CAA's bundled services

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Founded in 1975, CAA is far from the oldest performing arts agency in the United States, especially nearly 80 years after the historic William Morris Agency.

In the beginning, CAA did not go well, until one of the founders, Michael Ovitz, launched a brokerage revolution called "packaging", and the more visual translation should be bundled sales.

In the past, TV stations had to find hosts, actors, producers, script writers, etc., in order to produce a program, and in short, they had to deal with a large number of different agents.

When Ovitz himself had no way to find a star, he thought of using a project to find a star: he prepared the script writer, producer, and director to plan an attractive project to attract the star to join.

In this model that everyone has become accustomed to, Michael Ovitz has an amazing discovery: if there is a brokerage company that can prepare all the artists of the show, not only the TV station will have peace of mind, but the agency will also change the passive star chasing in the past to actively do projects.

In this way, the relationship between the agent and the star has changed from the agency "serving" the star to the star acting as a pawn of the agency project. The agent suddenly changed from the star's nanny to the star's player, and from the star's maid to the star's emperor.

As a result, CAA's chess pieces are no longer one or two stars, but a complete project: from program planning, to writers, screenwriters, producers, to directors and actors, all ready.

While other agencies were still simply chasing stars, Ovitz had already recruited top talent in every position needed for TV shows and movies to CAA. In this way, when negotiating with a TV station or film company, Ovitz has a legal code to ask the other party: the actors who use CAA must use CAA's directors, producers, playwrights and other personnel.

In Ovitz's hands, many of CAA's outstanding actors have seen the cost of a movie rise from $1 million to $5 million, from $5 million to $10 million, or even more, which is an astronomical amount that top actors never dared to think of before.

Not only that, in addition to the commissions of the stars, the CAA will also take a certain percentage of the revenue from the package service as a commission - most of them are 10%, not only box office revenue, but also the periphery of the film.

Hollywood's production companies can be said to respect CAA for two points, fear one point, hate seven points, CAA's packaging continues to push up the production cost of the film, and also stretches its hand directly to their cake!

This is exactly what movie giants hate about CAA, because CAA rarely provides individual artist services, but fights as a whole, and actors have to use CAA's scripts, directors, and producers, and they have to pay a lot of money, in addition to CAA's commission on film revenue.

As a result, movie giants often complain that it's CAA's bundling that drives up the film's labor costs.

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