Wednesday 16 December 2015

Distribution - what is it?

Distribution

What Is Distribution?
Distribution is the most important part of the film industry, where completed films are brought to life and connected with an audience. Distribution is about releasing and sustaining films in the market place.

What part of the supply chain is distribution?
Distribution is necessarily a collaborative process, requiring the materials and rights of the producer and the cooperation of the exhibitor to promote and show the film in the best way possible. In this sector, distribution can be divided into three stages - licensing, marketing and logistics

What is distribution often referred to as?
It is known as the "invisible" art in the media.

What does 'vertical integration' mean when discussing distribution?
Vertical integration is a business term that refers to how a company operates. A vertically integrated company is one that controls the entire process from raw material to delivery to the customer.

Why isn't 'vertical integration' so common in the independent sector?
Vertical integration isn't so common in the independent sector because producers tend to not have long term economic links with distributers, who likewise have no formal connections with exhibiters. 

What three stages are involved in the independent sector?
The three stages involved in the independent sector are: licensing, marketing and logistics


Licencing

What is licencing?
Licensing is the process by which a distributer requires the legal rights to exploit a film.

What are the two levels of licencing?
The two levels of licensing are international distribution and local distribution

What is the advantage of being a major US studio?
The advantages of being a major US studio are that they have their own distribution offices in all major territories. 

What three different types of rights can you acquire on a local level?
The three different types of rights that you can acquire at a local level are: Theatrical rights (showing the film in cinemas), Video rights (for video and dvd exploitation) and TV rights.

What are royalties?
Royalties are taken from the profit that the film makes. Usually a local distributer will conventionally share profits equally with the producer for the theatrical leg, pay back higher royalties for broadcast rights, and lower for video/DVD.

What is the most effective way to increase interest in a film?
The most effective way to increase interest in a film is to release a film in a theatrical way (in cinema) so that the film creates interest.

How long does it take for a film to reach 'free to air' TV?
It takes two years after the opening in cinemas to come out on 'free to air TV' 

Marketing

What are the two key questions surrounding the marketing of a film?
The marketing of a film release revolves around two key questions: 'When?' and 'How?

What day are films typically released on?
films are most typically released on a Friday.

What will a distributor look at before releasing a film on a Friday?
Before releasing a film on a Friday the distributer will look at a schedule of other film releases on that day

What is a 'light' week in terms of distribution?
A 'light week' in terms of distribution means that there won't be a load of films on at the same time, ensuring screen space and adequate review column inches in the press allocated to any new release

What does it mean to 'position' a film distinctively?
To position a film distinctively means to avoid releasing the film around the same time when a film with similar traits is to be released.
Why has this become increasingly difficult in the UK?
This has become increasingly difficult in the UK due to the release schedule featuring over 10 new releases each week.

What are P&A?
prints and advertising

How much can P&A cost?
P&A can range from £1,000 to over £1 million for a release of a film in the UK.

Marketing - Prints And Adverts

Typically how many prints will a 'specialised' film have?
Typically less than ten.

How many will mainstream films have?
over 200 prints

What is a key factor in developing the profile of a film?
A key factor of the development of a film is the press release and response

How else can awareness of a film be raised?
Awareness of a film can also be raised by advertising in magazines/news papers and cinema posters.

Why is distribution in the UK seen as risky?
It is risky to release a film in the UK because the print cost is very high.

Why are companies looking towards viral marketing?
Companies are looking towards viral marketing because it is the easiest and cheapest way of marketing.


What are the benefits of a 'talent visit'
The benefits of a talent visit is to get editorial coverage to support a release.

Logistics:

In the pre digital film age what was a distributor responsible for?


How much does a 35mm print typically cost?
The average cost of a 35mm print, including delivery to a cinema, is around £1,000.

How many reals is a typical feature print?
In a future print there are usually 5-6 reals

Why do 35mm prints get damaged?
35mm prints tend to get damaged because of the amount of times they are used in different projectors.


Where are prints stored?
Prints are usually stored  at the UK's central print warehouse in West London.

How long did a theatrical release used to last?
A theatrical release usually lasting up to 6 months.


Digital distribution


When did digital distribution begin in the UK?
Towards the end of 2005, the UK distribution and exhibition sectors were starting to move towards digital distribution and exhibition


Name two advantages of digital distribution
In distribution terms, the advantages of digital technology are even clearer, though perhaps longer term. Digital technology is seen to offer a more cost effective and logistics-light alternative to the tried and trusted, but unwieldy model of 35mm print distribution described above. It will, eventually, be cheaper and much less stressful to send films as computer files to cinemas across the UK, than to transport 20-25kg tins of film in the back of a van.

Which countries adopted digital distribution early and why?
Digital distribution and exhibition on a large scale has started to appear in certain parts of the world, notably China and Brazil, where conventional logistics cannot, for one reason or another, efficiently bring together supply and demand. In the UK, digital technology has been embraced by the non-theatrical sector, in film societies and schools, where the use of DVD and mid-range digital projection has replaced 16mm.

How many screens were digital in 2005 and how many are now?  (you'll need to google this)
2005 the UK Film Council Digital Screen Network launched in the UK by Arts Alliance Media creating a chain of 250 2K digital cinema systems

Why has digital distribution radically altered the operating model of distributors?
The comparatively low cost of film copies and additional logistical effectiveness of digital distribution provide the distributor with greater flexibility. It will be less expensive in the coming years to offer a wide theatrical opening with many copies, and also conversely, to screen a film for just one performance at any cinema. In theory at least, it will be possible for both distributors and exhibitors to respond more precisely to audience demand.

What has happened to the typical release period for a film?
All this suggests that in the future, more titles, both mainstream and specialised, will receive wide theatrical openings, and that this broadening of access at the point of release will dramatically reduce the overall theatrical period from 3-6 months to perhaps 1-3 months. Thereafter, films will enter into a second-run and repertory programming market aided by lower costs.


What is a loss leader (google it) and why are companies using the Cinema as a potential loss leader?
Good or service advertised and sold at below cost price. Its purpose is to bring in (lead) customers in the retail store (usually a supermarket) on the assumption that, once inside the store, the customers will be stimulated to buy full priced items as well. See also price leader. Cinema uses a business strategy in which a business offers a product or service at a price that is not profitable for the sake of offering another product/service at a greater profit or to attract new customers. This is a common practice when a business first enters a market; a loss leader introduces new customers to a service or product in the hope of building a customer base and securing future recurring revenue. 


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