is not a Twitter strategy.

Retail DVD placement (for the next few years anyway), iTunes, Netflix, and VOD marquee placement, relationships with major publications for reviews and feature stories, these are things a typical filmmaker cannot get on their own and are worth utilizing with a distributor. Sending out eblasts and unsolicited screeners to journalists is really spam; so if that is the extent of your distributor’s publicity efforts, it isn’t worth paying for. Be sure to ask EXACTLY which publications will be approached and evaluate whether those outlets reach your target audience. You should also be consulted on what story angles will be developed for the publications. This is especially necessary if you do not have notable stars or notable accolades from festivals attached to your film as publications will be more reluctant to cover it.

Since grassroots relationships were mentioned, press your distributor to name which organizations they work with. Are they just affiliate sales relationships? Are they just a member of the distributor eblast list? Real communication should be happening and for a relationship really to be fruitful, it has to be 2 way. Of the above mentioned distributors, only Wolfe strikes me as having actual relationships with target organizations. Their content is of value to the organizations they are affiliated with and I would venture a guess that Wolfe strongly champions the orgs cause and mission too. THAT is a relationship.

Advertising placement makes sense, but find out what the spend will be and what publications/sites. While I understand that distributors get better rates going with a media broker, the spend is wasted if the placements are in publications or on sites that do not reach your target audience.

My view on this is a distributor is a marketing partner. The bulk of what they should be bringing you is marketing prowess. Really dig into what their plans are for your film and ask to see examples of work on similar films. When deciding on which distributor to sign with, don’t just sign with someone offering you access to 15 million homes. It sounds great, but if few of those homes know your film exists, there won’t be many sales.

March 2nd, 2011

Posted In: Digital Distribution, DIY, Marketing, Social Network Marketing, Uncategorized

Tags: , ,

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