Distribution Strategies
The success of a film can depend as much on the distributor
as on the film itself- many experts say distribution is the key to power in the
media industry.
The key to distribution’s success is taking in
where/when/how/whom/who before releasing a film.
Distributors promote and market films in territories and
negotiate release patterns with exhibitors.
Distribution of most big budget Hollywood films is directly
controlled by the majors themselves. In the UK, Paramount and Universal, with
20th Century Fox, are joint owners of the biggest distributor, UIP.
In 2004, the majors, through their own distribution companies or in
partnership, took around 80% of North American market.
A film costing $70m to make and £30m to distribute must make
money for the exhibitors as well as the distributor. To make profit at
theatrical release a ‘studio picture’, costing $100m needs to gross at least
$200m more at the box office.
The distribution process of the majors, usually starts with
a wide release in every major city in the US (approximately 3000 screens).
Often the majority of profits come in the 1st weekend.
After this marketing blitz and initial release, ‘hit’ or
‘miss’ status is determined. After initial release in the US, weeks, or even
months later, it is released to other territories.
The alternative distribution strategy is the platform
release. A film opens in only a few cities and then gradually moves to a wider market,
helped by ‘word of mouth’ and critical response.
Once a film has finished it’s ‘theatrical run’, the next
window is DVD release (rental and retail, which is now normally done on the
same day). For the
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