Chapter 24: A New Model of Cooperation?, Part 2 of 6
The place of meeting was a villa, and someone helped make a pot of tea, Zhang Junsheng was very respectful in accordance with the etiquette of the juniors, first respected and then humbled, first old and then young.
Zou Wenhuai smiled very happily.
The older generation of filmmakers value Chinese etiquette...
In fact, the rise of Xiangjiang Films, the first fire was the original Shanghai Film Studio, and those people were essentially literati...
Zou Wenhuai put down the cup: ""A Chinese Ghost Story" is very well filmed!"
“… Oh, I thought sir didn't like that kind of movie!"
"Hehe, Han Xiang's "A Chinese Ghost Story" is too preachy, I don't like it very much!"
Zou Wenhuai was already eighty years old, but he was in a good mental state, he looked at Zhang Junsheng and suddenly asked, "Have you seen Yang Shoucheng?"
"Well, I saw you yesterday!"
"How does it feel?"
After thinking about it, Zhang Junsheng replied: "A businessman's face is written on his face!"
"Haha..."
Zou Wenhuai smiled very happily, back then, he once suggested to Run Run Shaw, 'We make 50 movies a year, can we make 49 films to make money, and make 1 film that doesn't make money?'
Run Run Shaw thinks he's a fool, why make a film that doesn't make money?
Zou Wenhuai has his own pursuit of movies!
He's different from those out there who only pursue efficiency...
"It's a pity that I'm old, otherwise I would definitely take Jiahe to fight with you again!"
“… Thankfully, you're old, otherwise, I would have done something else, maybe I'd be writing movie reviews!"
"Haha..."
Zou Wenhuai smiled again...
"Mr. Zou, I'm going to buy the Shaw Brothers and China Star film library!"
“… Library?"
Zhang Junsheng explained the matter of online copyright, and added at the end: "At most, there will be two or three years at most, and domestic online videos will compete for copyright in various ways, and I must start in advance!"
Zou Wenhuai suddenly asked a question: "... How many people do you think Shaw Brothers will watch old films?"
“… I think a lot of people like it..."
Zhang Junsheng is a little unsure...
In fact, what he is doing now is to follow the example of Netflix in later generations and fill up the inventory first!
Why did Netflix buy "Chasing the Murderer in the White Night", "Anti-Black", "River God", and "Undocumented Crime"?
It is to satisfy the interest of the Chinese in North America...
Although this stock is pitifully small compared to the whole, if someone wants to watch it, click on Netflix, look for it for a long time, and then find that there is no such drama, he will definitely be very disappointed!
"There are too many old Shaw Brothers movies, do you know how many movies Shaw Brothers has in stock?"
"There must be thousands!"
"It's six thousand eight hundred!"
“…”
Damn, so much?
"If you want to buy it, it's going to be a lot of work..."
Fu Wenhuai reminded with a smile...
……
Zhang Junsheng thoughtfully walked out of Mr. Zou's villa...
In later generations, many people are enthusiastic about Netflix!
I feel that Netflix represents a new direction for the media!
Is that really the case?
Netflix has a market capitalization of $170 billion and a debt ratio of 60 percent...
From the perspective of profitability, the Netflix platform takes the film and television content imported by external authorization as the main body, and needs to pay a large amount of copyright fees, and at the same time, it has to increase the depreciation of the original works it has spent a lot of money on every year, and the operating costs remain high, both the gross profit margin and the return on net assets are mediocre.
What are you most proud of?
High-quality original homemade content!
Many people say that "House of Cards" is a high-quality self-made drama created by Netflix based on big data...
Hehe, Netflix's decision to buy "House of Cards" has nothing to do with big data at all!
Netflix's chief content officer, Ted Sarandos, is a movie buff who used to work as a clerk in a video store and recommends movies based on customers' rental history, and he's a fan of Kevin Spacey!
At the time, MRC was in the process of establishing a distribution channel for "House of Cards," and major television stations in the United States asked to watch the show's director, D-Navigator, before considering whether to book the show.
"House of Cards" is adapted from a British miniseries "House of Cards" in the 80s, based on an assistant to Margaret Thatcher, whose subordinates helped her run for prime minister, but the promised official position was not given to him, and in order to avenge all the ugly things at that time and make it into a four-episode miniseries.
The idea for the remake of "House of Cards" came from the producer MRC...
Lao Mei's TV series production is to first come to two trial episodes to see the effect, and then decide whether it will be booked...
Sarandos decisively proposed that Netflix directly take down all the content of the two seasons of "House of Cards"!
Then, it was released across the board...
It's a gamble!
Netflix won the bet, and "House of Cards" made Netflix!
After that, "Black Mirror" and "The Crown" were produced one after another...
The problem is that more and more users are accompanied by more and more tastes!
Netflix has to expand its film library...
They can only buy the copyright - just the online copyright of "Friends", Netflix costs $100 million a year!
With the high increase in copyrights, Netflix can only borrow money, so its debt ratio has increased year by year...
It itself said that original self-produced content would cost less than externally licensed content, so it would continue to invest in it, and that it expected a negative free cash flow situation to continue for "many years"...
Netflix distinguishes itself from the American drama model, and the most fundamental thing is that once its episodes are launched, all episodes will be all episodes...
But under Netflix's model, because it is a membership payment model, it is impossible to calculate which movie or TV series is profitable.
So, it's just a quantity!
Calculate an account, spend 200 million US dollars to produce a high-quality American drama, and make far less money than dividing 200 million US dollars into ten parts and making ten American dramas with acceptable quality...
Later, there was a famous saying in Hollywood: "For Netflix, quantity is more important than quality!"
This,It's likely to be the future of Yuehua video...
There are more than 6,000 movies in the Shaw Brothers film library, even if it is 10,000 yuan each, it will cost more than 60 million yuan!
That's it, Fang Yihua may not necessarily agree!
Far exceeded Zhang Junsheng's budget...
He prepared 200 million funds to solve the problem of Hong Kong film library...
……
Back at the hotel, Zhang Junsheng dialed Wang Rui, Yuehua's video content officer, and told him about the situation.
The latter also fell into deep thought...
"Blindly expanding the film library, our funds are far from enough!"
Even if he occupies the prophetic sense, Zhang Junsheng feels a little unbearable...
The need for funds is too great!
When the ten-year copyright expires, it needs to be renewed, and a large amount of money has to be taken out...
"Boss, is it possible to convert the cost based on the number of clicks?"
“… No, what if they swipe and click?"
Zhang Junsheng shook his head directly.
“… So, can we let them put the movie on our website first, and then use the online payment method to directly provide a share?"
“… Not quite that yet, right?"
Watch a movie to give money to a movie, and then divide the money to the copyright owner...
This method is possible, but online payment is not to that extent...
Moreover, even if Yuehua Video does this, what if peers buy the film library directly with a large amount of money?
Who is responsible for user churn?
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