Dan Habib, director/producer of INTELLIGENT LIVES, is the creator of the nationally broadcast documentaries Including Samuel, Who Cares About Kelsey?, Mr. Connolly Has ALS, and many other films. His films have been broadcast internationally, nominated for Emmy awards, and translated into 17 languages. Habib was appointed by President Obama to serve on the President’s Committee for People with Intellectual Disabilities from 2014-2017.
Let’s be honest. Most documentary filmmakers dream of having our films projected on big, beautiful theatrical screens across the country, with gorgeous 5:1 audio and packed houses, sharing the experience as one.
But only a very small fraction of the thousands (tens of thousands?) of documentaries produced each year receive a national theatrical run. As I wrote in a blog last year, my last two feature-length documentaries were self-distributed and had solid film festival runs, extensive college/conference tours, financially successful educational and individual sales, and were broadcast on public television and internationally.
I never seriously pursued a theatrical run for those films because a) traditional theatrical distribution seemed highly unlikely, b) getting the film into theaters without a distributor seemed daunting and expensive, and c) there were several alternative distribution options to achieve our goals for positive social change.
For my new documentary INTELLIGENT LIVES, we took the plunge: we added a limited theatrical distribution plan onto our established hybrid release strategy as a way to:
Dip our toes into theatrical release
Reach new audiences and expand our “Opening Doors” social impact campaign
Expand the national buzz for the film
Make the film more attractive to distributors and broadcasters
Give people around the country a fairly simple mechanism for hosting screenings and discussions of the film, and;
Maybe even bring in some revenue (more on that later).
We decided to simultaneously release and self-distribute (for now) a robust INTELLIGENT LIVES Education Kit (containing the film, five short companion films, and extensive educational materials) concurrent with the event theatrical campaign—a decision that has paid off, as you’ll see below.
Building an outreach and distribution team.
I worked with a wonderful national outreach strategist, Lisa Smithline of Cultural Front Productions, who had worked successfully with Tugg and Gathr, two of the major “Event Theatrical” (Tugg’s language) or “Theatrical on Demand®” (or TOD, Gathr’s language) companies on other projects. Lisa and I also worked with consultant Jon Reiss of Hybrid Cinema, who has extensive experience in event theatrical. Jon helped us make many crucial early decisions about our overall distribution strategy. We also received key early input from Jeffrey Winter and Orly Ravid at TFC when we came on board as a TFC “Conspirator.”
We spent months researching our options and went with Gathr largely because of their filmmaker focus and support. The model for TOD is similar to other event theatrical platforms: a person or group of people need to step up and host a screening in their community (Gathr calls them “Captains”) and then they need to do the grassroots work to make sure enough people reserve tickets in advance in order to ‘tip’ or ‘greenlight’ the screening. That ticket number can range from a few dozen to close to a hundred, depending on the minimum cost charged by each theater. There are other costs that are factored in before a screening tips, including the DCP rental and delivery cost, and virtual print fee (VPF).
We are now three months into our Gathr TOD campaign, and the film has screened in 60 theatres across the country to date (which includes 16 theatrical screenings as part of a traditional run in a Pacific NW chain), with dozens of other communities holding screenings using our Education Kit. Here’s what we’ve learned so far.
For successful TOD, as for any hybrid distribution strategy, you have to create buzz, credibility, and take financial risks.
Like nearly every other filmmaker, we spent lots of time and money pursuing film festival acceptances, with mixed results. Although we weren’t accepted by the “game-changing” festivals like Sundance or Tribeca, we were given primo slots in 20+ fantastic festivals including Ashland IFF, IFF Boston, Bentonville, & Cleveland IFF. Our film stars and our Executive Producers (Chris Cooper, Marianne Leone Cooper, and Amy Brenneman) traveled to many festivals and special events with us. These fests helped us create strong social media buzz, generated news stories and local reviews, and gave us a credible collection of laurels for our website, poster, etc.
Our publicist, Emma Griffiths, counseled us to take a financial risk and 4-wall a NYC theatrical week, assuring us it was the only way to get national reviews. It’s not cheap (10K and up) and we never expected to recoup our costs. But we were able to line up two underwriters who cut our costs in half. We’ve heard that the NY Times declines to review about half the films that open theatrically in NYC, and we fell into that shunned half. But we received a wonderful review in Hollywood Reporter, and more reviews and articles in Salon and a dozen or so other trade publications. Our Rotten Tomatoes score holds steady at 88% Fresh from critics and 100% Fresh from the audience.
Just before our NYC run, we released our trailer on Facebook and it went viral (at least by our measures), with 300K+ views and 5,700+ shares to date. We brought on social media consultant Sheri Candler who helped us create and execute a serious but affordable strategy for paid and organic social media.
You need to reach A LOT of people for a successful TOD campaign: Develop a network of outreach partner organizations.
All of my film work touches on disability rights and inclusion, and over the past 10 years we’ve been building alliances with national partner organizations that have overlapping interests. We strengthen and refine that network with each film, and we are partnering with more than 30 Outreach Partners for INTELLIGENT LIVES. More than a year before our launch, we held a daylong national strategy summit in Washington, DC with the leaders of these organizations, and during part of the summit we briefed them on the concept of a TOD campaign. Discussions at the Summit led to the name and content of our “Opening Doors” impact campaign. We had commitments from these organizations to regularly share updates about our project with their network – expanding our reach to millions of people, without paid advertising. Many of our TOD “Captains” found out about the film through these networks.
Make it easy and fun to host a screening.
If you assume that people will start hosting screenings just because your film is listed on the Gathr/Tugg website, THINK AGAIN! You need to recruit, support, and nurture screening Captains each step of the way.
As a team, we spent about 80 hours writing and designing our Host a Screening PDF Toolkit and a wide array of related images and resources. Lisa Smithline, Sheri Candler, and Gathr staff helped us determine what assets needed to be created, and shared examples from other films with us. Probably the most important team members on this front are our freelance designers, who created the PDFs and images we share with all TOD hosts through this Dropbox folder.
We created a 2-minute host-a-screening video that emphasizes the impact of live screening events, and briefly walks them through the hosting process.
Gathr also launches a Screening Captains Facebook Group for each film. Lisa has been actively engaging the Screening Captains every step of the way. She is continually answering questions, pointing people to resources, and having one-on-one conversations with Captains by email, messaging, and phone. Lisa spends an average of 20 hours a week on communication with Captains, which often includes moral support and cheerleading. The Gathr team also monitors the FB group and weighs in as needed. Don’t underestimate how much guidance your Captains will need to successfully host a screening, as this process is likely to be new to all of them, and it can at times be confusing.
Find theme months or other organizing strategies to build enthusiasm.
We set up our campaign so Captains could start hosting TOD screenings on October 1, 2018 – the start of Disability Employment Awareness Month. Our Outreach Partners heavily promoted the film beginning in mid-August (it’s best if Captains have a minimum of 3-4 weeks to tip a screening), and we also created a Facebook ad campaign, targeting people that have either visited our website and/or expressed an interest in disability rights and special education. These efforts seem to have worked – dozens of theatrical screenings occurred in October. Some other distributors, like Richard Abromowitz, have opted for a much more narrow time frame, engineering successful one-day screenings of films.
Make in-person pitches at every event and festival.
My fulltime job at the Institute on Disability at the University of New Hampshire (a 501c3 non-profit) is to make documentary films, as well as travel and show/discuss the films at national and regional conferences, universities, and school districts. The screening/speaking fees we charge make up a significant portion of my project’s annual budget. During the Q&A after these screening events and festivals, I always try to tell – and if possible, show – the audience how to host a screening of the film, pointing them to the Host a Screening page on our website. I explain how easy it is to host a TOD screening in just a few clicks – and emphasize that there is NO financial risk for them, but they do need to rally their community to reserve tickets. I also tell them how to host a non-theatrical screening using our Education Kit.
“Tipping” will make the screening happen, but selling out will make you money.
One of the misconceptions we had for our TOD campaign was that if a screening ‘tipped’ (i.e. enough tickets were reserved to greenlight the screening), we would make money. Not so fast…tipping just means that enough tickets were reserved to cover expenses.
As of this writing, we’ve had 46 TOD screenings around the U.S., with an average audience of 82 people per screening. Not bad turnout numbers, right? But most of those ticket sales went to cover the base expenses, so our average net income is $150 per screening. When screenings barely tip, our net profit may be $20-30, or in some cases even result in a small loss (after Gathr takes their cut of every screening that ‘tips’). Gathr will tell you that selling out screenings is how you can make real money through TOD. That’s true! One sold out screening netted us about $1,000. But from my point of view, it’s just not very easy for Captains to sell out their screening, and many take an understandable breather once they’ve ‘tipped.’ We are working on more incentives (beyond cheerleading and peer pressure) to get them to keep pushing until they sell out.
So overall, we are not making a ton of money through TOD, but we are not losing money either. And most importantly, we are getting the film seen by more people, while also collecting names and email addresses through the Gathr platform and expanding our film’s reach into new communities all over the country. And film Captains are usually flying high after their screening, excited to share photos and anecdotes from the discussion. Many expressed interest in purchasing our Education Kit and continuing to promote the film in their communities.
The numbers.
So, what’s the upshot? I’ll give you some real numbers and you can be the judge.
$6,900:Net income from Gathr screenings from October 1, 2018-December 31, 2018. The estimated box office gross for that time frame was $44,000, and the major expense by far is the costs charged by the theatres. Note that this does not take into account the up-front costs like the master DCP creation, the cost associated with the design of our Host a Screening materials (about $1,000), or the cost of our outreach consultants. Keep in mind that many of these expenses will be incurred in any sort of hybrid release strategy.
$36,800: Net income from Education Kit sales from September 1, 2018-November 30, 2018 (which represents an average of $16,000/month in gross sales through our Institute on Disability Bookstore). These kits are being used to host dozens of screenings in non-theatrical settings like schools, universities, community centers, places of worship, etc. Education Kits from my previous films have been used for thousands of screenings across the U.S. and internationally.
$160,000: Our project’s income for my speaking/screening events around the country tied to INTELLIGENT LIVES during our current fiscal year (July 1, 2018-June 30, 2019). At almost all of these events, I also sell the film’s Education Kit, as well as related products, and in many cases, I also can reach attendees with follow-up communications.
1,514: The number of names and emails we’ve accumulated to date (via the Gathr ticket sales platform) from the people who have attended TOD screenings, bringing our e-blast list to more than 22,000 people.
So, you might be thinking, would I do this again? The answer is…probably. Our TOD run has strengthened our position for expanded distribution. Our plans include:
Transactional VOD and an individual DVD
National broadcast (we are close to firming up a deal) with limited streaming rights
Partnering with an educational distributor to reach additional markets, like public and university libraries
Language translations and international distribution and sales.
But next time, I’d do some things differently:
Produce a promotional ‘Host a Screening’ video before we go live with TOD (see this strong example from filmmaker Laurel Chiten of JUST ONE DROP).
Make it clearer to prospective Captains that there is a mechanism for Gathr screenings to also serve as fundraisers for a local organization.
Create strong incentives to sell out the house as soon as a Captain initiates a screening.
Explore corporate sponsorship to subsidize some of the tickets for each show to lower the tipping point and enable more low-income people to attend.
Please don’t hesitate to reach out to me if you have follow-up questions!
In the previous two posts, I wrote about changes I think most independent filmmakers should be aware of when it comes to using Facebook and Instagram for their marketing efforts. This post will talk about Twitter. Is having an account here still necessary?
Twitter
With 69 million monthly active users in the United States, 267 million worldwide, Twitter is one of the top social media sites that brands still actively use. We can’t go a day without hearing news of a certain someone ranting on the platform, and without a doubt, Twitter is the number one social media platform for breaking news. But is that helpful for the average indie filmmaker?
While it isn’t likely that filmmakers will post breaking news that is of interest to a broader public, one great reason to use Twitter is for video sharing. Over the last 12 months, tweets containing videos perform the best in terms of reach compared to posts with links, images, and GIFs. Filmmakers need to be able to produce a regular supply of short videos, ideally less than 1 minute long (Twitter mainly allows for videos of 2 minutes 20 seconds in total), with the first 3 seconds serving to capture thumb-stopping attention (thumb-stopping-causing someone on a mobile device to pause scrolling through their newsfeed). Give some thought to the kind of clips and trailers you will post to social versus what you would make for a theatrical experience (where the audience won’t be scrolling on their phones). Also, don’t forget to make these videos square (600 by 600 pixels) or vertical (600 by 750 pixels), instead of horizontal, to optimize for mobile viewing.
In 2018, Twitter has been grappling with slow user growth and has deleted thousands of fake and bott accounts, lowering follower numbers on most accounts. If you have seen a slight drop in followers, likely you had a few of these accounts following you.
A recent update to the Facebook Platform Policies ended the ability to automatically post Tweets to your Facebook profile or page. This was never a good idea as audiences on the two platforms are different and it was a lazy way of marketing. But for those who did connect their Twitter accounts and Facebook pages, a more manual process is now needed for posting to the different platforms.
As of September, Twitter has re-enabled the ability to see tweets in purely chronological order, if you change your settings. Two years after phasing out this ability in favor of top-ranked or “curated” tweets, Twitter gave back the functionality that most people loved about the platform. But you have to make a change in your settings, by unchecking the box that says Show the Best Tweets First. In a world where it seems your newsfeed is programmed by an algorithmic guess, finally having the ability to see news according to the time it was posted is refreshing.
Like Facebook and Instagram, Twitter has instituted its own political content policy on advertising. The platform considers ads that advocate for legislative issues of national importance to be governed by their new policy and in order to advertise, advertisers must go through Twitter’s certification process (https://business.twitter.com/en/help/ads-policies/restricted-content-policies/political-campaigning/US-political-content/how-to-get-certified-issue-ads.html). Most likely, if you are making a documentary with an issue of national significance at its core, such as abortion, civil rights, climate change, guns, healthcare, immigration, national security, social security, taxes, and trade, you will need to register your account in order to use Twitter advertising in the future.
Getting back to the question of whether indie filmmakers still should be using Twitter, it all depends on your ability to handle multiple social media accounts and what you want each account to do as far as your goals. If connecting with Twitter influencers, or perpetuating a campaign hashtag, or reaching a global audience outside of the U.S. are some of your main objectives, Twitter is still a great place to do that.
In the previous post, I wrote about changes I think most independent filmmakers should be aware of when it comes to using Facebook for their marketing efforts. This post will talk about Instagram, owned by Facebook, which has been growing exponentially since its debut in 2010.
Instagram
The preferred platform of choice for the millennial set and no longer just a space for image-sharing. In the past two years, the convergence of Instagram and Facebook has made them extremely similar in that they share an ad platform, both have Stories capabilities and increasingly product sales capabilities.
With over 500 million daily active users, Instagram skews more female and most of its users fall between the ages of 13-29 yrs old. If this is an audience you need to reach, Instagram is a must have platform for your marketing efforts and you need to start thinking how to optimize for it.
Like Facebook, the platform is constantly evolving and this makes keeping up with the changes a challenge. Instagram also has instituted a political ads policy and now account administrators must register their accounts through their Facebook Business Manager’s Authorization section (find this section in Settings>Authorizations) in order to place advertising that has a political or issue of national interest topic involved. As discussed in the previous Facebook blog, this is a wide range of topics which can be seen to advocate on legislative issues such as abortion, civil rights, climate change, guns, healthcare, immigration, national security, social security, taxes, trade etc. If you are a documentary filmmaker, this advertising policy is likely to be something with which you have to contend and if your page is not authorized, you will not be able to place any form of paid advertising on your posts (including boosts) unless you have gone through the verification process.
Algorithms on all social media platforms are constantly changing. Instagram is no exception. The news feed algorithms determine who actually sees the content you publish and who doesn’t. Instagram has shifted the feed from strictly chronological to showing users “prioritized” posts and takes signals like an account’s relationship to the consumer (if someone takes actions on your posts, they are more likely to see more of them in the future), a consumer’s past interaction with similar topics (this relates to the kind of content you share and the associated hashtags being used), and how recently a post was made from a specific account (accounts need to post on a regular basis in order to have their content seen). Continual engagement from your followers is now more important than ever for both Instagram and Facebook success, especially since it can earn you one of the top spots in their feeds.
Increasingly, paid promotion is needed on Instagram in order to reach a bigger audience and gain more of a following (only through paid promotion can you add an action button such as Watch More or Learn More with a URL to click, otherwise the only link that is clickable on Instagram is in the bio section). One great use of paid promotion on Instagram is to grow your following. You can promote a post that has done well in the past, target the kind of audience that should relate to your content, and select your CTA (call to action) as Your Profile. When consumers view the content, they can click through to follow your account. In my experience, Instagram does not drive off site traffic very well so if you are going to pay to get in front of an audience, you may as well build up your following within Instagram.
In May 2018, Instagram paired up with a number of booking sites (Atom Tickets, Fandango and Eventbrite) to enable ticket sales directly on those platforms through your Instagram profile which can be handy when your film starts its theatrical launch. In order to add these to your Instagram account, you must have a Business Account and have an account or URL to link your action button to. Learn more HERE.
You may have noticed that while the run time for videos on Instagram remains at 1 minute, a new service was launched in June that allows for longer run times. IGTV made its debut this summer, featuring vertical videos with run times between 10 minutes (for Instagram accounts with less than 10,000 followers) and 60 minutes. The jury is still out on whether consumers will flock to IGTV, but it is a great place to experiment with video.
Filmmakers may have a more difficult time adjusting as videos will need to be formatted for 9:16 rather than 16:9. Follow examples from Jimmy Fallon and NASA (who definitely has video originally meant for widescreen, yet somehow edits to optimize it for IGTV) to see how they are optimizing their videos and connecting with audiences on a platform that is too new to be competing with thousands of videos yet. Buzzfeed and Instagram have started an initiative called VerticalU to help video creators learn about making optimal videos in a vertical format. First round applications closed already, but click here to learn about the course and see if they will have a second round of applications.
The Stories format on Instagram originally started with Snapchat, but now Instagram’s Stories sees 400 million daily users as opposed to Snap with less than 200 million users in total. The Stories feature is meant to be ephemeral marketing in that a story only lasts 24 hours and then disappears. It is possible to archive a story, but consumers must come to your profile page to see the archive rather than having the story at the top of their news feed.
Think about using Stories to give a snapshot of an experience (like a festival or theatrical premiere) or to tell mini stories in the world of your film (things that are not in the actual film, but help set the stage for the story or extend the storyworld beyond your film). Instagram Stories can also be shared to your Facebook page to make a Facebook Story, but the functionality on Facebook is not the same. On an Instagram story, URL links can be added if the viewer swipes up on their mobile phone, but this function is not possible on Facebook. Things like polls or Spotify music links can also be added to Instagram Stories, but those functions do not travel over to Facebook if the same story is transferred.
Advertising can be placed within Instagram Stories as long as you are working through Facebook Business Manager. Short videos and images can be inserted to the Stories of other accounts in order to reach a wider audience. For more about using Instagram Stories advertising, click here.
Next time, I will take a look at Twitter, a site that has seen flat user growth in the last year and has been plagued by numerous spam accounts and bots. Is Twitter still worth your time? I’ll let you know.
If there is one constant rule in social media marketing, it’s that things are always changing. What might have worked a year ago, six months ago, possibly even yesterday, is not working today. Each social platform is continually trying to stay relevant to followers and increasingly trying to improve profitability for shareholders and business users.
At a recent all-staff meeting for The Film Collaborative, I was asked to present recent changes to the main social platforms most relevant to marketing independent films and to advise on how to take advantage of these changes. Here are the trends and changes I think most independent filmmakers should be aware of when planning for their marketing efforts. This is a multi-part series with the first part focused on Facebook, the biggest social network (by FAR) in the world.
Facebook
Reports of Facebook’s demise have been circulating for many years, yet despite all the controversy and concerns over account hacking, user privacy and election rigging, Facebook as an enterprise has continued to grow in the past months. Worldwide, there are over 2.23 billion monthly active Facebook users as of Q2 2018, an 11% increase year over year. In fact, a recent study projects that “Facebook will command 24.5% of all video ad spending this year … and be the top social media platform with an estimated 87% share of U.S. social media video ad spending.”
In order to optimize their profitability and relevance to Facebook users, as well as implementing their commitment to better policing the content that is distributed on the social network, changes are constantly being made to the platform which affect business pages. Here are the recent ones:
Introduction of Admin Registration: If a Facebook page or Instagram account you administrate is going to pay to boost or advertise ANY content of a political or national legislative interest persuasion, you will not be able to place ads unless you are personally registered with Facebook. This entails a scan of your driver’s license or governmental photo ID and a letter which will come in the USPS with a code that you have to use in order to register.
Admins may register and carry all pages they administrate under their registration. Admins who do not register will be unable to place paid ads on content that is deemed “political” and this is a broad list. Topics like education, immigration, environment, abortion, civil rights, etc.are all deemed political and in need of permission and labeling. See the broad list here. I would imagine that many documentaries will need to be aware of this rule. All “political” ads will be cataloged into a Political content database for anyone to search.
All active advertising is now publicly visible under the Ads and Info tab on any public Facebook page: From the Info and Ads tab, people will be able to view the active ads a Page is running across Facebook, Instagram, Messenger and Audience Network, even if they’re not in the target audience. Any clicks on the ads do not contribute to the click count and clicks are not charged against the advertising budget. For more info on this go here.
Yet another change to the newsfeed algorithm. The new algorithm puts more emphasis on data points that show active interaction. That means comments, shares and reactions (in this order) are crucial. Also, personal posts are more valuable than business posts so if you want to do well in the newsfeed, strongly encourage individuals to post for your film organically. In order to create meaningful interactions, pages need to share things that are meaningful to their followers, not just to themselves. Only if followers engage emotionally and personally will they feel the need to comment, share or interact with your content. However, Facebook will actively demote any posts that explicitly ask for actions such as “tag a friend” or “leave a comment below” so try wording your posts as questions or use words, images or videos that elicit reaction. You might also ask your followers to set your page to See First so that they will keep seeing your posts in their newsfeed, even after an algorithm change.Probably the most important advice filmmakers should be aware of, with Facebook and all other major social media platforms is embrace the power of PAID REACH!
Pay to play is not new on Facebook. It has been happening for at least three years and still filmmakers are putting so little into it. With Facebook further de-prioritizing content from pages and brands, its time to be educated and more prepared for paid advertising in order to reach targeted audiences in the newsfeed, among many other places. Education is especially needed for using Ad Manager rather than just boosting posts. Ad Manager gives much more precise control over where ads appear, who can be targeted, cost per click, links where traffic will go and creative to be used, but it does need practice…or working with someone who uses it. Ad Manager also is constantly evolving, so taking a crash course will only begin to cover the basics.
It is important to note that paid Facebook advertising DOES NOT just encompass Facebook. It stretches to include Instagram, banner ads on Instant Articles and Facebook Audience Network, Messenger, Instagram Stories, and Facebook Stories. Perhaps IGTV will be coming as an ad platform in the future. For those who think their target audience is not using Facebook, likely you will be reaching them through Facebook Ad Manager on one of the many other places they are visiting online, so do not discount Facebook as an ad platform.
Create mobile first content. This is especially true for videos being posted to Facebook, but also to Twitter and Instagram. Filmmakers need to stop creating only one trailer, in a 16:9 aspect ratio. Most likely your trailer is not going to be shown on TV, so start thinking about how to optimize it for mobile viewing. Mobile viewers now do not turn their phones, and often do not watch with the sound on so provide caption overlays.
Videos on Facebook perform exceptionally well, so lots of compelling video clips and stories should be created. The chart below shows all of the different formats possible and filmmaking teams should bear these in mind when editing for social media use.
As examples, reference these clips, featurettes and trailers:
As I hit Publish on these updates, doubtless something new will be cropping up that will either expand your ability to reach new audiences or curb that ability in some way. It is important to keep up with the the changes or work with someone who handles social media marketing on a constant basis so that the efforts you put in to reaching audiences aren’t a waste of time, labor and money. Social media is the most cost effective and measurably impactful way of putting your work in front of those who will love it, but as with all forms of marketing, it takes a budget and consistent testing to perfect the right messaging and content that will capture attention and cause an audience to seek out your full work.
My next post will cover one of the next biggest social media platforms, Instagram, and take a look at what is changing and how to optimize your efforts there.
Sheri Candler will be participating on a panel at the New Heights Arts Symposium called “Top Marketing Tips for Indie Filmmakers.” The FREE, full day symposium will be held in Santa Clarita, California on October 20. Details here.
May 2, 2018 • Sheri Candler, TFC Social Media Advisor
Part 2 of a two-part series on blockchain technology. Please access the first part here.
Heralded as the “trust machine,” blockchain aims to tackle a big issue: lessening the intermediaries that could potentially interfere with data and information. Processes that rely on a high degree of trust (banking, property sales, insurance, etc.) usually rely on a multitude of third parties to add expertise and integrity to transactions, especially those involving agreements between unknown parties.
With blockchain, counterparties don’t need to have an established trust relationship.
The reason this can be an a game-changer for the business of film is it could eliminate many of the intermediaries (and fees!) involved in rights management, revenue disbursement, and content licensing. Currently, the film sales process depends on written agreements between sales agents and distributors within a variety of mediums (theatrical, educational, broadcast, VOD, EST, etc.), geographical territories and currencies. These agreements can take many months to finalize before allowing for consumer sales, and revenue collection is slow.
Moreover, the revenue disbursement is often murky when it comes to the repayment of expenses, the subtraction of fees, and the parceling out what remains to those who have invested in the project. In theory, blockchain technology could ease this process through the use of smart contracts, facilitating virtual currency transactions, and protecting intellectual property by authenticating ownership and allowing rights to be granted.
But how close are we really to seeing this as a reality?
Edward Klaris is an attorney and recognized expert on intellectual property, privacy, and media law. He has spent 25 years in the media and entertainment industry for powerhouse companies like Condé Nast and The New Yorker Magazine. I asked him about digital rights and intellectual property rights management, where blockchain might be beneficial.
Ed Klaris: “First of all, let’s define the blockchain a little bit. The way I look at it, there are three different types of blockchains. There is a private block chain where the users and the providers are limited and identified through a private entry point. It’s a limited universe of people on that private blockchain. On the other side of the spectrum, there’s a public blockchain where neither users nor providers are necessarily identified in any kind of a rigorous way. This is like with Bitcoin where it doesn’t really matter who you are, you can buy Bitcoin by just going in and registering as whomever, you can be anonymous. The third type is a hybrid, all of the users are open so anyone can use it, but the providers of the content, for example, are governed. You can only be a content provider if you’ve satisfied certain registration requirements. That kind of block chain is really the type that I foresee being the media ecosystem where somebody is governing that blockchain and making sure that those who are providing content are known and trustworthy.”
Regarding protection against piracy, Klaris doesn’t think blockchain will stop this, but the new technology isn’t really conducive to pirated content.
Klaris: “In the open blockchain model, you can just rip somebody else’s movie just like they do today and put it onto a blockchain and it’s kind of immutably there. There is a risk that some piracy will occur, but I’m on the side of a not being particularly worried about that. The internet that’s been around for over 20 years is a much better vehicle for pirated work. Why would anybody want to go through the trouble of using blockchain for piracy today when you can do it so much easier on the Internet?”
One aspect that Klaris does see blockchain being suited for, and it is already being set up to service, is registry of rights holders and payments to them.
Klaris: “That part of the equation has largely been focused in the music space today. There are a couple of entities that are focusing on it in particular. There is a company called Dot Blockchain, which is producing a registry of copyright holders in the music business.”
“As you probably know, a given song might be owned by 10 different people with different addresses each of whom share 100 percent in the royalties. You need to know who they are, and where they are, and blockchain could be an excellent place to create these registries because people are authenticated or registered. Who they are, where they live, and what percentage of ownership they have can be packaged in the blockchain and payments can be made to them.”
“In a place like the music streaming services, people will listen and there is a small royalty that needs to be paid to the musician. Often those individuals cannot be found, therefore money goes unsent. But in the blockchain scenario where you’ve got a big registry of people who have identified their tracks and identified themselves, you could be able to find them and pay them through their registration.”
“But everybody is trying to go at this in their own little silos, solving for the same problems because there is a bit of a gold rush going on. There’s not a lot of cross platform use. If you register in one place, that information will not be carried over to the next place and, right now, there’s just no standardization whatsoever and that’s causing trouble. But as a concept, definitely people will be registering themselves and their works so they can be paid.”
In the realm of independent film, there are a few companies planning to start employing blockchain technology for a variety of applications. One such company is Vevue, a peer-to-peer video network app running on the Qtum blockchain platform. Vevue currently offers an iOS app. Founder Thomas Olson says their platform is different than video social networks like YouTube, or streaming professional content from Netflix because Vevue is engineered to seamlessly integrate with blockchain.
Thomas Olson: “Vevue chose Qtum because it’s a mobile first platform. With mobile, we’re targeting the easiest path to consumer adoption and ultimately benefit from the mobile viewing experience easily transferring through to our web portal. Qtum, also seeing potential in Vevue, invested in our team early—making us the very first app to build on the Qtum blockchain. We actually spent the last 10 months incubating in their Shanghai office space, the first and only team to do so.”
“Distributing a film on the blockchain means filmmakers can reach a worldwide audience without having to go through centralized services like Netflix or YouTube. The process is quite simple for organized professionals:
Visit CoMakery.com and create a Token representing ownership in your content, then distribute accordingly among your contributors. For the film industry, this is especially important as investors need to be paid back their initial investment plus a premium before those same investors can share in the profits with the producer pool. In short, more revenue and a transparent accounting of that revenue ensure all parties are paid in a timely and fair manner without the need for audits.
Next, you upload your content to Vevue and put the blockchain paywall in place. For the film industry, as opposed to commercial and amateur Vevue users, there are a few additional steps regarding deliverables. To handle this, we’ve partnered with Two Roads Picture Co., the distributor of the film No Postage Necessary, to be our exclusive aggregator to service both studio and independent films wanting to distribute through Vevue.
Finally, collect revenue. Anytime someone pays—revenue immediately flows back to contributors per the CoMakery Token.”
Indie film “No Postage Necessary” is teaming up with Vevue for distribution in June 2018
Olsen: “Domestically, we can support traditional theatrical distribution by dropping tokens into each theater playing the film. Audience members simply record a review, upload it, and collect token reward. Then our API organizes the reviews for sites like Rotten Tomatoes or IMDb to easily add next to written reviews. This incentivizes audiences and provides feedback and audience building for the distributor. On the streaming side, we’d enter the competition fold alongside traditional TVOD platforms such as iTunes, Google Play, and Amazon. We’d provide the same viewing experience with the benefit of copyright protection and transparent royalty payments for the filmmaker. And since there would be no middleman, the filmmaker would get to keep more of the revenue.”
“On the foreign side—distributing a film on blockchain means filmmakers can reach a worldwide audience without having to sell to traditional distributors in international territories. It also means we can reach more people. When you consider there are over 2 billion unbanked people in the world and many of them have smartphones, we’re now providing an entirely new group the ability to legally purchase entertainment content.”
“Other than the fact they’ll be using Vevue Tokens to interact with our functions/features, audiences should barely notice they’re using blockchain. When it comes to film, our aim is to provide the same viewing experience one would have if he or she were using a traditional centralized platform.”
Perhaps this is the best way to look at the technology. Blockchain will be the unseen backbone that powers virtual currency, content distribution, rights management and revenue payments, to name a few examples. Much like the Internet, it isn’t necessary to dive deeply into the mechanics of how this information is transferred in order to use it. In the near future, this technology will be used to power the functions that, for now, are opaque and unnecessarily complicated. An open and distributed ledger, or record book, will keep track of information and validate transactions without being centrally controlled by any one entity. This technology is only in the experimental stage now, but within 10-15 years will power many parts of the film business that we struggle with today.
A recent online web series featured our founder, Orly Ravid, as well as some powerhouse guests in indie film producing and distribution, hosted by WestDocOnline. Here is what we learned from the 1 hour+ panel, primarily focused on documentaries.
Music clearance is important. Surprisingly, many new filmmakers do not realize that any music used in a film must be licensed, both the publishing (the person who wrote the song) and the master (the entity that recorded the song) rights must be secured. Distribution contracts cannot be signed if music clearance has not been secured on your film. This is especially crucial for anyone looking to make a music documentary. For a good primer on this, visit this article: A Filmmaker’s Guide to Music Licensing .
A devoted core fanbase can make a film successful. Richard Abramowitz named several documentaries that his company has theatrically distributed that had an excited and motivated fanbase that could be tapped into with less marketing money than a wide audience film.
There is value in having a global marketing campaign, rather than one territory at a time. Cristine Dewey of ro*co films champions the idea that if your domestic distributor is already launching a marketing campaign, much of which will be found by audiences outside of the U.S. because of online marketing, it makes sense to time theatrical releases in other countries to coincide.
Revenues from documentary sales. Netflix will pay anywhere from low 5 figures to high 6 or even 7 figures for documentaries. It depends on the film’s pedigree. Also, Amazon Festival Stars program was offering $200,000 to filmmakers at the Toronto International Film Festival in exchange for making Amazon Video Direct the exclusive SVOD home for the film. Filmmakers can wait up to 18 months to upload to the platform, allowing for further festival and theatrical revenue.
Distribution is a business. While it is all great and good to produce a film using credit cards, an iPhone and the good will of your friends, distribution is an integral part of the process and needs a budget. “In what world would someone say I have a great idea for a pencil. I’m going to raise $100,000 to make pencils. Then you have a warehouse filled with pencils, and then think about how you will get these into Staples? That’s not a business plan, that’s lunacy. But every day, people do that because this is art. Hope is not a strategy. You have to have a plan and you have to have a budget,” says Richard Abramowitz. “What’s the point of making the film if no one sees it?Marketing and distribution budgeting is the only way to assure the film will get seen and make an impact, short of an excellent marketing commitment by an honest distributor, something so relatively few documentary films enjoy,” said Orly Ravid.
Updated January 25, 2018 to take into consideration changes announced for Facebook and Instagram.
As 2017 winds to a close, I wanted to take some time to evaluate what I’ve learned in the social media space this year, both in my work with independent filmmakers and working for public media.
Between those two endeavors, I have helped to create, test and connect audiences to over 350 short videos made specifically for social media. The vast majority of those were less than one minute in length, included captions burned into each video, and used a paid social approach to ensure that the videos were seen by a highly targeted audience who would be most likely to share them.
Here are the main things I want to share with you as you contemplate your use of social media in 2018:
Cardinal rule on social: The content you post must be interesting and relevant to motivate a reaction from the viewer. Boring links, boring videos, boring images, boring calls to action that clearly only benefit you WILL BE IGNORED [and will be demoted in the newsfeed by Facebook algorithm]. The organic videos that performed the best for me were a story in themselves. They weren’t trailers, they weren’t promo videos, they didn’t often include a call to action on the video, and they weren’t random behind the scenes footage. The stories took one main idea and presented it first, then explained the idea, then sometimes ended with a question to encourage people to comment. The more shares and comments the videos received, the more views it got. But why am I mainly talking about videos? Because…
By 2021, 82% of global internet traffic will be attributed to video. As more and more newsfeeds are filled with short video content, your account will need to compete. You’re a filmmaker so generating quality video content should be easy for you. But remember, 90% of the videos people see in their feeds are watched with the sound off. Better to make a video that is not audio driven, but rather driven by images that can tell a story on its own. Also, it is best to present these videos in a square format, rather than in a horizontal rectangle. As most people now access social media platforms via their mobile devices, a square video (1:1) fills the screen and gives a much richer experience. Widescreen videos are crunched and make captions difficult to read. See good examples here and here.
Facebook Live, Instagram Live, Live Story for Snapchat, Periscope for Twitter, Youtube Live. Live or near live experiences will continue to proliferate on social. Some of this may be ephemeral content, that lives for only 24 hours. If you have an exciting event happening or you have access to a person with a large following, you should be utilizing live sessions on social media. Facebook, in particular, will be highlighting videos that receive lengthy interaction in the comment section. If you want to see a comparison between Youtube Live and Facebook Live, CLICK HERE.
Influencer marketing is a thing, but it isn’t free. It is awesome to think that if you tag a celebrity, they will share your tweet, but the real impact comes from those who have an engaged following instead of a vague, large number. Look toward influencers that have a niche following and are more willing to get excited about your project than a tweet from a celeb who has little connection to your project. Another idea could be to utilize influencers as social media content creators for your project. Rather than hoping to access their network, perhaps you can pay them to create for yours. Be advised, the Federal Trade Commission is now cracking down on sponsored posts that do not publicly disclose a paid sponsorship arrangement. It is better to work with companies that specialize in bringing influencers and brands together, like MediaKixMostly Sunny and Heartbeat as they are usually up to date on the regulations and how to negotiate deals. For an idea on pricing for working with influencers, see this Digiday report.
Facebook organic posting is nearly dead. If you are still posting links, photos and videos that do not regularly receive multiple comments, you can stop. The company has just announced that it will stop showing posts by brands and publishers if those posts are not inspiring conversation (comments) as their new focus is on bringing people together, not pushing traffic and views. Facebook is not interested in sending traffic to other websites or providing a passive viewing experience (such as video views with no comments). This change will really hit pages that have not been inspiring conversation in their comment sections. However, don’t ask for comments in your posts. Engagement bait will be demoted in the newsfeed. This change will not affect paid promotion.
Which means that you MUST invest in social advertising. Yes, you could boosts your organic posts, but you really should be set up on Facebook Business Manager and running campaigns through Ad Manager. You need a monthly budget to spend. Anyone who has tried to build up a following or reach their following on social will know the time of reliable, free, organic reach has passed, and it isn’t going to return since social media platforms have shareholders who want to see revenue. The good news is this allows for smarter advertising spend for a trackable return than publicity or more traditional methods of advertising (posters, postcards, flyers, TV/radio/outdoor/print). While a marketing mix is important and if you can spend to hire a publicist for earned media, and place media buys in as many outlets as possible, then by all means do it. But try tracking that write up in the New York Times or Variety to any kind of monetary return outside of an ego boost or calls from your friends to say they saw it. It is nearly impossible unless you run a survey at the theater or on a digital VOD service to prove that your publicity spend or traditional advertising spend resulted in any measurable return. There is so much proof of awareness and actual revenue tied to a digital advertising effort, even over the number of Likes/Retweets/Favorites and “Impressions.” Added bonus for Facebook advertising, you can create Custom Audiences to keep remarketing to those who have shown an interest in your posts rather than spending to hit the disinterested. You’ll just need to install the Facebook pixel on your website, store, Eventbrite etc in order to track properly and accumulate that audience for later targeting. Also, if you are going to be setting a monthly budget, you need to be setting monthly goals for growth. How do you know if what you are doing is working if you don’t measure against a goal? I wrote a piece on tracking social media earlier this year.
Twitter growth is the slowest of all the major social media platforms. If you are building up a big following on Twitter, you may want to quickly branch out. Twitter is great for breaking news stories, but rather sucks for self promotional tweets.
Instagram is also making changes, but they have been a little less forthcoming in this news. If you are using Instagram for business, such as having an account related to your film, you should make sure that it is set up as a business account, not a personal account. Just as years ago, Facebook stopped supporting personal profiles that were being used for business, Instagram is starting to do the same. Besides, it is great to access analytics that are offered on business accounts, so go ahead and set your account up like that or convert. Also, you should be taking advantage of Instagram Stories, rather than just posting photos and videos. Stories can now be archived on your account so they won’t disappear after 24 hours, as long as you choose to feature them on your account. For instructions, go HERE. One last bit of advice, start following hashtags that are relevant to your project. Accounts now have the ability to follow a hashtag, not just other accounts. See more on that HERE.
This year, Facebook introduced Watch and rumor has it that they will start prioritizing shows rather than only short content in their newsfeed. With this knowledge (and the vast audience that Facebook reaches), have you considered turning that feature script into a series instead? A series of content with an ongoing narrative between episodes provides many benefits: increased audience retention, strict production schedule and time management, sponsorship opportunities, and being able to create a loyal community over the long run instead of starting over with each new project. Social media is a great place to ensure distribution of said series. It is also a low cost place to test out plots, characters, flow, audience reactions etc. without having to gather heavy investment for a feature that is untested and has no clear path distribution.
For everyone here at The Film Collaborative, I wish you a happy, creative, industrious, and prosperous new year. Look for members of The Film Collaborative at Sundance 2018 and at many other film festivals and events in the coming year.
Last month, TFC invited a select group of Los Angeles-based filmmakers to share their knowledge and specific details about how they marketed and distributed their independent films. We learned a lot and we thank those who took part that day. Now, we want to open up this opportunity to all creators, whether you make features, short films, or web series, so that we all may learn from each other in an anonymous, but factual way.
We know, many other entities have tried to compile statistics and details and have invited independent creators to contribute, but we think a lot of that information has been less than forthcoming or distributed within only a small subsection of creators who participate in closed labs or mentoring sessions. We propose to do something different.
For the next month, we are asking any creator who has actually participated in the marketing and distribution of their project (this is a requirement) to come forward and fill out this 10 question survey in detail. No questions will be asked about the identity of the creator or of the project which should allow participants to be completely honest about their efforts and results. The results will be compiled into a whitepaper of best practices and charts showing budget levels and revenue levels that will benefit the creators operating in this turbulent and confusing period of plenty of consumer choice, but creator uncertainty about the financial viability of their work. The whitepaper will be published online, for all to download for free.
We sincerely hope you will agree to help us, all of us, by participating. Our aim is to have the whitepaper ready for distribution by the beginning of the new year. TFC mailing list members will be notified first, so if you want a first look, please join that list here. Everyone will have access via this blog once the document is published.
We’re really excited to learn what creators are doing and we know you will find their insight invaluable. Thanks for participating!
Dan Habib is the creator of the award-winning documentary films Including Samuel (2008), Who Cares About Kelsey? (2012), Mr. Connolly Has ALS (2017), and many other films on disability-related topics. Habib’s films have been broadcast nationally on public television, and he does extensive public speaking around the country and internationally. Habib’s upcoming documentary Intelligent Lives (2018) features three pioneering young adults with disabilities who navigate high school, college, and the workforce—and undermine our nation’s sordid history of intelligence testing. The film includes narration from Academy award-winning actor Chris Cooper and is executive produced by Amy Brenneman. Habib, who was a photojournalist from 1988-2008, is a filmmaker at the Institute on Disability at the University of New Hampshire.
About 14 years ago, I sat at my son Samuel’s bedside in the ICU as he lay in a medically induced coma. He had developed pneumonia from complications following surgery. Samuel’s neurologist encouraged me to use my skills as a photojournalist in the midst of my fear. “You should document this,” he said. Samuel, who has cerebral palsy, recovered from this emergency, and I took the doctor’s advice. Four years later, I released my first documentary, Including Samuel, which includes a scene from that hospital room. The film aired nationally on public TV in 2009, and we created a DVD with 17 language translations.
Along with the film’s launch, I started discussing my experiences as a parent of a child with a disability at film screenings, which led to a 2013 TEDx talk called Disabling Segregation.
I am now directing/filming/producing my third feature length documentary and am honored that The Film Collaborative asked me to share a few things I’ve learned along the way about DIY fundraising, distribution and outreach.
Diversify your funding streams. Although I made Including Samuel on a shoestring while I was still working fulltime as a newspaper photography editor, I’ve been able to raise about $1 million for each of my last two films—a budget which covers my salary and benefits, as well as all production costs. I’ve received essential support from The Fledgling Fund, but the vast majority of my funding comes from sources that don’t typically fund films:
NH-based foundations that are interested in supporting the advancement of the issues I cover in my films (disability/mental health/education).
National and regional foundations and organizations that focus on tangible outcomes. The Mitsubishi Electric America Foundation is the lead $200,000 supporter of my current project. MEAF funds efforts to increase the employment rates for young people with disabilities.
Each year I typically take on one outside contract (around $75,000) from a non-profit to create a documentary film short (18-25 min.) on specific disability or education issues. These films have focused on areas like the restraint and seclusion of students or inclusive education , and help me meet my overall budget needs.
For the last ten years, the most stable source of income has been my speaking fees, which average about $75,000/year and go back into my project budget at UNH. I do about 15 paid speaking gigs per year, and charge $5000 per 24-hours away from home (plus travel expenses). We don’t do any paid advertising—the gigs almost always come from word of mouth (see #5 below).
Build buzz from the get-go For some docs, secrecy is essential for editorial reasons, or the filmmaker may just prefer to keep it close to the vest. I’ve never gone that route, because I’ve felt a pragmatic need to build up an audience and donor base early in the project. For each of my films, I’ve cut a 10-14 minute ‘preview’ early in the project’s production (about 2 years before completion), which has been critical for fundraising pitches, generating buzz in social media, and for use in my public speaking presentations.On the temporary website for my Intelligent Lives project, the 14-minute preview is accessible only after completing a name/email sign in form (I also have an unlisted YouTube link to share with VIPs and funders). I’m sure some people have been turned off by this, but more than 6000 people have provided their name and email—which will be a huge asset when we launch a crowdfunding campaign in the fall to complete (I hope!) our production fundraising.Facebook has been the most active and successful platform for reaching our largest audience—educators and families—with Twitter a distant second. For the current project, we have plans to dive into Instagram and other platforms more deeply—primarily with video clips. We also see LinkedIn as a platform that can help us achieve one of the outreach goals for the new film—connecting young adults with disabilities with potential employers through virtual career fairs.
Partner up early I’ve spent hundreds of hours initiating and developing strong partnerships with national organizations that focus on the issues that my films address. For all three of my documentaries, I’ve held national strategy summits in Washington, DC, to bring together dozens of these National Outreach Partners (NOPs) to help develop a national outreach and engagement campaign to accompany each film (campaigns include I am Norm for Including Samuel and I Care By for Who Cares About Kelsey?) We are currently developing the campaign for the Intelligent Lives film.The NOPs also typically show my docs at their national conferences and blast the word out about key developments in the film’s release (like community screening opportunities). Our relationships with NOPs are reciprocal. We discuss how the films will shine a bright light on their issues; how they can fundraise off of screenings; and how they can use the entire film—or shorter clips that we can provide—to support their advocacy.I plan to continue to explore the vast topic areas of disability and education, and continually build on the partnerships, funders and audiences we have established (while also working hard to make films that are engaging to the general public).
Establish your DIY distribution goals early and stay the course When I started work on Who Cares About Kelsey?, my documentary about a high school student with ADHD who had a history of homelessness and family substance abuse, I knew I wasn’t going to try for theatrical release, but instead would focus on broadcast, an educational DVD kit and a national community screening campaign. We presented all of our would-be funders and NOPs with a specific set of outreach strategies for the film’s release that were mostly under our control—not reliant on the buzz and opportunities that would come only by getting into a major film festival. For the Intelligent Lives project, my outreach coordinator Lisa Smithline and I have been working towards a broadcast, festivals, an event theatrical and community screening campaign, VOD, online events and other distribution plans.
Speaking of festivals…do college and conference screenings provide more bang for the buck? I submit my films to the major fests (no luck so far), as well as mid-level and smaller film festivals, and we’ve had dozens of FF screenings (including Woodstock, Sedona, Thessaloniki, Cleveland). I always have a blast when I can be there. But I also start booking and promoting major events around the country at national conferences and colleges early in a film’s life. Although I know these events might jeopardize admission to some prominent film festivals, my experience has been that these conferences and university screenings usually have a significant, lasting impact: high volumes of DVD sales, tremendous word-of-mouth and social media upticks, and more invitations to do paid public speaking (see above). We also try to collect names and email addresses from attendees at every event, so our e-blast list (21,000+) has become a powerful outreach tool for all of my docs.
click on the above image to watch a video that serves as an example of how one can work with notable people to help further credibility with the target audience.
Jam-pack the educational DVD and website In addition to the feature length documentary, I typically create a range of short, freestanding “companion” films that I distribute both on the educational DVD kit and also for free (linked through the film’s website but hosted on YouTube and/or Vimeo). I went a bit overboard for Who Cares About Kelsey?, creating 11 mini-films on related topics. But the benefits were multifold: funders loved (and supported) these free resources, the shorter length (10-14 minutes) made them highly useful educational tools, and the free films bring traffic to the website.I also work with national experts in the topic areas covered in the feature length film and mini-films to develop extensive educational material that is packaged with the educational DVD kit. Combined with reasonable price points ($95-$195, depending on the intended audience), we have generated gross sales in the high six-figures for my last two films combined. We also produce an individual DVD, and have been selling VOD through Amazon (very low revenue compared to DVD sales, but given how much the VOD world has changed since I made “Kelsey,” we are looking at different models of online distribution for Intelligent Lives). We primarily self-distribute these products through the UNH Institute on Disability bookstore, which keeps the profits close to home.
Seek professional help I maintain a small field production crew (just me and an audio engineer), but my production and distribution budgets are still tight. So I’m grateful for people like Chris Cooper, Amy Brenneman and the musician Matisyahu who are donating their time and creative talents to my latest project. But there is still plenty of specialized talent I need to hire—whether it’s for editing, music scoring, fundraising, graphic art, website design and outreach consulting. And for Intelligent Lives, I’m planning to work with a distribution consultant and sales agent(s).I look for collaborators who share my values and vision that films can be a catalyst for advancing human rights…but they’ve still got to get paid!Return to strategy #1.
Orly Ravid is an entertainment attorney at Mitchell Silberberg & Knupp (MSK) and the founder of The Film Collaborative with 15-years of film industry experience in acquisitions, festival programming, sales, distribution/business affairs, and blogging and advising. She also contributed to the Sundance Artist Services initiative.
Filmmakers usually think selling their film to distributors means that they will handle the whole release including theatrical, home video, and of course now digital/VOD. One category of distribution that is often overlooked, or not fully understood, however, is educational distribution. It can be a critical class of distribution for certain films, both in terms of reaching wider audiences and making additional revenue. For a certain type of film, educational distribution can be the biggest source of distribution revenue.
What is it?
When a film screens in a classroom, for campus instruction, or for any educational purpose in schools (K-university), for organizations (civic, religious, etc.), at museums or science centers or other institutions which are usually non-profits but they can be corporations too.
This is different from streaming a film via Netflix or Amazon or renting or buying a commercial DVD. Any film used for classes / campus instruction / educational purposes is a part of educational distribution and must be licensed legally. Simply exhibiting an entire film off of a consumer DVD or streaming it all from a Netflix or Amazon account to a class or group is not lawful without the licensor’s permission unless it meets certain criteria under the Copyright Act.
Initially, this was done via 16mm films, then various forms of video, and now streaming. These days, it can be selling the DVD (physical copy) to the institution/organization to keep in its library/collection, selling the streaming in perpetuity, renting out the film via DVD or streaming for a one-time screening, or exposing the content to view and at some point (certain number of views) it is deemed purchased (a/k/a the “Patron Acquisition Model”).
What type of films do well on the educational market?
In general, best selling films for educational distribution cover topics most relevant to contemporary campus life or evergreen issues such as: multiculturalism, black history, Hispanic studies, race issues, LGBTQ, World War II, women’s studies, sexual assault, and gun violence; in general films that cover social and political issues (international and national); health and disability (e.g. autism); and cinema and the arts. A great title with strong community appeal and solid perception of need in the academic community will do best (and the academic needs are different from typical consumer/commercial tastes).
At The Film Collaborative, we often notice that the films that do the best in this space sometimes do less well via commercial DVD and VOD. This is true of films with a more historic and academic and less commercial bent. Of course, sometimes films break out and do great across the board. Overall, the more exposure via film festivals, theatrical, and/or social media, the better potential for educational bookings though a film speaking directly to particular issues may also do very well in fulfilling academic needs.
Sourcing content
Across the board the companies doing educational distribution get their content from film festivals but also simply direct from the producers. Passion River and Kanopy, for example, note that film festival exhibition, awards, and theatrical help raise awareness of the film so films doing well on that front will generally perform better and faster but that does not mean that films that do not have a good festival run won’t perform well over time. Services such as Kanopy, Alexander Press, and Films Media Group collect libraries and get their films from all rights distributors and those with more of an educational distribution focus as well as direct from producers. These services have created their own platforms allowing librarians etc. to access content directly.
Windowing & Revenue
There are about 4,000 colleges in the US and about 132,000 schools, just to give you a sense of the breadth of outlets but one is also competing with huge libraries of films. Educational distributors such as ro*co films has a database of 30,000 buyers that have acquired at least one film and ro*co reached beyond its 30,000 base for organizations, institutions, and professors that might be aligned with a film. All rights distributors often take these rights and handle them either directly, through certain educational distribution services such as Alexander Press (publisher and distributor of multimedia content to the libraries worldwide), Films Media Group / Info Base (academic streaming service), or Kanopy (a global on-demand streaming video service for educational institutions), or a combination of both. There are also companies that focus on and are particularly known for educational distribution (even if they in some cases also handle other distribution) such as: Bullfrog Films (with focus on environmental), California Newsreel (African American / Social Justice), Frameline Distribution (LGBTQ), New Day Films (a filmmaker collective), Passion River (range of independent film/documentaries and it also handles consumer VOD and some DVD), roc*co films (educational distributor of several Sundance / high profile documentaries), Third World Newsreel (people of color / social justice), Women Make Movies (cinema by and about women and also covers consumer distribution), and Swank (doing educational/non-theatrical distribution for studios and other larger film distributors). Cinema Guild, First Run Features, Kino Lober, Strand, and Zeitgeist are a few all rights distributors who also focus on educational distribution.
Not every film has the same revenue potential from the same classes of distribution (i.e. some films are bound to do better on Cable VOD (documentaries usually do not do great that way). Some films are likely to do more consumer business via sales than rentals. Some do well theatrically and some not. So it is no surprise that distributors’ windowing decisions are based on where the film’s strongest revenue potential per distribution categories. Sometimes an educational distribution window becomes long and sales in that division will determine the film’s course of marketing. But if a film has a theatrical release, distributors have certain time restrictions relative to digital opportunities, so that often determines the windowing strategy, including how soon the film goes to home video.
The film being commercially available will limit the potential for educational distribution, and at the same time, the SVOD services may pay less for those rights if too much time goes by since the premiere. Hence it is critical to properly evaluate a film’s potential for each rights category.
Revenue ranges widely. On the one hand, some films may make just $1,000 a year or just $10,000 total from the services such as Kanopy and Alexander Street. On the other hand, Kanopy notes that a good film with a lot of awareness and relevance would be offered to stream to over 1,500 institutions in the US alone (totaling over 2,500 globally), retailing at $150/year per institution, over a 3-year period, and that film should be triggering about 25% – 50% of the 1,500 institutions. Licensors get 55% of that revenue. On average, a documentary with a smaller profile and more niche would trigger about 5-10% of the institutions over 3 years.
More extreme in the range, ro*co notes that its highest grossing film reached $1,000,000, but on average ro*co aims to sell about 500 educational licenses.
If the film has global appeal then it will do additional business outside the U.S. All rights and educational distributors comment that on average, good revenue is in the 5-figures range and tops out at $100,000 +/- over the life of the film for the most successful titles. The Film Collaborative, for example, can generate lower to mid 5-figures of revenue through universities as well (not including film festival or theatrical distribution). Bullfrog notes that these days $35,000 in royalties to licensors is the higher end, going down to $10,000 and as low as $3,000. For those with volume content, Alexander Street noted that a library of 100-125 titles could earn $750,000 in 3 years with most of the revenue being attributable to 20% of the content in that library. Tugg (non-theatrical (single screenings) & educational distribution) estimates $0-$10,000 on the low end, $10,000 – $75,000 in the mid-range, and $75,000 and above (can reach and exceed $100,000) on the high end. Factors that help get to the higher end include current topicality, mounting public awareness of the film or its subject(s), and speaking to already existing academic questions and interest. Tugg emphasizes the need for windowing noting the need for at least a 6-month window if exclusivity before the digital / home video release. First Run Features (an all-rights distributor that also handles educational distribution both directly and by licensing to services) had similar revenue estimates with low at below $5,000, mid-range being $25,000 – $50,000, and high also above $75,000.
Back to windowing and its impact on revenue—Bullfrog notes it used to not worry so much about Netflix and iTunes because they “didn’t think that conscientious librarians would consider Netflix a substitute for collection building, or that instructors would require their students to buy Netflix subscriptions, but [they] have been proved wrong. Some films are just so popular that they can withstand that kind of competition, but for many others it can kill the educational market pretty much stone dead.” Yet, theatrical release is usually not a problem, rather a benefit because of the publicity and awareness it generates.
Passion River explains that filmmakers should not be blinded by the sex appeal of VOD / digital distribution—those platforms (Amazon, Hulu, iTunes, Netflix) can and will wait for hotter films on their radar. An example Passion River offers is Race to Nowhere which sold to over 6,000 educational institutions by staying out of the consumer market for at least 3 years. This type of success in the educational space requires having the right contacts lists and doing the marketing. But I would say, consider the film, its revenue potential per rights category, the offers on-hand, and then decide accordingly.
Stay tuned for Parts 2 & 3, which will go into the nitty gritty details of educational distribution.
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