Chapter 407: Box Office Sharing
Thank you for the great reward from the humanoid wild panda and 21351215!
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played cards at Anita Mui's house for a morning, and then the four of them went out for lunch together, and Chen Lang left after eating.
Because Chen Lang lost all the money he carried, but the goal of getting to know Fa Ge today has been achieved, and Chen Lang is not worth the trip.
As for Leslie Cheung and Anita Mui, the three of them have a similar temperament and a very close relationship, and their famous songs are all from Chen Lang, so Chen Lang is still a little confident in inviting the two to make films in the future.
A week has passed in the blink of an eye, during which the media has invested great enthusiasm for the upcoming Top Ten Chinese Golden Melody Awards Ceremony.
The Top Ten Chinese Golden Melody Awards Ceremony is due to the official organizer of Radio Television Hong Kong, and although the previous selection is biased towards experienced singers, its fairness and authority are still worthy of everyone's trust.
Because of the alternation of the old and the new in the Hong Kong music scene, the major media are constantly hyped, especially the showdown between Xu Guanjie and Chen Lang, a pair of new and old representative singers.
Not long ago, Xu Guanjie was a complete defeat in the commercial radio Chinese song ring, but many people said it was because of the radio audience.
Then there will be no such problem at the most authoritative award ceremony of the top ten Chinese golden songs.
Whoever can win at the Top Ten Chinese Golden Melody Awards Ceremony means that it has been affirmed by the industry, officials and fans, which is the most authoritative recognition.
At the same time, winning the award at the Top Ten Chinese Golden Melody Award Ceremony also had a great impact on the subsequent Top Ten Golden Melody Award Ceremony.
Because the authority of the top ten Chinese golden songs is recognized by everyone in Hong Kong, the first ten golden songs held may be different in individual awards for the difference of the award ceremony, so as to show the independence of the ceremony.
However, in the selection of some important awards, in order to ensure authority and fairness, it will definitely be affected by the Top Ten Chinese Golden Melody Award Ceremony, so the Top Ten Chinese Golden Melody Awards are extremely forward-looking.
In other words, whoever wins the Top Ten Chinese Golden Melody Awards Ceremony is very likely to win the title of the most popular male singer, so now all Hong Kong citizens and singers are focused on the Top Ten Chinese Golden Melody Awards Ceremony.
However, the day before the awards ceremony on January 18, "Happy Ghost" was officially released for three weeks, and it received a box office of 4.03 million Hong Kong dollars this week, with a total of 14.97 million Hong Kong dollars at the box office in three weeks, which made everyone excited.
Chen Lang even began to calculate how much he could profit.
Long before the movie was released, Chen Lang asked Wang Jing about the proportion of the movie's box office share.
Take the box office of 100 yuan as an example.
First, the state directly deducted 5% as a special fund for films, 5 yuan.
Second, business tax, accounting for 3.3% of the box office, 3.3 yuan.
There is still 91.7 yuan left after these two pieces are removed, and every movie ticket bought by the audience has actually automatically paid taxes to the state, and the movie has become a taxpayer by the way, this 8.5%, theaters, theaters, distribution and film parties have no money, and they are directly swept away.
Third, of the remaining 91.7 yuan, almost more than half of it is directly distributed to theaters and theaters.
According to the strength of the film, it is divided into 57%-62%, and there is an upper and lower limit for this ratio.
According to the investment, type, cast, director, etc. of the film, there are big-name stars and directors or large investment, and the proportion of theaters and theaters is small, on the contrary, it is purely newcomers and new movies, then theaters and theaters will take the box office share according to the largest proportion.
Among them, the theater line is about 2%-5%, that is, 100 yuan, there is 1.8-4.6 yuan, and the rest belongs to the theater.
Fourth, after the distribution of theaters and theaters, the distributor will also charge a distribution agency fee (distribution commission), and the current industry rule is that the proportion of 5~15% of the distributable income (gross income) of the distribution box office is normal.
Box Office Distributable Revenue (Gross Revenue) = Gross Box Office - 5% Film Fund - 3.3% Tax - Cinema and Cinema Royalties (57%-62%)
Total distributable revenue from distribution = distributable revenue from box office + distribution income from other channels (TV, audio-visual, Internet, government bonuses, overseas ...... )
The distributor must subtract the following items from the total distributable income of the distribution before the filmmaker earns:
1. Issuance commission
2. Director or main creative star reward (with or without)
3. Issuance costs paid in advance (copy fee + publicity fee, etc.)
4. Taxes (taxes are payable for incoming and out/invoices)
Of course, if your company has the ability to distribute, then the distribution fee naturally belongs to the producer, just like the current Golden Harvest, New Art City, and Shaw Brothers all have the ability to distribute, and this distribution fee does not have to be spent.
However, many independent film companies do not have the ability to distribute, so they still have to remove this part of the distribution fee.
After all the above four items are reduced, the rest is the net income of the filmmaker.
How much is left?
Generally speaking, 100 yuan of box office income, the film can get about 35 yuan, on this basis, plus the distribution income of other channels, whether the cost can be recovered in the end, it is up to fate and luck.
Therefore, if the movie only has box office revenue, more than 80% of the movie is loss-making, unless your box office can reach more than 3 times the cost, fortunately, there are other distribution channels that can slowly recoup the funds.
5 million to make a movie, if you also take 5 million for publicity, the overall investment is 10 million, if you plan to rely only on the box office to recover the cost, then the safest box office has to have 30 million, just tied.
Of course, there are still some differences between domestic and international, and in China, it is obvious that the box office share of cinemas and theaters is more, and the distribution and producers receive less.
In China, only big-name directors can get 43% of the box office revenue, but abroad, producers can get up to 60%, which is still a big difference.
In the box office share of the movie, the producer's share is very small, in order to save costs, so the form of advertising sponsorship appeared, take the recent "Private Customization" as an example.
The investment cost of "Private Customization" is 100 million, so the box office must be more than 280 million before Huayi can recover the cost.
However, the advertisements in the film "Private Customization" earned 80 million, so for Huayi, it is only equivalent to an investment of about 20 million.
Then as long as the box office of the film reaches more than 60 million, it will already be guaranteed, and the rest will be completely earned.
Therefore, advertising placement is indeed a golden idea for filmmakers and advertisers to kill two birds with one stone.
Let's talk about the classification of theaters, there are two main types of theaters under the theater chain.
1. Direct relationship, that is, asset relationship, for example, the vast majority of Wanda cinemas are land projects in commercial real estate invested by Wanda Group, and the cinemas are wholly owned by the parent company, which has a very strong control over the cinemas.
Like the film scheduling of the theaters under Wanda Cinema Line, the theater line directly schedules the films, and the theater manager does not have the right to schedule the films, in fact, it is the meaning of a store manager, and the main job is to serve the audience.
2. Franchise relationship, the ownership of the theater and the ownership of the theater are not the same, which is different from the above.
This kind of theater can freely choose to join different local theaters, and see which theater chain gives them good conditions, and they will join which theater chain, and the theater chain is also trying to strive for high-quality theaters to join its own theater chain for its own performance ranking.
3. There are other mixed relationships, which are too messy, so I won't say much.
There is also the relationship between production, distribution, theaters and theaters.
The investor, that is, the producer, is the person who invests money in a movie, so after a movie is made, the copyright, corresponding income, and peripheral rights and interests of the film are all owned by the investor, and the most important thing is the money distributed back at the box office, which he takes.
But the film can't just be filmed, it has to be screened, which requires the work of the distributor.
The distributor makes copies, applies for keys, schedules, sends copies to theaters, advertises, buys advertisements, negotiates account sharing ratios, and signs contracts with theaters (although many of these parts are signed by medium numbers).
There are also manual work, putting dozens of people to go to cinemas across the country to do activities, do publicity, fix advertising spaces in cinemas, stare at pomp, do scrutiny, and so on.
These jobs are all professional work, and are not usually done by production companies (except for production companies that have distribution business, of course, large production companies now have distribution business).
The distributor does this work to make money from the box office, and in the end, the film is sold out, and the investor gets a part of it to the distributor as an agency fee.
The cinema chain is a management company, and the different cinemas under it are mainly in the form of franchises, and the cinema chain is responsible for the management work.
After all, it is impossible for the distributor to face nearly 4,000 cinemas across the country for every film.
Most of the allocation of copies and promotional materials, some film scheduling guidance, theater advertising space sales, patch advertising sales, and even some personnel training, cinema decoration design, business system management, and cinema management, the cinema chain also has some guidance.
Most of the cinema chain does not own the cinema property, nor does it own the right to operate the cinema, so he just charges a management fee, and 2%-5% of the annual box office is their income.
The relationship between them is that the investor's film is finished, and the distributor is entrusted to distribute it as an agent, and the distributor finds the theater with the film, and the theater arranges for its cinema to be screened.
After the screening, in addition to paying taxes, 57% of the money will stay in the theater, and the theater will take out 2%-5% from it to the theater management company, and the rest will be its own.
The investor gets back about 40%, and takes 4%-6% from it (this ratio varies greatly, depending on many factors) to the distributor as a distribution agency fee, and then the box office share of a movie is almost finished.
Let's talk about the copyright income of domestic films in addition to the box office.
The most important way to make a profit from domestic copyright is the sales of TV stations, network copyrights and product peripherals, but for most domestic films, product peripherals are basically negligible.
Generally, the online copyright of a blockbuster film of more than 100 million yuan can also have a net income of about 10 million yuan when sold by TV stations and video websites.
In addition, there is also the sale of overseas copyrights, which can be sold to Southeast Asia, South Korea, Japan, the United States, and every country in Europe.
And note that these copyright benefits undoubtedly belong to the producer, and the star director can't get it, so as long as the producer has channels, he can still make money.
Therefore, the cost of the movie is slowly recovered one channel at a time, not that it is expected that a certain channel can fill the cost at once.
Anyway, after the movie is finished, in addition to some marketing investment, the copyright can be repeated and unrestricted profits.
To take a simple example, Shaw Brothers movies have been going on for so many years, those old movies, first sell box office, then sell overseas copyrights, then sell VCDs, sell DVDs, sell network copyrights, sell these copyrights again in a few years, sell them again in ten years, and wait for almost that, package all the movie copyrights at one time and then sell them to Hong Kong Celestial Entertainment, and Celestial Pictures Entertainment will release discs and sell online copyrights......
In short, it is very complicated for the box office share and other revenues of the film, and the distribution department of LL Film Company is only in its infancy, so the distribution of "Happy Ghost" is done by Shaw Brothers and LL Film Company, and the distribution fee still has to be paid.
Distribution, theaters, and theaters are all available to Shaw Brothers, which is why Chen Lang is so greedy, and it will undoubtedly take too much energy and time to build it slowly on his own.
Now LL Film Company is only an independent producer, and the share obtained as a new company is only 35%, and after removing the distribution fee of 5%, and the 10% promised to Shaw Brothers, LL Film Company can only get 20% of the box office, and LL Film Company has invested a total of 1.2 million Hong Kong dollars, which means that the box office of the film must reach 6 million to make a profit.
Fortunately, now the box office has reached more than 14 million, and LL Film Company has finally made some money.
However, compared with the comprehensive sharing of Shaw Brothers' production, distribution, theaters and theaters, 71.7% of all box office is attributed to Shaw Brothers, and the comparison between the two companies is too different, Chen Lang is now eager to go to 1985 immediately to buy the entire Shaw Brothers, which is the beginning of his real strength in the film industry.