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We’ve all heard the stories of the little independent horror films that could; seemingly plucked from nowhere and went on to be mega hits. 

Paranormal Activity, a $15,000 film launched at Slamdance 2008, was bought for about $350,000 and became the highest grossing film in the history of the festival. Though it was originally acquired with remake rights in mind, it ended up spawning four subsequent installments.

Sundance 2004 served as the launchpad for Saw (production budget around $1mil) which, like Paranormal Activity, was never supposed to go to movie theaters; it was originally going to go direct to DVD. It spawned 6 sequels. Another Sundance premiere, The Blair Witch Project, was shot for $60,000 and made over $140 Million in theaters.

Insidious was made for $1.5 mil, premiered at the 2010 Toronto International Film Festival and grossed over $90 Mil worldwide. Other films to launch at TIFF include Hostel and Cabin Fever.

horror blog

Yes, these films are the exceptions to the rule. The rule that says box office success is a result of higher production spends and star names. Such is the potential of the horror genre. It has one of the most loyal audiences who, to a certain degree, ignore critics and don’t care too much about star cast. The catch is the traditional indie release model does not work to get these films out to market.

It is almost impossible for a horror indie to do the slow expansion route. This is why most films either release day/date, go direct to DVD or open wide and place all their marbles on opening weekend. Almost all horror films drop off over 50% after their first weekend. Often dropping even 60 or 70%. Even a film with critical appeal like You’re Next only received middling reactions from the larger fan boy audience and will end its theatrical with less than $20 Million. Notably, it still out-performed all but one TIFF acquisition from last year’s festival.

What makes the films I listed above unique is that they either opened in limited release and immediately garnered major interest (Paranormal Activity) or showed immense staying power per the genre (Insidious).

The commercial potential of horror compared to other arthouse films cannot be ignored. Almost no one I know would consider any of those films ‘arthouse,’ but that’s exactly what they are. They are some of the most commercially successful independent films ever released. This year, all but one of the midnight madness films from TIFF has a US distributor attached and last year’s batch all found distribution deals, making it the only section from the festival to secure domestic distribution for all of its slate.

Even the films that don’t necessarily draw massive box office are usually incredibly successful. Sundance films like The Pact and V/H/S were never about theatrical receipts. Both were profitable via the advance received for their domestic distribution deal alone and both were profitable for the distributor (mainly via home video and foreign sales) hence why they each got sequels. Horror is arguably the only genre I know where a film could be bought for just shy of seven figures (The Pact), gross less than $10k theatrically in the US and still be considered a massive success. Distributors like Anchor Bay (who sometimes finances too), IFC Midnight, and Magnet specialize in this kind of release model and continue to thrive. It’s incredibly rare for any of them to push the theatrical and almost all of their releases are available on demand upwards of 2 months before they even pop up on a screen.

There is also a clear set of time windows when these films do well. You will not see horror films popping up in theaters in the US during November or December and with good reason. Who can compete with the Christmas releases? Many distributors treat horror as filler title for January/February and it has worked well for films like Hostel. Insidious and The Pact were both summer counter programming. When The Sixth Sense set a then record for releasing at the end of summer, it seems to have set a precedent to debut horror in late summer.

I want to be clear though all is not a pot of gold when it comes to the genre. Please contrast this post with the prior blog entry from my colleague Sheri Candler. EVERYTHING there is absolutely true. I received more solicitations for generic horror films from the Cannes, TIFF, and AFM markets than for anything other genre or story. Many of these films will never see the light of day and even at micro budgets will fail to recoup.

Every year, we anoint maybe one or two new voices in the genre and otherwise it’s mostly a rehashing of the same people. Just look at the midnight films from TIFF this year, The Green Inferno and All Cheerleaders Must Die from Lucky McKee. There are fewer spots for new auteurs to breakthrough. The people who are in the horror game are frequently collaborating and backing one another creating a genre power situation where they can squeeze out the very little guys/gals that would have just as easily been considered a few years ago. It’s a giant game of six degrees of separation now that gets one to the inner circle of horror stardom.

As the horror sequels pile on, it is so easy to forget the simplicity of what came first. If horror is your game, I encourage you to go back and watch the original Saw. It’s really a mystery story focusing on two people trapped in a room. The few other traps we see are only in flashback. The bulk of the film is two people talking in a room. As studios continue to struggle to push the boundaries (okay let’s be honest, they struggle to come up with anything even slightly unique or entertaining), they look to the festival circuit for the next film with breakout potential. Every horror franchise to launch in the last few years has come from the festival circuit.

There is still a lot of life left in the genre, but if you’re on a micro-budget, you have to offer something fresh or with minimal star power or have powerful connection in the indie world to get noticed. Horror is one genre where titling and cover art can make or break success with an audience. The attention span of the typical horror fan is very short unless they recognize something they like immediately. It’s no accident that people were talking about Sharknado; an absurd, but definitely different take on horror and sci fi. It lit up Twitter like nobody’s business. The Asylum does very well making those types of films. But the success narrative is skewed; it only attracted a viewing audience slightly better than a typical SyFy Channel movie of the week and its hurried theatrical screenings pulled in less than $200K from 200 cinemas. Still, it has spawned a sequel!

So to recap, the genre is waiting for someone to break out in the midnight section at Sundance, SXSW, Tribeca, and/or TIFF, these films are often the most successful to come out of the festival circuit and almost always receive a deal. However, to get into the festivals at all is incredibly difficult and if you’re not already connected to the “in crowd,” you are probably shit out of luck. While you could do a D grade microbudget film with distribution pre attached through Full Moon, what would that do for you? The best case scenario is you make a whopping $5,000 for all your hard work, they get control of the edit and the film doesn’t see a significant release.

But whatever you do, choose a smart title, a good poster and cut an exciting trailer. They are imperative in horror.

October 11th, 2013

Posted In: Distribution, Theatrical

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The month of October seems a good time to look at films in the horror genre and we will be releasing a series of posts all month long that addresses the business of releasing these films.

Long the domain of ultra low budget filmmakers everywhere, horror audiences are now spoiled for choice when it comes to finding a film that terrifies. Yes, everyone with access to a digital camera and buckets of fake blood seems to be honing their craft and turning out product by the thousands. Unfortunately, most of it is high on splatter and low on story and production value. That may have made up the majority of the horror film sales 7 years ago, but distribution advances paid for such films are now exceedingly low (maybe $5K per territory, IF there is a pick up at all) and now the genre is perfect for the torrent sites.Unless you plan to make films as an expensive hobby, the pressure to produce a stellar horror film that people will talk about (see The Conjuring, Insidious, Paranormal Activity) is very high.

horror films

The trouble for filmmakers creating in this genre is there is so much being made of questionable quality, it is like asking audiences to find a needle…in a stack of needles (hat tip to Drew Daywalt). The same challenges for fundraising, marketing, and distribution that plague every production, plague horror films as well. To get good word of mouth, the film HAS to be great and have a significant marketing push.

At a recent event hosted at the LA Film School by Screen Craft entitled Horror Filmmaking: The Guts of the Craft, several involved in the horror genre talked about budgeting and distributing indie horror films. All agreed the production value bar has to be raised so much higher than everything else in the market in order to get people to part with their money for a ticket when competing with studio films. Talent manager Andrew Wilson of Zero Gravity Management pointed out that comments like the film did a lot with so little doesn’t hold water with audiences outside of the festival circuit. “You still need it to be good enough to get someone to come into a theater and pay $12…the guy who is going to pay $12 doesn’t care that you did a lot for a little bit of money. They want to see a film that is as good as the big Warner Bros release because they are paying the same amount of money to see it.” While you may be thinking, “I don’t need my film to play in a theater,” and that may be, the films seeing the most revenue in this genre are the ones that do.

The panel also addressed selling horror films into foreign territories. While horror does travel much better than American drama or comedy, there are horror films being made all over the world and some are much more innovative than their American counterparts. France, Japan and Korea were cited as countries producing fantastically creative horror films. American filmmakers with aspirations of distributing their films overseas need to be aware of the competition not just with fellow countrymen, but with foreign talent as well.

Other film distributors are candidly talking about the complete decimation of the market for horror, largely brought on by the internet and piracy, but also a change in consumer habits. Why buy a copy to own of that low grade splatterfest when you can easily stream it (for pay or not) and move on to the next one? More where that came from. There was once big money in fooling audiences to buy a $20 DVD with a good slasher poster and trailer, but now they are wise to the junk vying for their attention and don’t see the need to pay much money for it.

In a talk given last year at the Spooky Empire’s Ultimate Horror Weekend in Orlando, sales agent/distributor Stephen Biro of Unearthed Films actually warned the audience of filmmakers not to get into horror if money was what they were seeking.”The whole system is rigged for the distributors and retailers. You will have to make the movie of a lifetime, something that will stand the test of time.”  He confirmed DVD for horror is dead. Titles that might have shipped 10, 000 copies to retailers are now only shipping maybe 2,000. Some stores will only take 40 copies, see how they sell and order more if needed in order to cut down on dealing with returns. Of the big box stores left standing, few are interested in low budget horror titles. Netflix too is stepping away from low budget indie horror on the DVD side. They may offer distributors a 2 year streaming deal for six titles at $24,000 total, but there will be a cost to get them QC’d properly (which comes out of your cut, after the middlemen take their share of course!).

As for iTunes, there are standards barring graphic sex for films in the US and in some countries, they are now requiring a rating from the local ratings authority in order to sell from the iTunes Movie store. The cost of this can run into the thousands (based on run time) per country. Also, subtitling will be required for English language films, another cost.

The major companies in cable VOD (Comcast, Time Warner, Verizon etc) are now requiring a significant theatrical release (about 15 cities) before showing interest in working with a title. They are predominantly interested in titles with significant marketing effort behind them. The cable operators often do not offer advances and you must go through an aggregator like Gravitas Ventures to access. If the aggregator refuses your film, that’s it.

Selling from your own site via DVD or digital through Vimeo or Distrify is still an option, and the cut of revenue is certainly larger. But unless there is a budget and plan in place to market the site, traffic won’t just materialize. Still, for ultra, ultra low budget films (like made for less than $5,000) with a clear marketing strategy and small advertising budget, selling direct is the way to go. Certainly better than giving all rights away for free, for 7 years and seeing nothing. At least your film can access a global audience.

Here is Biro’s talk from Orlando. It runs almost an hour

If after reading this, you are still set to wade into the market with your horror film, stay tuned to future posts looking at the numbers behind some recent horror films and what options you’ll have on the festival circuit.

 

photo credit: <a href=”http://www.flickr.com/photos/markybon/102406173/”>MarkyBon</a> via <a href=”http://photopin.com”>photopin</a> <a href=”http://creativecommons.org/licenses/by-nc-sa/2.0/”>cc</a>

 

Sheri Candler

October 3rd, 2013

Posted In: Cable, Digital Distribution, Distribution, International Sales, iTunes, Long Tail & Glut of Content, Marketing, Netflix, Theatrical

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[updated comment below-August 28, 2013]

Back in January, I wrote a post called The Independent’s Guide to Film Exhibition and Delivery 2013 examining how rapid technological change was impacting the exhibition side of independent film, and how this was affecting  filmmakers’ post-production choices and delivery budgets. At the time, I worried that the solid state digital formats emerging as pre-eminent were simply adding cost to delivery and, in fact, creating a new hierarchy in which Studios were grabbing an even larger share of the market simply by virtue of the fact that the available exhibition real-estate was shifting so rapidly to DCP that it might price out both smaller films and smaller venues unable to afford the changeover to DCP.

But surveying the landscape even seven months ago, it seems I underestimated two critical developments that have overtaken the Industry at a breathtaking rate, seemingly changing the world of exhibition and delivery forever. And lest you think my lack of clairvoyance didn’t matter – I can sum it up this way: had I known what I know now, I would never have invested so much early 2013 money in HDCAMs for our Film Collaborative films.

screening

Of the many things that The Film Collaborative does, one of our core services, is booking our clients’ and members’ films in public venues all over the world – including everything from film festivals, traditional theatrical venues, universities, art galleries, etc. When we first got into doing this, of course most of our films had 35mm prints. And of course, those days are long past…digital tape has been the mainstay for some time now…most notably the HDCAM and the Digibeta before it. Disc-based formats (mostly DVD and recently BluRay) had been largely relegated to preview screeners and the smallest of festivals and venues.

As recently as the Sundance Film Festival (January 2013), all of our films showed at that Festival on HDCAM; DCP was still the exception at Sundance; and BluRay was still nearly unthinkable as a respectable format for a major Film Festival anywhere (note: many of the filmmakers we work with still think BluRay is an unacceptable exhibition format). And the general buzz before, during and after Sundance was that DCPs were creating a lot of technical problems at Festivals, and that BluRays of course were even worse.

Now flash forward to the impending Fall 2013, and everything is remarkably different. And I don’t mean subjectively different…as in I think it is different. I mean objectively, measurably, data-driven different, as evidenced by a rather simple breakdown of the data available to us.

Anyone who has had a film on the Festival circuit knows that October is the height of the booking season, the time when all the venues that can’t compete with Berlin or Cannes or Toronto before them, but don’t want to run into the end-of year Holidays typically stage their events (not to mention the flood of Oscar-bait films that are released by the Studios at the end of the year). As such, October offers the best window into the “generic” state of independent exhibition, and is in fact the largest sample size of data available during the year.

This being already late August, most October festivals and venues are locking their October schedules now. And The Film Collaborative films are featured heavily in the Fall 2013 programming schedules, as evidenced by the 195 separate bookings we have secured for our films scheduled thus far for October. I don’t mean 195 screenings mind you, I mean 195 separate engagements across all our films ranging from one day bookings to full theatrical runs.

Of our 195 bookings, the exhibition formats being used for these engagements are as follows (in descending order of frequency): 

BLURAY 144
DVD 25 
DCP 12
HDCAM 10
Digibeta 2
Quicktime File 2

The takeaway here is staggeringly obvious…in the current independent marketplace –especially in the United States — the BluRay rules far and away above all others. And this is NOT because we are forcing BluRays on venues….in every case we tell Festivals and venues what formats we have AVAILABLE, and largely let them make their choice. And for ALL of our films, we have at least two HDCAMS available….they just aren’t getting used for almost anything! As such, they are just piling up on my shelves…feeling more and more obsolete every day. And I’ll tell you they weren’t exactly cheap to make…especially the ones with fabulously mixed 5.1 sound!

I should clearly note that we do NOT have DCP available for all our films, largely because they are expensive to master and we’ve been able to get away without putting all our films on DCP. But I maintain that this is CRITICAL information for all indie filmmakers who face similar budget choices….clearly one is NOT FORCED by current booking practices to have DCPs available. I can guarantee you we have not lost a single booking due to a festival telling us they can ONLY play DCP (although MANY will tell you they prefer it, especially in Europe).

There is no doubt that if we DID have DCPs available for all our films, that number of DCPs being used in October would change. But I doubt it would shift more than 10%…. Maybe BluRays would go to somewhere like 130 bookings and DCPs to 40 bookings. The difference between the frequency of both formats would still be stark.

I’d also like to say to the naysayers, you’ll note that having CLEAN EXHIBITION QUALITY DVDS are still very important…in fact second most after BluRay. That’s especially true if you wish to show on the University or Gallery or Church or Community Center circuit….a valuable circuit for most niche-oriented independent film. And I’d especially offer this chart to the Festival programmer who electronically yelled at me via email today saying… “DVD is not an exhibition format!” Clearly, a large percentage of venues disagree.

Some of you will ask….why does this matter? Well, the answer (as always) is largely financial…and offers a fascinating look at how the independent film world continues to adapt to the economic realities of competing in a largely studio and movie star-driven industry.

From the venue side of the equation, HDCAM and other tape-based decks were never cheap to rent, so when suddenly given the choice to opt out entirely in favor of a consumer-priced technology like BluRay…the majority of festivals went running to the shallower (cheaper) side of the pool. Clearly, the added stability of showing HDCAMs (which are incredibly reliable) has not been enough to counter-balance the cost-benefit analysis, particularly because BluRays look and sound damn good when projected even across large throws and large rooms. I know that this cost-benefit analysis will remind many of our older readers of the Betamax/VHS era…when it was well known that Betamax was better quality and more reliable, but the cheaper VHS won out completely because of economics.

Add to this the fact that, with current technology, it is DCPs that are the least reliable common exhibition format, and currently lead to the most delayed and cancelled screenings. To date, software ingestion issues, subtitle problems, and encryption code dramas plague independent DCP exhibition…and almost all festivals showing DCPs in fact require BluRay or DVD backups as well!

From the filmmaker side of the equation, the economic forces swaying the state of delivery and exhibition are even more profound. Until recently, it was a given that independent filmmakers were finishing their films on HDCAM and investing in multiple HDCAM copies for exhibition as well as delivery to distributors and broadcasters, platforms etc. But examining the data above, and given that most distributors and platforms prefer now hard drive delivery anyway…why go to HDCAM at all?

Perhaps a post-supervisor could better answer this question, but one conclusion at least remains true from our January 2013 posting….”For the time being, it seems to wisest to counsel that we deliver films as a Quicktime ProRes 422 file available for quick turnaround at a trusted lab with multi-format output capacity. From there, we can be assured of the ability to take our opportunities whenever and wherever they may lead us.”

Back in those old days of January 2013, I made the following statement…”In 2013, the needs of your exhibition formats and delivery formats will likely be determined by how successful your film turns out to be. If your film turns out to be truly theatrical, you will likely need a combination of DCPs and HDCAMs and BluRays to meet the demands.” But as we near the end of 2013, I’m thinking that maybe we don’t need spend all that money quite yet. Lets go a little slower investing in contemporary formats….and check back in at the beginning of 2014 for the third part in this series….and see where we stand then.

 

Comment:

Hey Jeffrey,

Enjoyed your latest post. Sadly most of it rings true. You struck a nerve touting BluRay. I’m a film festival and post production veteran. You are correct B/R’s are now omnipresent. The demise of tape is tragic actually. Dbeta, HDCAM, SR all bullet proof exhibition formats. You could be reasonably certain if the film was delivered on a pro tape format, some professional editors, colorists etc., had a hand in the film.

Now people deliver exhibition copies on a 33 cent piece of plastic. You are lucky if it comes in a sleeve. Don’t expect labels with TRT’s, audio or aspect ratio information either. If you ask me, the Fukushima accident killed HDCAM and SR, you couldn’t find tape stock so people found another way, but I digress.My concern is the dreaded “can’t read disc” or “no disc” message. We have multiple players for this very frequent occurrence. I need to tell to the film maker I’ve played it in 6 different machines and none of them will read it. I, of course, follow this up with “did you provide a DVD B/U?” I always hear..”well it played on my mac” OMG!

Having spent over a decade as an editor and post supervisor, I am dismayed that film makers spend thousands and thousands of dollars and perhaps years of their lives on a doc or feature and deliver on a B/R! I do exhibition for a living now and you can ask any of the seven projectionists on staff here and they will tell you B/Rs are the bane of our existence. I’ve been the Technical Director for SILVERDOCS for 10 years, now AFIDOCS. We still don’t accept B/Rs, we ran I believe 3 DCPs this year. That said, it was a huge struggle this year getting professional media from all the FM’s. I don’t buy the “we can’t afford tape.” Really? Does you premiere mean that little to you? Drop the $150 bucks and have your editor knock out a digital cut to HDCAM.Our experience with DCPs is limited.

I will say this, we don’t have any issues when the DCP comes from Deluxe or Technicolor or a reputable post house. When you get the WD passport 1TB drive shipped in bubble wrap that was created by some guy in the film makers spare bedroom on DVD- o- Matic, that’s when things get dicey. In defense of DCP, the player will at least verify the file. The B/R on the other hand may play flawlessly at first, then throw up pixels all over a 40′ screen the second screening. Both of these formats are problematic from a festival perspective.

You can’t really do a thorough quality control check on DCP’s or B/R’s unless you have unlimited access to the venue and lots of time before the festival. Tape on the other hand can be QCed in a dark room frame by frame or spot checked. Or if time is short, FFWD to the end and jot down the TRT and time code out! Damn I’m gonna miss tape. The archive scenario is even scarier. Possibly subject mater for you and a future post! With camera acquisition largely file based, I see film makers do a good job backing up camera original files while in production. They get to post, edit, maybe color correct, maybe some sound design, render for hours and hours burn a few discs and they think they are done. Finally, the film maker may have their project backed up on some external drive purchased at Newegg or TigerDirect. Some form of spinning disc that more than likely will crap out when he/she needs it. 

We are in a era where hundreds of hours of material are being lost. DP’s and editors I’ve worked with for years have countless horror stories. So maybe we shouldn’t kill off tape so fast? Maybe you dump your select evergreen camera originals, your unmixed masters on a chunk of HDCAM. Put it on a shelf, and if you can find a machine to play it on it twenty years it will look as good as the day you shot it. (The B/R will have returned to dust) There isn’t a good answer out there yet, LTO perhaps or solid state drives when they become affordable. My next festival will be in eight different venues, not all DCP equipped, but all have HDCAM and B/R’s.

What’s a technical director to do?

Regards,

JOHN SUMMERS | Operations Manager 

AFI Silver Theatre and Cultural Center | American Film Institute

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

August 22nd, 2013

Posted In: Digital Distribution, Theatrical

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Today we have a guest post from filmmaker/educator Kyle Henry 

Someone told me years ago that sex sells.   Unfortunately, when I started making my anthology of short sex tales feature FOURPLAY four years ago, I thought that if a little sex sells then A LOT of sex would REALLY sell.  Although the director side of my brain was motivated by a lot of high-minded reasons (e.g. showing sex as a positive force; providing understanding for characters participating in “deviant” sex acts; rescuing cinematic sex from titillation for catharsis), the producer side of my brain thought that by providing a product that would fill a need (e.g. an adult explicit film about sex that isn’t porn) somehow axiomatically would pull off a hat trick of making a profit AND getting away with subversive cultural critique.  Well, we’ll see about that later part because just finding distribution has been a long and winding road depending almost exclusively on our persistence and ingenuity.  Both were needed to prove the film’s potential to a very risk averse market for narrative NC-17 equivalent films dealing with sex even in our libertine digital age.

FourPlay poster

We didn’t start out five years ago making FOURPLAY thinking this would be such a struggle.  I’ve always been interested and motivated to tell stories that challenge dominant frameworks of understanding.  It’s the old activist in me still rearing its authority challenging head, but I thought that our four tales, which were mostly comedies, would hit that sweet spot of entertaining subversion.  First word of warning:  be wary of thinking your milieu of friends is representative of the general public as a whole. 

Turns out, I live in a bit of a freak bubble.  Now, there’s nothing wrong in making your work for yourself and your friends, just try to be aware how large that base is and don’t fool yourself that everyone is going to love your gang-bang heretical bathroom farce (e.g. our Tampa segment) or your cross-dressing sex-worker meets quadriplegic man for spiritual union melodrama (e.g. our San Francisco segment).  I was very lucky to find grant money from the Austin Film Society, the wickedly funny producer Jason Wehling who likes doing things on the very cheap, and support from patron angel executive producers Michael Stipe and Jim McKay, who lent monetary and name support to the project via their C-Hundred Film Corp so we didn’t come off as complete yahoo wackos.  Second word of warning:  if you’re going to make a subversive work that will challenge the body politic and marketplace, make it on the cheap!  All of these factors, plus the extreme desire to never again dip into my credit cards to make films, lead us to keep the budget under six figures, which gave us the ability to be not too desperate and come up with alternate strategies when hit with the brick wall of distributors saying “no thank you.”

Well, we were a little desperate in the beginning or perhaps a little too “creative” in our distribution thinking.  There is a distributor out there who will go unnamed whose major selling point to filmmakers is a transparent “back-end” for their on-line sales of both DVDs and streaming content.  That means when someone buys your content, you instantly see the sale by logging into their producer portal.  We had the “clever” idea of releasing three of the four shorts that comprise FOURPLAY at both festivals and online as we finished them, with the idea being we’d make a little scratch along the way of production.

Production of the four shorts was strung out over the course of two years, basically whenever I had breaks from both teaching and editing, which I do also concurrent to directing to make a living because I don’t have a trust fund.  Third word of warning:  if you want to make subversive independent cinema in America have other skills that pay the bills or have a trust fund. No one that I know who is making this kind of work (and I know A LOT of filmmakers) is making a living exclusively from their directing projects.

Getting back to this unnamed distributor. After we finished the first short, our San Francisco sex-worker segment which premiered at Outfest in 2010, we signed up with this distributor and started streaming the segment.  It was gratifying to see the hundreds of sales rack up on their “open architecture” site, but it was frustrating and irritating beyond belief never to get a check from them.   One quarter, then two quarters went by with no payment.  Emails and letters were sent, never to be replied to on their part.  Finally, I had to get a lawyer friend involved, who luckily I met after making Room in 2005 and would only charge me poverty charity rates, but I still sunk around $500 that I didn’t have into legally harassing said distributor to get first payment and then rights back to the project when they never paid up and were flagrantly in breach of contract.  Fourth word to the wise:  have an entertainment lawyer friend!

Turns out, this distributor had not paid a lot of people. One filmmaker friend of mine literally had to march into their NYC offices and camp out in their lobby, refusing to leave until he got a check from them, or so the story goes.   Fifth word to the wise word:  always ask your filmmaker/producer friends for the straight dirt on a potential distributor before signing a deal.  I wish we had done more research before falling for their “because you see it on our site you’ll definitely get paid” baloney.  Digital transparency doesn’t equal material cash.

The second segment, our gang-bang farce in Tampa, hit the festival jackpot of premiering both at Cannes’ Directors’ Fortnight 2011 and Sundance 2012.  This raised the project’s artistic street cred, but … as our most explicit, outrageous and heretical segment, I think it scared off any distributor that might have been attracted by those festival laurels.  It has a lot of cock on display, fake prosthetic cock, but still enough showing to scare both the horses and the largest and most profitable online distributor of streaming content, who will also go unnamed.  Luckily we have a friend inside said organization who took a gander at the film and told us straight out “too much cock” so we didn’t waste time or money trying to alter the work or submit via an aggregator.

The final anthology feature with all four segments premiered at Frameline last summer, and again I threw a final curve ball to another potential type of distributor, those who specialize in LGBT content, by including a “straight sex” and a lesbian bestiality segment.  Granted, in the “straight” segment a couple conceives in a gay video porno arcade, and our bestial segment is more about sublimation than doing the nasty with doggie, but it didn’t help anyone narrow down who would be interested in our film.  It’s seems we had something to both interest … but also offend everyone.   So, another string of no thank you’s from everyone, and I mean everyone, as we played the festival circuit throughout the summer and fall in 2012.

FOURPLAY still

By early fall, I knew if anyone was going to want to see the film, we had to find a cheap way of getting some reviews and attention to back up our assertion that the work would gain enough publicity and digital markers to direct traffic to at least our own DIY efforts (e.g. making a self-produced DVD available off our site, streaming via Distrify, et al) … but just maybe one of those no’s would become a yes.  Going back to my activist days, I hired two former student interns to put together a database of every independent cinema in North America that had screened NC-17 content in the last few years.  We then sent out e-mails to around 300 theaters, followed up with phone calls, mailed press-kits/dvds to 100 theaters who expressed interest, and persistently bugged for over five months a narrow set who didn’t say no out-right to end up with the twelve who screened the film either as full week (e.g. Austin’s Alamo Drafthouse, Denver’s Sie Film Center), multi-night (e.g. Portland’s Clinton, Seattle’s NW Film Forum, Chicago’s Siskel) or one-off runs (e.g. LA’s Egyptian, NYC’s LGBT Center, Longbeach’s Art Cinema).  Since all prints were digital, I either delivered on Blu-Ray, DCP or QT file, all generously discounted by a very cheap institutional FedEx rate, one of the perks of academia.  Finally, my partner Carlos Treviño is not only the brilliant writer of three of the four shorts, but is also a talented graphic designer who designed not only our DVD case but also our web-site, based on a great (and highly discounted) poster designed by filmmaker/designer Yen Tan.  I’m also an editor by trade, so I designed the DVD.  Sixth word:  directors, have some skills and partner up with people with skills beyond directing! Doing everything in-house is A LOT cheaper than hiring a bunch of free-lancers.  In all, we spent around $15K to do our limited theatrical and first batch of 1,000 DVDs, which also includes the cost of me traveling for Q&A’s to all twelve venues.

One of the biggest line-items was hiring a real publicist for theatrical, Matt Johnstone, who also publicized the festival launch of both the San Francisco segment at Outfest, the Tampa segment at Sundance and the final feature at both Frameline and Outfest in 2012.  Matt was with the project for almost three years from that first festival launch and became quite invested in selling the project.  We wisely chose Austin, my former hometown, as the site to launch our theatrical tourSeventh word:  build from your base, which doesn’t have to be NYC or LA.  I got the idea from the way Rick Linklater built distribution for both Slacker and many years later Bernie.  By opening in Austin, we got both huge feature articles in both the daily and weekly, but also great reviews (not a guarantee, but I was thankful) and additional TV and radio interviews.  It was about as saturated of media coverage as we were ever going to get and it paid off not only with a modest box-office to help immediately repay some of the debt I had incurred, but also we instantly showed up on Rotten Tomatoes with two boffo reviews!

This is where persistence comes into play.  Everyone told us that doing theatrical was stupid for a no-budget sex-film, but in this day and age you still need reviews and digital ink from reputable sources to get anyone to want to see your film on whatever platform you end up on.  I couldn’t blow a lot of money on it though.  Filmmakers routinely spend $30- $50K hiring a booker, paying to four-wall and hiring a publicist for LA and NYC markets only for the privilege of reviews.   I did this in minor-markets for a third to a fifth of that cost to accumulate markers from decent sources, although not the NY Times, but there’s no guarantee the Times would’ve liked the film anyway.   These great reviews attracted the attention of a person in the DVD division of TLA Releasing, one of those distributors who said no last year, but because the film was proving itself in the market-place of ideas, now was interested in re-selling our DVD.  Because it cost them nothing to manufacture, and no advertising on their part, we were able to negotiate a decent straight up purchase of a sum of DVDs that instantly repaid me what I spent to manufacture the first 1000.  Up on their site, pre-sales were available before the end of our theatrical, so press attention continued to drive up sales, allowing us to sell them another batch of DVDs that now has put us into profit on the DVD before its official release date.  That certainly wasn’t the case for my first feature ROOM’s DVD deal.  Finally, I think it just made sense for TLA, one of the major distributors of LGBT content, that the film was getting spotlighted for it’s LGBT boundary pushing creds and whatever negatives there were with varied content wouldn’t undermine the major critical take-aways they could sell.

Finally, our publicist came up with the great idea of selling TLA on VOD rights also, since we were doing a press-release for the DVD launch and all traffic could be directed to one site.  Again, this was a win-win situation for the distributor, as it required almost no work on their part, guaranteed sales, and provided us with the legitimacy of having a one-stop-shop on a press-release so sales could be maximized through focusing on one link in reviews instead of confusing consumers by sending them to multiple platforms. The legitimization we earned through good press during our limited theatrical lead to confidence being built that there actually was an audience for our weirdo film and gave everyone publicity ammunition to prove this assertion.  No one was going to make this happen for us, we had to do this ourselves, and that’s my Final Word of Advice:  DIY is here to stay for independent filmmakers.

When I first got into Sundance and Cannes in 2005 with my feature Room, I thought I had “arrived” and that upon being purchased by an international sales agency the film would sell itself.  Although Celluloid Dreams poured a decent amount of money into sales, publicity and advertising to sell the film to various markets, the experience taught me that your job as a filmmaker is to CONSTANTLY sell your film once its made, no matter who picks it up or in what form for distribution.  Distribution and sales companies are like roulette tables.  They put down many chips on the table and if the ball lands on a number, all the other numbers lose, and the company will naturally follow a winner to the exclusion of all the “losers.”  You want your film to win by being seen and, ideally, also make back a bit of you and your investor’s money.  By keeping my production costs low, but producing my work with a combination of grants, crowd-source funding, and small investments from what I’d deem as “patron” investors who are far more interested in whatever “cause” my film is promoting than in returning a profit, I had the flexibility to be persistent.

That persistence was also fueled on the cheap, with: dogged interns who gained valuable insight into the distribution process while not breaking my bank; through a long six-month booking process that allowed said interns to work for cheap because it was only part time while they worked their real jobs to survive; through my academia network, which built relationships with presenting non-profits in every market to build audience and outreach for discussion on issues surrounding sexuality just like a doc filmmaker would organize; and through building long terms relationships with professionals who are also friends, like our publicist, our producers and my lawyer, who stick with me and the film on bargain rates because in some way they support me and the work as a team.

This has been the real hat trick, not only finding distribution and some sort of on-line home for an NC-17 equivalent film, but continuing to build long term relationships with other creatives who might be down for yet another subversive adventure when the next film inspiration strikes.

 

FOURPLAY is now available on DVD/VOD streaming from TLA here http://www.tlavideo.com/gay-fourplay/p-350944-2

FOURPLAY official web-site http://www.fourplayfilm.com/

Kyle Henry is a filmmaker, editor and educator.  His narrative feature Room debuted at Sundance and Cannes’ Directors’ Fortnight in 2005.  He is also the editor of the Emmy Award winning 2011 documentary Where Soldiers Come From, as well as this year’s SXSW premier doc Before You Know It.  He currently teaches film production at Northwestern University.

May 15th, 2013

Posted In: Digital Distribution, Distribution, DIY, Film Festivals, Marketing, Publicity, Theatrical

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TFF_2013

It seems like just yesterday I was reporting to you on SXSW and in the ever expanding festival circuit it is now time to fly over to the start of the Tribeca Film Festival.  This still very young festival takes a much different approach than SXSW by having an industry office, press and industry screenings, they have a distribution branch and help to support the releases of a number of films from the festival each year.

Despite all of that, the festival suffers from a number of shortcomings. It is so close to Cannes (and its massive market) that the festival can be easy to dismiss. Tribeca Film buys so many movies from their festival that it makes it even less desirable to buyers. And finally there is the NYC problem.  It can be hard to get local industry to attend and network when they are just happy to be home for a change. Similarly for those of us in from out of town, the city offers a wealth of other options that serve as distractions when we should be singularly immersed in film. I’m not going to lie, there are some films I will not be seeing because I got comps to see Kinky Boots (Which is at least based on an indie film).

The 2011 Tribeca Film Festival saw two documentaries gross about $2 million each. Both of those films (Jiro Dreams of Sushi (Magnolia) & Bully (TWC)) were rare exceptions to the rule, but are at least worth citing in terms of the potential for a breakout film to premiere at the festival. 2012 has yet to produce a film that grossed over $500k theatrically and only Struck By Lightning could really be labeled a VOD hit.

That said, the 2012 crop made clear that the festival can be a great launchpad for LGBT films and also documentaries.  Four films that premiered at the festival last year and did not have distribution attached have gone on to gross $100k or more. Both narrative films that accomplished this feat feature gay story lines. Any Day Now which won the Audience award at the fest (and basically every other fest it played at) has grossed over $200k theatrically in North America courtesy of Music Box Films.

Strand meanwhile took on Yossi the sort of sequel to the Israeli military love story Yossi and Jagger,  which they released over a decade ago.  Yossi has grossed over $116k and is still playing in theaters, meanwhile the former has seen its DVD sales sky rocket in light of the release. Yossi was a smart follow up on the part of Strand Releasing.

On the documentary side, The Flat showed the strength of Israeli subject matter and is the highest grossing film from the fest last year with a total of $471,842. It was released by Sundance Selects and outperformed a number of high profile Sundance docs.

Tribeca Films, which is really at its heart an ulta-vod label, handled a number of films. More so than any other company that was active at last year’s festival.  The theatrical box office numbers for these films are largely abysmal. Newlyweds, Supporting Characters, Rubberneck, Booker’s Place, and The Giant Mechanical Man have all grossed under $10k meaning that more people saw them at the festival than saw them in their entire theatrical window.  Their one ray of light is Struck By Lightning which while only producing a box office total of $28,378 is on track to do over $1,000,000 on VOD.  That thanks in no small part to the loyalty of Glee fans and the trendy TV star filled cast.

It is also worth noting that Tribeca Film distributed Oscar nominee War Witch. The Canadian Foreign Oscar entry was an Award Winner at Berlin, but was not bought until it had its North American premiere at Tribeca. It has grossed $67,425 to date but still has almost 20 markets left to open in.

Magnolia was also an active buyer, they came to the festival with Jack and Diane which grossed a paltry $1,142, and also acquired The Good Doctor ($5,206) and Deadfall which towered above the other two with a still modest $64,241.

Key doc distributors found modest success across the board at the fest. The Revisionaries grossed just under $20k with Kino Lorber behind it, Paladin heralded Mansome, the latest from profilic doc filmmaker Morgan Spurlock, to the tune of $36,280 and Cinedigm had one of its largest grossers with Don’t Stop Believin: Everyman’s Journey. It’s still in theaters and has managed just under $60k with a number of theaters yet to play

A number of films pursued some form of self-distribution to varying success. TFC client The Playroom partnered with Freestyle and has grossed slightly over $5k. Sexy Baby and Fame High had DIY theatricals, but did not report grosses. Burn is easily the most successful having grossed $111,300 in addition to special screenings all over the country in rapid succession that have been going on for months. The mix of traditional exhibition and large event screenings has swept the film across the country.

IFC was a big buyer, but many of their films have yet to be released, now a year later. Cheerful for the Wedding  and Knife Fight were both disappointments grossing under $10k  theatrically. They did not report box office grosses for IFC Midnight’s In Their Skin (originally called Replicas), but it is now available on Amazon VOD and DVD.

The Girl, starring Abbie Cornish has grossed just over $35k so far since being released by Brainstorm Media.

Films coming out soon include Drafthouse Film’s Graceland, Factory 25’s Future Weather,  Wreckin Hill’s While We were Here, Arc’s Stand Off (formerly Whole Lotta Sole), Film Movement’s Room 514, and Sony Woldwide’s star studded Revenge For Jolly!

At present, about 60% of premieres from last year’s fest have some form of distribution in place for the US. That places it only slightly behind SXSW, but ahead of juggernaut Toronto International Film Festival. For the filmmakers, premiering at the festival, I encourage you to be patient and diligent. The top box office performers in most cases were not bought until after Cannes. Better to be slow for the win, than rush and wind up losing in the end.

I look forward to seeing you all at Tribeca Film Festival 2013!

BONUS: DOCUMENTARY POWER

As with SXSW, about 20% of features raised at least some form of funds through crowd funding. The documentary Bridegroom is premiering at this year’s festival and raised a pre- Veronica Mars – stunning total of $384,375! The film is helmed by TV legend Linda Bloodworth Thomason.

April 17th, 2013

Posted In: Digital Distribution, Distribution, Film Festivals, Theatrical

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The Sundance narrative films are always the hot properties going into the festival, but many of these star-studded films fade while starless films often surprise. Here’s a look at how the narrative films from the 2012 festival performed.

THE BIGGER PLAYERS

FOX SEARCHLIGHT

They acquired the audience and jury prize winners from the US Dramatic competition and both have scored Oscar nominations. The Sessions was acquired for worldwide rights for $6 million and with a $4 Million P&A (prints & advertising) minimum. It has grossed $5,818,544 in North America an additional $3,135,887 overseas. The film has since sold to dozens of territories. Beasts of the Southern Wild, meanwhile played in theaters for a whopping 20 weeks and despite never being in more than 318 theaters (60% of the max count for The Sessions at 516) grossed more than every Sundance film from 2012 except for one. Its gross stands at $11,539,605. Furthermore, it was bought at a bargain of under a $1,000,000. It has also been released in over a dozen countries that have reported box office grosses with many more sure to come in light of its best picture Oscar nominations insuring that the film will more than make back its $1.8 million dollar budget.

SONY PICTURE CLASSICS

SPC is really known as the best company for foreign films in the US and being the latest champion of Woody Allen, but they continue to be very prominent at Sundance. They snatched up two high profile narrative films that performed on extreme opposite ends of the spectrum.

Smashed was acquired for $1,000,000 on the strength of Mary Elizabeth Winstead’s performance. Unfortunately, it is not easy to market a serious movie about 20 somethings attempting to get sober. Despite decent if not great reviews, it will max out at under $400,000 gross even though it received the typical maximum playout that SPC has to offer with its run peaking at 50 screens. Once P&A are accounted for this film is pretty much a loss for SPC.

Celeste and Jesse Forever performed much better at the box office grossing $3,094,813, but it went as wide as 586 screens and only had 5 weekends where it averaged a  PSA (per screen average) of over $1k. Acquired for $2,000,000, this film is most likely a slight loss for the distributor, but a big profit to the filmmaker who had a reported budget of under $900,000. It has grossed just over $200,000 from releases in 8 other countries.

OSCILLOSCOPE

28 Hotel Rooms barely played in more than 10 theaters and grossed $18,869. With so few locations, the focus was clearly on digital/VOD. For a NEXT film (meaning micro budget), it is far from a terrible gross and given poor to okay reviews. Hello I Must Be Going was an opening day film at the festival, but despite playing in more theaters during its run and not being available on VOD, it only managed $106,709. At its widest, it played in 15 theaters, but the expansion was too quick and the film fizzled fast.

IFC/IFC MIDNIGHT/SUNDANCE SELECTS

There are really two types of IFC releases in theaters. One is play a week at IFC Film Center in New York City and maybe one more location and the rest of the run is on VOD. The other is a theatrical push. In most cases, any late acquisitions announced well after a festival has wrapped fall into the former. Later acquisitions Price Check (2 theaters,$7,413 gross), Young and Wild (2 theaters, $5,514), and Save the Date (2 theaters, $5,719 gross)  have all grossed less than $10k in one week of theatrical release. Also not passing that threshold are The Pact and Why Stop Now (3 theaters, $2,432 gross) . As a horror film, The Pact likely performed much better on VOD, covering its mid six figure acquisitions price. The other films were targeting minority communities (Young and Wild) or relying on stars (Save the Date and Why Stop Now ) to push ill-reviewed films. VOD was not reported, but most likely these other films were all acquired for under $100,000. They should all eventually prove profitable for IFC, but not the filmmakers.

In contrast Liberal Arts has grossed $327,345 which is more than Josh Radnor’s  prior film Happythankyoumoreplease, but that film was dumped into the marketplace over a year after it won the audience award. Liberal Arts had the hot young actress Elizabeth Olson as a co star and produced a so-so gross for its over $1,000,000 acquisition price, meaning it had to do stellar on VOD, foreign and other ancillaries to be profitable

Sleepwalk With Me meanwhile  relied on a built in audience to get the message across and is truly something unique that is not easily duplicated by other indie films. It had the boost of winning Best of NEXT Audience Award at Sundance, a prime follow up at SXSW, Birbiglia’s comedian following and with, Ira Glass as producer, a tie in to “This American Life” which has a very loyal following. The film grossed $2,266,067 on 135 screens at its peak, stayed in theaters for 3 months and was followed very closely by a cable VOD release.  

This has not been a particularly strong year for IFC, but Sleepwalk With Me is its highest grossing film theatrically and the filmmakers themselves heavily promoted the film instead of relying on higher cost promotional/marketing methods as the central way of getting out the word. All parties worked overtime to push the film and it is not a model that an unknown would be able to ever duplicate.

MAGNOLIA/MAGNET

Magnolia admitted that part of the reason it was not financing the awards campaign for Ann Dowd for Compliance was because the film lost money. While this controversial film is the third highest grossing film ever from the Next section and $319,285 is nothing to cry about, the film was also not released day and date VOD as is typical for the distributor. In its first week it amassed $43,346 on one screen, but it did not hold up well in expansion. It topped out at 21 screens in its fourth week and while the acquisition price wasn’t reported, it most likely was no more than low six figures. I think this is a case of unrealistic expectations.

V/H/S played in almost as many theaters and only grossed $100,345 (releasing in October, naturally), but as with The Pact its money came from VOD and a sequel (S-V/H/S) was quickly put through which was at this year’s fest (picked up for release by IFC). Even though $1,000,000 was spent to acquire it, this film should prove to be pretty profitable.

Meanwhile, Nobody Walks was only in theaters for 5 weeks and never played on more than 7 screens, grossing a measly $25,342 . It was acquired for mid-high six figures and the focus was clearly always on VOD. While VOD was not reported, given the cast and producing powers it is likely to have recouped.

Magnolia also released 2 Days in New York, the sequel to 2 Days in Paris to the tune of $633,210 and Magnet came to the festival with Tim and Eric’s Billion Dollar Movie which did okay theatrically with $201,406.00 and both likely had a robust life in the digital sphere.

TRIBECA FILM

Tribeca Film released two US Dramatic entries. For Ellen grossed $12,396 on 3 screens for 7 weeks despite the presence of Paul Dano. The Comedy however has grossed     $41,113 on 4 screens for 8 weeks and the bulk of that coming from one screen in NY capitalizing on its Brooklyn setting. Both did day and date, but I imagine The Comedy outperformed For Ellen there too.

THE ONE OFFS

Keep the Lights On and Middle of Nowhere did almost identical business. Middle of Nowhere was released by writer/director Ava DuVernay’s distribution company AFFRM and played in a mix of major urban megaplexes and arthouse theaters, grossing $236,806 on 25 screens for a total of 9 weeks in theatrical release. Keep the Lights On had the backing of Music Box Films and relied heavily on screens from Landmark and specialty houses in LGBT dominant markets. The film grossed $246,112 on 10 screens for a total of 16 weeks in theatrical release. Red Hook Summer hired Variance Films for its DIY theatrical and grossed $338,803 on 41 screens for total of 11 weeks in theatrical release. The Spike Lee feature was made for under $1,000,000. While it grossed more than the two films above, it did so with a brand name director.

Safety Not Guaranteed was acquired by Film District for over $1,000,000 and grossed $4,010,957 on 149 screens for a total of 19 weeks in theatrical release. The film only cost $750,000 to make and has had some international success too.

Focus Features paid over $2,000,000 for worldwide rights to For a Good Time Call but the film only grossed $1,251,749 in the US and a little over $100,000 in the UK. This may seem bad, but the film was available on VOD when it opened and has been a top performer on iTunes. It never played in more than 107 theaters. The film cost $1,300,000 to make so it also turned a nice profit for the producers.

The $2.5 Million budgeted Robot and Frank was acquired by Sony and Samuel Goldwyn for over $2 Million and grossed over $3.3 Million theatrically. It has grossed another almost $500,000 internationally.

But the big success is Roadside Attraction’s Arbitrage which they paid over $3,000,000 for and chose to do VOD/Theatrical. It has grossed almost $8,000,000 and equaled that on VOD.

Lastly, The Words was the only Sundance 2012 film to get a wide release, 2801 screens. CBS bought the closing night film for $2,000,000. It managed $11,494,838 barely out performing Beasts of the Southern Wild.

THE BIT PLAYERS

Image debuted the star studded film Goats on four screens to a PSA of under $500 and its theatrical run quickly ended in one week. The film was acquired for almost $1,000,000 coming nowhere close to the film’s $5,000,000 Budget. A loss for all involved.

California Solo is still in theaters, but with a current gross of $15,433 on 2 screens for the last 6 weeks, it is not a breakout for Strand Releasing. Unlike a lot of recent Strand acquisitions from Sundance, it actually received a theatrical release.

Teddy Bear is one of the few world dramatic films to sell and though it only grossed $16,138  for Film Movement, this is a notable success. It is a foreign mumblecore film with no name actors and it out grossed other films that have been released from the same programming section.

Sony Worldwide’s release of The First Time will likely be its last since the film couldn’t get over $25k despite opening in 19 theaters. The theatrical only lasted one week.

Madrid, 1987 and That’s What She Said did not report grosses. The latter shared screens in LA and NY then immediately went digital courtesy of Phase 4. The Film Collaborative handled the theatrical for Mosquita Y Mari. While it grossed under $15k, it is the highest grossing Lesbian narrative of 2012 that received theatrical release.

THE VOD OVERPAY

TWC Radius release Lay the Favorite is a domestic theatrical flop and not likely to justify the acquisition price of over $2,000,000. Lay the Favorite grossed only $20,998 theatrically in the US and has barely grossed over $1,000,000 abroad. Considering the production cost was $20,000,000, there are probably a lot of angry investors.

Their second acquisition, Bachelorette, cost a fraction of that production budget at $3,000,000 and has grossed almost $10,000,000 overseas ($447,954 domestically) and debuted at #1 on iTunes. The advance cost was $2,000,000. It will recoup for investors and may ultimately do so for TWC thanks to the likes of Rebel Wilson.

Millennium meanwhile is probably questioning paying just under $4,000,000 for Red Lights which grossed a puny $ 52,624 at the box office. With the star power and being a genre film, it is likely to have performed much better on other outlets, though the path to profit would be daunting at that acquisition price.  It has made over $13,000,000 overseas theatrically. Despite that, it is possible it won’t make back it $17-20 Million production budget.

RECAP

  • While VOD adds costs to a theatrical, it is often a win-win for distributors and filmmakers.
  • NEXT films are doing better at the box office, but still not measuring up to the box office of the US Dramatic films.
  • 9 of the 38 Narrative releases grossed over $1,000,000 (5 premiere, 3 US Dramatic, 1 Next)
  • 8 of the 38 narrative releases failed to gross over $10k at the box office (3 Premiere, 2 World Dramatic, 1 US Dramatic, 1 Next, 1 Midnight)



BLOG EXTRA

Sundance received over 12,000 submissions for under 200 slots at the 2013 festival. You are more likely to get into Harvard than you are into Sundance. Yet a number of people manage to do it multiple times and even in the same year. Here are the double and triple players.

David Lowery co-wrote and co-produced Pit Stop and also wrote/directed Ain’t Them Bodies Saints and edited Upstream Color. All were official selections at Sundance this year.

James Franco and Vince Jolivette each have Interior. Leather Bar, Lovelace, and Kink. Jolivette is a producer on all three films. Franco co-wrote and stars in Interior. Leather bar, stars in Lovelace and directed Kink.

Mary Elizabeth Winstead stars A.C.O.D and The Spectacular Now. Her costar in The Spectacular Now, Brie Larson, is also in Don Jon’s Addiction.

Juno Temple is in Afternoon Delight and Lovelace.

Casey Wilson co-wrote and stars in Ass Backwards and is also in C.O.G

Amy Seimetz is not only one of the stars of Pit Stop, but this indie darling is also in Upstream Color.

Table for your reference of the docs and narratives from Sundance 2012

Film Company Deal Amount Terrtitories Sales Company Box Office/Release Section Budget Other Theatrical Countries with reported grosses Additional Countries with a release International Grosses
Bestiaire Kimstim Films US $1,428.00 New Fron NA NA  NA
Putin’s Kiss Kino Lorber N/A North America N/A $9,114.00 world doc NA Denmark  NA
The Law in These Parts Cinema Guild US Liran Atzmor, Produce $10,309.00 World Doc NA NA  NA
China Heavyweight Zeitgeist N/A US EyeSteelFilms $10,550.00 World Doc NA Japan  NA
Payback Zeitgeist N/A US N/A $17,979.00 World Doc NA Canada  NA
The Ambassador Drafthouse Films N/A US Trustnordisk $28,102.00 World Doc NA NA  NA
West of Memphis SPC N/A Worldwide Peter Jackson and Ken Kamins $46,307 Doc Premiere NA Portugal, United Kingdom  NA
The Invisble War Cinedigm and New Video N/A North America The Film Collaborative $62,649.00 US Doc NA NA  NA
5 Broken Cameras Kino Lorber N/A US CAT&Docs $74,571.00 World Doc $250,000 United Kingdom Canada, Japan, Sweden $36,372.00
Escape Fire Roadside N/A US CAA $87,577 US Doc NA NA  NA
Marina Abramovic Music Box N/A US Submarine $86,637.00 us doc Austria, Italy, Poland, Russa, Ukraine France, Germany, Ireland, United Kingdom $57,127.00
How To Survive a Plague Sundance Selects High Six Figures North America Submarine $123,814.00 US Doc NA NA  NA
The Other Dream Team Film Arcade & Lionsgate Mid Six Figures North America WME $135,228.00 US Doc NA NA  NA
The House I Live In Abramorama US Theatrical $186,059 US Doc United Kingdom $8,407.00
Something From Nothing: The Art of Rap Indomina Over $1,000,000 Worldwide UTA $288,312.00 doc premiere United Kingdom NA $45,388.00
Detropia DIY $377,219 US Doc NA NA  NA
Ai Weiwei: Never Sorry Sundance Selects N/A North America Cinetic Media, Victoria Cook $489,074.00 US Doc Austria, Germany, Russia, United Kingdom Denmark, Sweden, Taiwan $334,911.00
Shut Up and Play the Hits Oscilloscope N/A North America WME $510,334.00 Midnight United Kingdom Germany, Portugal $118,773.00
Chasing Ice Oscilloscope N/A US  (Non TV) Submarine $940,300 US Doc NA NA  NA
The Imposter Indomina N/A North America A&E Films $898,317.00 World Doc Denmark, Russia, United Kingdom Australia, France, Ireland, Kuwait, Netherlands, New Zealand, Sweden $1,870,940.00
The Queen of Versailles Magnolia Mid Six Figures North America Submarine $2,401,999.00 US DOC United Kingdom NA $93,707.00
Searching for Sugar Man SPC Mid Six Figures North America Submarine $3,095,075 World Doc Australia, Denmark, New Zealand, Sweden, United Kingdom, United Arab Emirates France, Germany, Netherland, Norway $2,203,958.00
Indie Game: The Movie HBO And Scott Rudin
(Remake Rights)
N/A TV Film Sales Company B.O. Gross not
Reported
world doc NA Taiwan  NA
Big Boys Gone Bananas DIY Theatrical US B.O. Gross Not Reported World Doc NA Sweden, Canada, UK  NA
Bones Brigade The Film Sales Company/Sundance Artist Services DIY Theatrical and Digital Platforms US The Film Sales Company B.O. Gross Not Repoted Doc Premiere NA Japan  NA
Room 237 IFC Midnight N/A North America Betsy Rodgers 2013 New Fron NA Denmark, Ireland, Sweden, United Kingdom  NA
Under African Skies Snag Films N/A Exclusive Digital A&E Films Digital Doc Premiere NA NA  NA
The House I Live In Snag Films Domestic Distribution Digital US Doc NA NA  NA
Love Free or Die Wolfe US DVD/VOD Cinephil Digital US DOC The film will be available for educational/non-theatrical screenings beginning in October through Kino/Lorber in partnership with Wolfe, followed by airings on PBS stations nationwide as part of the series “Independent Lens.” Wolfe will release the film on DVD/VOD in 2013. NA NA  NA
About Face HBO Doc N/A TV Pre-Fest TV Doc Premiere $500,000 NA Italy  NA
The D Word HBO Doc N/A TV Pre-Fest TV doc premiere NA NA  NA
Chasing Ice National Geographic N/A TV Submarine TV US  Doc NA NA  NA
Marina Abramovic HBO Doc TV Pre-Fest TV us doc NA NA  NA
Me @ The Zoo HBO Doc Mid Six Figures TV Submarine TV us doc NA NA  NA
The Queen of Versailles Bravo N/A TV Submarine TV US DOC NA NA  NA
Ethel HBO Doc N/A TV Pre-Fest TV/B.O. Gross not reported Doc Prem NA NA  NA
Under African Skies A&E Films N/A TV/Theatrical A&E Films TV/B.O. Gross Not Reported Doc Premiere NA NA  NA
A Place At the Table (Finding North) Magnolia US Submarine US DOC NA NA  NA

January 29th, 2013

Posted In: Digital Distribution, Distribution, Theatrical

Tags: , , , ,


2012 was a profound and often painful year in terms of the rapid technological change impacting the delivery and exhibition of independent film.

2012 was the year we wrapped our heads around the idea that there are virtually no more 35mm projectors in theatrical multiplexes, and that the Digital Cinema Package (DCP) has taken its throne as king – right alongside its wicked little stepchild, the BluRay.

2012 was the year it became clear that the delivery and exhibition formats we’ve been relying on for the last few years (especially HDCAMs) are no longer sufficient, and that in order to keep pace with the marketplace, we must now embrace the next round of digital evolution.

There are many filmmakers who will now want to stop reading, thinking “ughh, techie-nerd speak, that’s for my editor and post-supervisor to worry about.” You may believe you are first and foremost an artist and a storyteller, but in today’s world your paintbrushes are digital capturing devices, and your canvas is the wide array of digital delivery systems available to you. To shield yourself from the reality of how technological change will affect your final product is to face sobering and expensive complications later that will dramatically impact your ability to exhibit your film in today’s venues (including film festivals, theatres, and other public screening venues), as well as meet the needs of distributors and platforms worldwide.

And, so, for this New Year, I offer this “Guide to Exhibition & Delivery 2013,” a quasi-techie survival guide to the landscape of technological change in the foreseeable future, keeping in mind that this may all look very different again when we revisit this just a year from now…

What changed in 2012?

As 2012 began, major film festivals worldwide had largely coalesced around the HDCAM (despite slight but annoying differences in North American and European frame rates); and distributors and direct-to-consumer platforms were largely satisfied with HDCAM or Quicktime file-format deliveries, although varying platforms required different file specifications which could prove difficult for independent filmmakers to match (most notably iTunes). In addition, a large sector of the distribution landscape, including small film festivals, educational institutions (universities, museums, etc), and even small art house theaters remained content to screen on DVD and other standard-definition formats. The high-definition BluRay – with its beautiful image quality and powerful economic edge in terms of cost of production, shipping, and deck rental — was also emerging as an alternative to HDCAM, Digibeta, and DVD exhibition, despite the warnings by the techie/quality-control class that BluRays would be perilously unreliable in a live exhibition context.

But behind the scenes, the engine of the corporate machine driving studio film distribution was already fast at work driving top-down change. Finally, after years of financial impasse as to how to equip the theatrical network with digital projectors, the multinational Sony / Technicolor / Christie Digital / Cinedigms of the world had immersed themselves fully in the space and converted the North American multiplex system to a digital, file-based projection standard set by DCI LLC (a consortium of the major studios) – saving the studios immeasurably in print and shipping costs, as well as standardizing and upgrading image quality and providing additional security against piracy. This standardization as defined by the DCI studio consortium had already been growing in Europe for years before the North American market caught up, and became known worldwide as the DCP (Digital Cinema Package).

Once the largest technological and exhibition purveyors worldwide had made their move towards standardizing film exhibition, the writing was already on the wall, although it would take several more months to make its impact fully felt in the independent world.

What is a DCP?

A Digital Cinema Package (DCP) is a collection of digital files used to store and convey digital cinema audio, image, and data streams. General practice adopts a file structure that is organized into a number of Material eXchange Format (MXF) files, which are separately used to store audio and video streams, and auxiliary index files in XML format. The MXF files contain streams that are compressed, encoded, and (usually) encrypted, in order to reduce the huge amount of required storage and to protect from unauthorized use (if desired). The image part is JPEG 2000 compressed, whereas the audio part is linear PCM. The (optional) adopted encryption standard is AES 128 bit in CBC mode.

The most common DCP delivery method uses a specialty hard disk (most commonly the CRU DX115) designed specifically for digital cinema servers to ingest the files. These hard drives were originally designed for military use but have since been adopted by digital cinema for their hard wearing and reliable characteristics. The hard drives are usually formatted in the Linux EXT2 or EXT3 format as D-Cinema servers are typically Linux based and are required to have read support for these file systems.

Hard drive units are normally hired from a digital cinema encoding company, sometimes (in the case of studios pictures) in quantities of thousands. The drives are delivered via express courier to the exhibition site. Other, less common, methods adopt a full digital delivery, using either dedicated satellite links or high speed Internet connections.

In order to protect against the piracy fears that often surround digital distribution, DCP typically apply AES encryption to all MXF files. The encryption keys are generated and transmitted via a KDM (Key Delivery Message) to the projection site. KDMs are XML files containing encryption keys that can be used only by the destination device. A KDM is associated to each playlist and defines the start and stop times of validity for the projection of that particular feature.

As a result of all the standardized formatting and encryption features, the DCP offers a quality product generally considered to be superior to 35mm (while simultaneously conforming to the beloved 24 fps rate of 35mm), and a product that can theoretically be shared around the world with less variables and greater reliability than most formats (since 35mm) to date. Given the confusing array of formats facing filmmakers in recent years, there are many ways that the DCP revolution seems a singular advancement worth applauding, and at least on the surface, as a clear way forward for film exhibition and delivery for years to come.

So what’s wrong with that?… DCP survival for independents.

Before running out to master your film on DCP now, it is important to consider at least the following mitigating factors, 1) the utility of the format, 2) the price of DCP (including the hidden costs), and 3) the newness of the format and the inherent dangers associated with new formats, and 4) the ways that DCP will not save you from the usual headaches of delivery, and is in many ways an existential threat to independent film distribution as we currently know it.

With regards to the utility of DCP, remember that it is currently a cinema exhibition product, not a format that will be useful for delivery to distributors, consumer-facing platforms, DVD replicators etc. So, obviously you must be quite sure that you have actually made a theatrical film, and by this I mean theatrical in the broadest sense possible…i.e. will your film actually find life in cinematic venues including top film festivals etc. Following the industry at large, film festivals around the globe are in hyper-drive to convert to DCP as their preferred or even exclusive format. Going into the film festival circuit in 2013 and forward in any mainstream/meaningful way without a DCP…especially for narrative features….will be challenging to say the least (although likely still doable if you are willing to forfeit some bookings and some quality controls). But if you aren’t sure yet if your film will actually command significant public exhibition at major festivals and theatrical venues, you probably shouldn’t dive into the pool just yet. 

Not surprisingly, the largest concern to independents is the issue of price. While nowhere near to the old cost of 35mm, DCP does represent a significant increase in mastering cost over HDCAM, Digibeta etc. In researching this article, most labs quoted me a rate of approx. $2,000 for a ninety minute feature, plus additional costs for the specialty hard drives and cables etc. that put the total closer to $2,500 +. As is the case with most digital products, however, it appears the costs are already headed downward as more and more independent labs get into the space, and it seems reasonable to assume that the price-conscious shopper should be able to find $1,500 and even $1,000 DCPs in the near future (especially with in-house lab deals working for specific distribution companies).

Following the initial mastering costs, the files can be replicated onto additional custom hard drives for prices in the range of $300 – $400, which is at least relatively commensurate with HDCAM replication. This replication process is controversial however — there is no doubt that one can decide to skirt this cost by transferring the files to standard over-the-counter hard drives that run in the range of $100 (we have already distributed one film theatrically and successfully using standard, low-price hard drives). But many labs and exhibitors will warn you against this, telling you that using non-custom hard drives and cables increase the chance that the server at the venue will not be able read the files, and therefore unable to ingest and project the film when it counts most.

In fact, to avoid these potential compatibility issues with differing hard drives, cables etc, some exhibitors (most notably Landmark) are requiring distributors and filmmakers to use specific labs who encode all their content, which perilously puts the modes of production in the hands of the few, and may ultimately keep the cost artificially high. And while indeed there are many reasons to fear compatibility issues between DCP and server (I have already heard of/attended numerous screenings cancelled or delayed in 2012 due to DCP compatibility issues), it is in fact this level of lab and exhibitor control over the product that makes me very nervous about the future of DCP in the independent distribution space.

The most dramatic example of the DCP “threat” to indie distribution is the emergence of the onerous VPF (Virtual Projection Fee) that is now being applied at many (if not most) mainstream theatrical venues (including art house chains like Landmark). The VPF is an $800 – $1,000 per screen fee that is added to the distributor or DIY filmmaker’s distribution costs, either leveraged against the film rental or added as a an additional cost to the four-wall. This fee may go down after 20 or so screens, or in a films 3rd or 4th week of adding cities, but otherwise it is largely a fixed fee tacked against the already low profits of most independent theatricals today.

The reason for the fee stems from the fact that the projection companies mentioned earlier (Sony, Christie Digital, etc.) in fact financed the introduction of the digital projectors into the theaters, so the VPF fees largely go towards the recoupment of their investments. But, even once these initial investments have been paid off, it is likely that the VPF will continue as a valuable money-maker for the tech companies, and is not likely to disappear any time soon. And in this age where the financial model of independent theatrical distribution hangs so perilously on a knife’s edge anyway, the VPF almost feels like a coup-de-grace dooming small theatrical releases from the get-go.

Another troublesome aspect of DCP distribution is the very encryption technology that was meant to make the product safer from piracy, but also adds an additional level of bureaucracy and cost that most independents cannot realistically afford. The encryption keys (known as KDMs) are controlled entirely by large labs like Technicolor, and are transferred directly from companies like Technicolor to specific theaters within specific venues for limited windows of time. Anyone who has been involved with the free-wheeling nature of independent distribution knows that relying on large labs for print trafficking and shepherding is expensive and time-consuming, and cuts deeply into already marginal profits. And if you are creating DCPs for film festival distribution, the very idea that a single theater in a far-flung locale must rely on a 3rd party lab to get a specific KDM code for its screenings seems akin to courting disaster to me. Indeed, I know several independent festivals that are not accepting DCPs at this point, simply because they refuse to subject themselves to the whims of the studio KDMs.

For the above reasons and more, I’ve encountered several Industry folks who have been so blunt as to tell me, “DCPs were invented to put independents out of business.”

While I’m not quite ready to go there, I will add that the most pernicious aspect of DCP introduction into the market in my opinion is the way that they are already creating a new two-tier distribution market between those larger festivals and venues that can afford DCP projection and those mid-sized and smaller than cannot and perhaps never will be (given the prohibitive cost of the projector technology). As such, DCP does not replace the HDCAMs, Digibetas etc of old, it is rather an additional format that independents must contend with – good in some situations, useless in others – and yet an additional cost to add to your contemporary distribution budget.

As a result of the emerging two-tiered system; with DCP for the better-funded venues and alternatives for the smaller, less-funded; there remains a gaping hole in the contemporary exhibition system which is increasingly filled by the most seductive and problematic format available to independent filmmakers today – and by that of course I mean the BluRay.

The bastard step-child, the BluRay.

Yes I used the word bastard deliberately and with purpose, because the BluRay is the most enticing and simultaneously cruel of the contemporary exhibition/delivery formats.

For independent filmmakers and exhibitors (including theaters, festivals, and other venues) alike, the BluRay seems at first glance an ideal option – inexpensive to produce and inexpensive to ship – to go along with inexpensive players and projectors that can be bought at consumer-level prices. And the quality of both image and sound is usually shockingly good – usually commensurate with the best HDCAM ever had to offer.

Back up DVD is often needed to replace a faulty BluRay.

Back up DVD is often needed to replace a faulty BluRay.

As such, the economics of film exhibition have lead to an explosion of BluRay use in 2012, with the format beginning the year as an enticing alternative but quickly emerging as the mainstay of mid-to small size venues in both North America and Europe. But just as quickly as BluRay has emerged, a truism about today’s BluRay technology has become painfully clear – it exists at consumer-level pricing because it is not a professional product – and its failure rate in live exhibition context is dangerously (if not outright unacceptably) high.

Consider the following: In recent years prior to 2012, it was nearly unheard of that a booking at a theater or festival should need to be cancelled or delayed due to exhibition format failure…because formats like 35mm or BetaSP or Digibeta or  HDCAM were nothing if not reliable. But suddenly in 2012, the cancelled screening, or the delay mid-screening, or the skipping and freezing of a disc mid-screening became commonplace. To our dismay, it has become normal in 2012 to stop a screening mid-stream for a few moments to switch to a back-up DVD to replace a faulty BluRay. In our haste to transform to the miracles that BluRays seemed to afford us, a variable of chaos and unreliability has been introduced…and as yet there are no easy answers to this conundrum anywhere in sight.

There are numerous factors that account for BluRay unreliability – too many in fact to list in their entirety in this posting. There are many compression issues – resulting in variable gigbyte-per-layer Blurays from 25GB per layer to dual layer to triple layer to quadruple layer discs etc. These are profoundly complicated by player-compatibilty issues – meaning that many BluRays that play perfectly in one player will not even load in another. There are also significant regional differences between BluRay formats – similar but even more complicated than the old PAL vs. NTSC coding schemes. Layer onto this the fact that BluRays are fragile and scratch easily and do not traffic well and are easily lost, and we have arrived upon a formula for delivery chaos, to say the least.

As of today, as we go to print on this post, an uneasy truce on the proper protocol of BluRay delivery seems to be emerging Industry wide…for the moment at least. If you are going to screen your film on BluRay, you must provide at least a DVD back-up in case something goes wrong. Ideally, you should provide 2 BluRays, each of which have been tested, and a DVD back up as well. You still might experience screenings where your film will be stopped mid-stream, and replaced by one of the back-ups, but at least you won’t likely face the humiliation of a fully cancelled screening.

It’s hard to call this progress….but for the moment this is the price we are paying for digital evolution. The irony is…if BluRays were just a little cheaper than they currently are (generally somewhere between $10 – $40 each following an initial $300 – $500 investment), we might all dispense with attempting to traffic them completely, and just provide pristine BluRays for each screening (with somewhat less propensity for failure). This might solve some of the trafficking and delicacy issues, but this does not seem realistic for most filmmakers just yet, especially as so many other factors still come to bear. To be clear, the issues of BluRay unreliability are far more complex than just scratches and trafficking issues, so providing pristine BluRays to each booking will not solve all the issues, and DVD backup will still be necessary for the foreseeable future.

The further irony here is that DVDs, long since seen as less reliable although in all other ways preferable over the old VHS format, have now become the stalwart back-up to the BluRay…for even the traditional 5% failure rate for the DVDR format have become models of reliability as compared with the mercurial nature of the contemporary BluRay. Thankfully, today’s DVDs rarely fail in a pinch…

Where do we go from here?

When finishing a film in early 2013, filmmakers are now faced with the question of what delivery formats to create to meet delivery and exhibition demands. However, given the volatility of the current delivery landscape, it may be actually best to NOT commit to any particular exhibition format, and instead finish your film in a digital (hard-drive) format that you can keep as a master at a trusted lab for future needs down the road. It is advisable to have your film in the most flexible format possible, until you are forced by circumstance to deliver a specific format for a specific purpose.

The most flexible and useful format to initiate most exhibition/delivery formats at the moment is the Apple ProRes 422 digital file. Apple ProRes is a line of intermediate codecs, which means they are intended for use during video editing, and not for practical end-user viewing. The benefit of an intermediate codec is that it retains higher quality than end-user codecs while still requiring much less expensive disk systems compared to uncompressed video. It is comparable to Avid’s DNxHD codec or CineForm who offer similar bitrates which are also intended to be used as intermediate codecs. ProRes 422 is a DCT based intra-frame-only codec and is therefore simpler to decode than distribution-oriented formats like H.264.

From your ProRes 422 file, you will be able to make any format you need for today’s distribution landscape….from DCPs and BluRays to HDCAMs and any digital files you may need for platform distribution worldwide. This makes it ideal as an intermediary format as you consider your next steps forward.

In 2013, the needs of your exhibition formats and delivery formats will likely be determined by how successful your film turns out to be. If your film turns out to be truly theatrical, you will likely need a combination of DCPs and HDCAMs and BluRays to meet the demands. But if your film turns out to have limited public exhibition applications, then perhaps a mix of BluRays, DVDs, and digital files may be all you need. Rather than make those decisions in advance, we recommend you pursue a delivery strategy that lets the marketplace make those decisions for you.

In 2013, these delivery strategies will be impacted by the rate of technological development, just as they were in 2012. For the time being, it seems to wisest to counsel that we not get ahead of ourselves, and deliver films as a ProRes 422 file available for quick turnaround at a trusted lab with multi-format output capacity. From there, we can be assured of the ability to take our opportunities whenever and wherever they may lead us.

January 7th, 2013

Posted In: Digital Distribution, Distribution, Theatrical

Tags: , , , , , , , , , , , , ,


by Bryan Glick

Sandwiched in between SXSW and Cannes, it is very easy to dismiss or overlook the Tribeca Film Festival. Yet, last year’s crop of films included the world premieres of two of the highest grossing documentaries of 2012 Bully and Jiro Dreams of Sushi.  However, most buyers seemed much more hesitant to strike this year.

Part of the issue is that Tribeca Films went all out acquiring The Giant Mechanical Man (starring Jenna Fischer and Chris Messina), Sleepless Night (France, estimated budget €2.5m) Struck By Lightning (with Christina Hendricks and Dermot Mulroney), Booker’s Place: A Mississippi Story (documentary), War Witch (Canada, estimated budget $3.5m), Resolution (estimated budget $1m), Side By Side (documentaryproduced by Keanu Reeves and Death of a Superhero (Germany/Ireland, estimated budget €3.8m) (The latter two premiered at Berlin and TIFF), so most major buyers settled for one title or none at all.

Outside of Tribeca Films, Sundance Selects and IFC Midnight were among the most active buyers. The latter took US rights to the world premiere Replicas (Canada with Selma Blair and Joshua Close and US and UK rights for As Luck Would Have It (Spain with Salma Hayek which premiered at Berlin.  Meanwhile, their sister division, Sundance Selects, went for North and Latin America, UK, and Scandinavia rights to  The Flat (Germany, documentary) and also grabbed the best narrative film winner Una Noche (US/UK/Cuba with Dariel Arrechaga) for North America.  In addition, the fest also hosted the North American premiere of Beyond the Hills (Romania)  which they acquired out of Berlin.  IFC got in the game with US rights for Knife Fight (Sweden with Jennifer Morrison and Carrie-Anne Moss, estimated budget $7m).

The only other distributor to acquire multiple films was Film Buff. They secured digital distribution rights to Knuckleball! (documentary) and US rights to The Russian Winter (US/Russia, documentary)
The star studded Revenge for Jolly (with Elijah Wood, Ryan Phillippe & Kristen Wiig) got US and Canada covered courtesy of Sony Pictures Worldwide and the festival award winning The Revisionaries (documentarywas acquired for North America by Kino Lorber.  Cinedigm continued its banner year with US rights to Don’t Stop Believin’: Everyman’s Journey (documentary about the band Journey who hired their new lead singer via Youtube). Another company making their presence known was, Entertainment One, who couldn’t resist getting  North American rights for Freaky Deaky (with Christian Slater, Crispin Glover and Michael Jai White, estimated budget $10m). Meanwhile, Strand Releasing paid six figures for North American rights to Yossi (Israel, estimated production budget $500K), continuing a very effective partnership with the popular Israeli filmmaker Eytan Fox. Other films to sell include Whole Lotta Sole (UK, with Brendan Fraser and Colm Meaney) which went to Arc for near seven figures, Room 514 (Israel) was bought for North America theatrical by Film Movement, and Unit 7 (Spain, estimated budget €3.5m which sold for US Pay TV and VOD to HBO.

Presently, the Tribeca festival arguably does a better job serving as a platform for films that have already been seen elsewhere or have distribution in place. Films that had North American or world premieres, but were bought before the fest include Magnolia’s Jack and Diane (with Juno Temple and Kylie Minogue), a partnership that featured sports themed documentaries sponsored by ESPN Films with Broke, Benji, and Town of Runners,  The HBO Doc release One Nation Under Dog, the Netflix exclusive documentary The Zen of Bennett (about singer Tony Bennett), Cinema Guild’s “Planet of Snail (Finland/Japan/Korea),  and Fox Searchlight’s box office bomb Lola Versus (with Greta Gerwig and Bill Pullman) which to date has grossed just barely over $250,000 theatrically in North America. Two special release docs Wagner’s Dream (NCM Fathom Events) and Queen: Days of Our Lives (Eagle Rock Entertainment) were also a part of the slate. Another film to sell before the festival was the Morgan Spurlock documentary Mansome, which Paladin acquired for US Theatrical. It has since grossed a very wimpy $36,280 showing that the days of, “Super Size Me” have long since passed.

This Keanu Reeves produced doc opened last week

FINAL THOUGHTS: Several of these deals have only taken place in the past few weeks (though the fest was back in April) and there were fewer than five deals to report during the festival. There is still a lot of value to screening at Tribeca, but it seems it serves more as a pre-launch into the Cannes market. With Tribeca Films buying so many films both before and after the festival, it raises the question of what is there for other buyers? They have also yet to have a film that has broken out both theatrically and on VOD though “Struck by Lightning” has real potential to do strong business.

Conspicuously absent this year was Magnolia Pictures, Oscilloscope, and The Weinstein Company. All of them are based in Manhattan and TWC and Magnolia struck documentary gold with films they bought at last year’s festival. It is doubtful that any of them would jump into the fray at this point, but it does seem to hint that the commercial prospects for films this year at the festival were not perceived to match those of last year’s slate. The festival still has to figure out how to excite the industry in NYC and convince them that they should go to a festival in their own town.

All that said though, the amount of deals shows that the festival is an increasingly good alternative to Sundance and potentially even SXSW.

ADDITIONAL FESTIVAL DEALS
Since the last blog posts about SXSW and Sundance there are a few more deals to report and some DIY movement.

-Sundance saw a number of films announce deals or DIY  plans in the past month.

-Wolfe Releasing secured US DVD/VOD rights to the Sundance documentary Love Free or Die.  In addition and in partnership with Wolfe, Kino Lorber will handle the film for educational/non-theatrical screenings. It will have its television premiere on PBS stations nationwide as part of the series “Independent Lens.”

– Fellow US Documentary competition title A Place At The Table (It was called “Finding North” At Sundance) was acquired for the US by Magnolia Pictures. They will release in partnership with Participant Media. The deal was negotiated by Josh Braun of Submarine Entertainment.

-Drafthouse films went for Wrong and will release the film in North America in 2013. It is only the third World Dramatic film to get distribution in the states from this years festival.

-Kimstim Films will be releasing Bestiaire theatrically starting October 19th. This makes it the second of the New Frontier films to secure a theatrical release this year.

-Grand Jury Prize winning documentary The House I Live In will be released theatrically by Abramorama with guidance by Cinetic. Snag films has acquired domestic distribution rights to the film.

-Earlier this month, world documentary competition film Big Boys Gone Bananas did a DIY theatrical, Oscar qualifying run in NY and LA.

There are still over two dozen films from this year’s Sundance that have yet to sell or establish DIY distribution. Of those, almost half were in the world dramatic competition section. Still, when compared to other film festivals, its sales numbers are fantastic! Over ¾ of the films that premiered at the festival this year have been acquired or announced plans for DIY distribution.

On the SXSW front, IFC Midnight decided to stick its teeth into The Jeffrey Dahmer Files (Formerly called “Jeff”). They acquired both North American and UK rights. The deal was negotiated by Submarine Entertainment.  Producers Distribution Agency is betting on Brooklyn Castle which they will release in the US October 19th. Based on how their first three features The Way (BO gross $4.4m), Exit Through the Gift Shop (BO gross $3.2m) and Senna (BO gross $1.6m did this should be one of, if not the highest grossing film to come out of SXSW.  Finally, Tribeca Films could not say no to Somebody Up There Likes Me (with Nick Offerman). They took North American rights to the SXSW world premiere. The deal was negotiated by Gray Krauss Stratford Des Rochers LLP. Snag Films continues its best of fest approach and acquired domestic distribution rights to Grand Jury Prize documentary Beware of Mr. Baker Abramorama is handling the theatrical.

A full list of sales deals from Tribeca is listed below. Box office grosses and release dates are current as of August 19th.

 

Film Company Territories Sales Company Box Office/
Release Date
As Luck Would Have It IFC Midnight US and UK Premiered at Berlin
Benji ESPN Films PRE FEST
Beyond the Hills Sundance Selects North America Wild Bunch
Booker’s Place: A Mississippi Story Tribeca Films North America Greenberg Traurig, LLP
Broke ESPN FILMS PRE FEST
Death of a Superhero Tribeca Films              $607
Don’t Stop Believin’: Everyman’s Journey Cinedigm US
Évocateur: The Morton Downey Jr. Movie Magnolia US Submarine Entertainment
Freaky Deaky Entertainment One North America Paradigm
Jack and Diane Magnolia Pictures Worldwide
Knife Fight IFC US WME INDEPENDENT
Knuckleball Filmbuff Digital Distribution Rights        September
let fury have the hour paladin
lola versus fox searchlight acquired pre fest $252603
Mansome Paladin US Theatrical $36,280
One Nation Under Dog HBO Doc Films PRE FEST DEVELOPED
Planet of Snail Cinema Guild US Bought out of IDFA $7978
Queen: days of our lives Eagle Rock Entertainment PRE FEST ALREADY ON DVD
Replicas IFC Midnight US Turtles Crossing LLC
Resolution Tribeca Films North America XYZ Films
Revenge For Jolly Sony Worldwide US and Canada UTA Independent Film Group
Room 514 Film Movement North America
Side By Side Tribeca Films North America Justin Szlasa and attorney Marc Simon $6956
Sleepless Night Tribeca Films US Bac Films
Struck By Lightning Tribeca Films US Traction Media and ICM Partners
The Flat Sundance Selects North/Latin America, UK, Scandinavia
The Giant Mechanical Man Tribeca Films US $7,396
The Russian Winter Film Buff US
The Visionaries Kino Lorber North America            October
The Zen of Bennett Netflix  Exclusive bought Pre fest
Town of Runners ESPN Films PRE FEST
Una Noche Sundance Selects North America
Unit 7 HBO US Pay TV and VOD Vicente Canales’ Film Factory
Wagner’s Dream NCM Fathom Events and the Met Screened with The Ring Cycle in May
War Witch Tribeca Films US Premiered at Berlin
Whole Lotta Sole Arc US
Yossi Strand North America Films Distribution partner Nicolas Brigaud-Robert

 

NB: In an effort to put these  films in a useable context for filmmakers/investors/distributors, we have provided information (when available) on country of origin, notable names involved, and estimated production budget. From this information, one can see where the sales trends seemed to be at the festival.

August 22nd, 2012

Posted In: Distribution, Film Festivals, Theatrical

Tags: , , , , , , , , , ,


This article first appeared on the Sundance Artist Services blog on August 13, 2012

written by  Bryan Glick with assistance from Sheri Candler and Orly Ravid

Indie Game: The Movie has quickly developed a name not just as a must-see documentary but also as a film pioneer in the world of distribution. Recently, I had a Skype chat with Co-directors James Swirsky and Lisanne Pajot . The documentary darlings talked about their indie film and its truly indie journey to audiences.

Swirsky and Pajot did corporate commercial work together for five years and that eventually blossomed into doing their first feature. “We thought it would take one year, but it ended up taking two. I can’t imagine working another way, we have a wonderful overlapping and complimentary skill set, ” said Pajot. “We both edited this film, we both shot this film. It creates this really fluid organic way of working. It’s kind of the result of 5 or 6 years of working together. I don’t think you could get a two person team doing an independent film working like we did on day one. It’s stressful at times but the benefits are absolutely fantastic, ” said Swirsky.

According to Swirsky, Kickstarter covered 40% of the budget. “We used it to ‘kickstart’, we asked for $15000 on our first campaign which we knew would not make the film, but it really got things going. The rest of the budget was us, personal savings.”  The team used Kickstarter twice; the first in 2010 asking for $15,000 and ended up with $23,341 with 297 backers. On the second campaign in 2011, they asked for $35,000 and raised $71,335 with 1,559 backers.

The hard work, dedication, and talent paid off. Indie Game: The Movie was selected to premiere in the World Documentary Competition section at the 2012 Sundance Film Festival winning Pajot and Swirsky the World Cinema Documentary Film Editing Award . “[Sundance] speaks to the independent spirit. It’s kind of the best fit, the dream fit for the film. Just being a filmmaker you want to premiere your film at Sundance. That’s where you hear about your heroes,” noted Swirsky. “Never before in our entire careers have we felt so incredibly supported…They know how to treat you right and not just logistics, it’s more ‘we want to help you with this project and help you next time.’ It was overwhelming because we’ve never had that. We’ve just never been exposed that,” interjected Pajot

They hired a sales agent upon their acceptance into Sundance and the film generated tons of buzz before it arrived at the festival resulting in a sales frenzy. The filmmakers wanted a simultaneous worldwide digital release,  but theatrical distributors weren’t willing to give up digital rights so they opted for a self release. “There were a lot of offers, they approached us to purchase various rights. We felt we needed to get it out fairly quickly and in the digital way. A lot of the deals we turned down were in a little more of the traditional route. None of them ended up being a great fit,” said Pajot.

Several people were stunned when this indie doc about indie videogame developers opted to sell their film for remake rights to Scott Rudin and HBO. Pajot explained, “He saw the trailer and reached out a week or so before Sundance. That was sort of out of left field because it wasn’t something we were pursuing.” Swirsky added, “They optioned to potentially turn the concept into a TV show about game development…As a person who watches stuff on TV, I want this to exist. I want to see what these guys do with it.” The deal still left the door open for a more typical theatrical release. However that was only the start of their plan.

“We had spoken to Gary Hustwit (Helvetica). We sort of have an understanding of how he organized his own tours. We had to make our decision whether that was something we wanted to utilize. Five days after Sundance, we decided we would and were on the road 2 weeks after… Before Sundance this was how we envisioned rolling out…[We looked at] Kevin Smith and Louis C.K. and what they’re doing. We are not those guys and we don’t have that audience, but knowing core audience is out there, doing this made sense,” said Swirsky.

Lisanne Pajot and James Swirsky

They proceeded to go on a multi-city promotional tour starting with seven dates and so far they have had 15 special events screenings of which 13 were sold out! This is separate from 37 theaters across Canada doing a one night only event. They also settled on a small theatrical release in NYC and LA.  When talking about the theaters and booking, they said theaters saw the sellout screenings and that prompted interest despite the fact that the film was in digital release. They accomplish all of this with a thrifty mindset. “P&A was not a budgetary item we put aside and if an investment was required, we would dip into pre orders. We didn’t put aside a marketing budget for it,” said Swirsky. Regarding the pre order revenue, they sold a cool $150,000 in DVD pre-orders in the lead up to release of the film. From this money, they funded their theatrical tour.

While the theatrical release was small, it generated solid enough numbers to get held over in multiple cities and provided for vital word of mouth that will ultimately make the film profitable. The grosses were only reported for their opening weekend, but they continued to pack the houses in later weeks.”I don’t look back at the box office. The tour was more profitable than the theatrical…They both have the benefits, having theatrical it gets a broader audience. It was more a commercial thing than box office,” said Swirsky. “We are still getting inquiries from theaters. They still want to book it despite the fact it’s out there digitally,” said Pajot. “We had this sort of hype machine happening. We didn’t put out advertising. Everything was through our mailing that started with the 300 on our first Kickstarter and through Twitter,” said Swirsky. Now the team has over 20,000 people on their mailing list and over 10,000 Twitter followers.  In order to keep this word of mouth and enthusiasm going, the filmmakers released 88 minutes of exclusive content – most of which didn’t make the final cut – to their funders, took creative suggestions from their online forum and sent out updates on the games the subjects of their film were developing over the course of the two years the film was in production.

Following the success the film has enjoyed in various settings, Indie Game: The Movie premiered on three different digital distribution platforms. If you were to try and guess what they were though, you would most likely only get one right. While, it is available on the standard iTunes, the other two means of access are much more experimental and particularly appropriate for this doc.

It is only the second film to be distributed by VHX as a direct DRM-free download courtesy of their, ‘VHX For Artists‘ platform. Finally, this film is reaching gamers directly through Steam which is a video game distribution platform run by Valve. This sterling doc is also only the second film to be sold through the video game service, where it was able to be pre-ordered for $8.99 as opposed to the $9.99 it costs across all platforms. This is perhaps the perfect example of the changing landscape of independent film distribution. Every film has a potential niche and most of these can arguably be reached more effectively through means outside the standard distribution model. Why should a fan of couponing have to go through hundreds of films on Netflix before even finding out a documentary about couponing exists, when it could be promoted on a couponing website?

As they are going into uncharted territory, both Pajot and Swirsky avoided making any bold predictions.”It’s just wait and see. It’s an experiment because we’re the first movie on Steam. We’re really interested to look at and talk about in the future. I don’t want to make predictions…I do think documentary lends itself to that kind of marketing though. We’re trying to not just be niche but there is power in that core audience. They are very easy to find online,” said Swirsky.

Just because they are pursuing a bold strategy doesn’t mean they were any less cost conscious. “The VHX stuff, it was a collaboration, so there were no huge costs. Basically subtitles, a little publicity costs from Von Murphy PR and Strategy PR who helped us with theatrical. Those guys made sense to bring on,” said Pajot. “A lot of our costs were taken up by volunteers. If they help us do subtitles, they can have a ticket event, a screening in their country,” added Swirsky.

They also note that a large amount of their profit has been in pre-orders. 10,000 people have pre-ordered one of their three DVD options priced at $9.99, $24.99 and a special edition DVD for $69.99 tied with digital. While the film focused on a select few indie game developers, they interviewed 20 different developers and the additional footage is part of the Special Edition DVD/Blu-Ray. That might explain why it’s their highest seller.

All this doesn’t mean that any of the dozens of other options are no longer usable. Quite the contrary,  they have also taken advantage of the Sundance Artist Services affiliations to go on a number of more traditional digital sites. Increased views of a film even if on non traditional platforms can mean increased web searches and awareness and could be used to drive up sales on mainstay platforms.

The real winner though is ultimately the audience. For the majority of the world that doesn’t go to Sundance or Cannes each year, this is how they can discover small films that were made with them in mind. The HBO deal aside, this is bound to be one incredibly profitable documentary that introduces a whole new crowd to quality art-house cinema. “We are still booking community screenings. If people want to book, they can contact us…We are thinking maybe we might do another shorter tour at some point,” said Pajot.

Here’s to the independent film spirit, alive and well.

Update Feb 2013: The creators of Indie Game have written their own case study discussing the many tools and techniques they used. Head over to their website for the full study. 

August 16th, 2012

Posted In: Digital Distribution, Distribution, DIY, Film Festivals, iTunes, Marketing, Publicity, Theatrical

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By Bryan Glick

Just because you didn’t premiere at Sundance or Cannes doesn’t mean you’re out of luck. Though not living up to the sales quota of last year, there are two dozen premiere films from SXSW that have sold in the U.S. Here’s a wrap up of the film sales from SXSW.

Anchor Bay stuck with their niche and took North American rights to two midnight entries Girls Against Boys and The Aggression Scale, while Cinedigm (who recently acquired New Video) went for U.S. Rights to In Our Nature and the midnight audience award winner Citadel. Pre-fest buys include Crazy Eyes which went to Strand Releasing for the U.S.  and Blue Like Jazz courtesy of Roadside Attractions. Blue Like Jazz was promptly released and has since grossed close to $600,000 theatrically in North America.  Lionsgate is handling DVD, VOD, and TV through their output deal. Meanwhile Crazy Eyes just started its theatrical run on two screens pulling in a little under $5,000 in its first week.

Millennium Entertainment took the gross out comedy The Babymakers and yet another midnight film, The Tall Man was bought for the U.S. by Imagine.  If you’re a midnight film at SXSW, odds are things are looking up for you. The same could be said for The Narrative Spotlight section where two thirds of the films have since been acquired including The Do-Deca Pentathlon  taken by Red Flag Releasing and Fox Searchlight. Red Flag is handling the theatrical (The film grossed $10,000 in its opening weekend off of 8 screens) while Fox Searchlight will cover the other ancillary markets. The Narrative Spotlight Audience Award Winner, Fat Kid Rules the World was bought by Arc Entertainment for North America and Frankie Go Boom was the first film to reap the benefits of a partnership with Variance and Gravitas.  It will be released in the U.S. on VOD Platforms in September via Gravitas followed by a theatrical in October courtesy of Variance.

And though they did not premiere at SXSW, both Dreams of a Life and Electrick Children had their U.S. premieres at the festival and have since been bought.  U.S. rights to the documentary Dreams of a Life were acquired by Strand Releasing. Meanwhile, Electrick Children was snatched up for North America by Phase 4. Phase 4 also nabbed North American rights to See Girl Run.

Sony Pictures and Scott Rudin took remake rights to the crowd pleasing Brooklyn Castle while HBO acquired domestic TV rights to the doc The Central Park Effect.  Meanwhile, after showing their festival prowess with their success of last year’s breakout Weekend (which was sold by The Film Collaborative’s Co President, Orly Ravid), Sundance Selects proved they were not to be outdone and got the jury prize award winner Gimme The Loot for North and Latin America.  Fellow Narrative competition entry Gayby sold its U.S. rights to Wolfe Releasing, a low 6-figure deal. That deal was also negotiated by TFC’s Orly Ravid. And not to be outdone, competition entry, Starlet rounds out the Narrative Competition films to sell.  It was acquired for North America by Music Box Films.

S2BN Films’ Big Easy Express became the first feature film to launch globally on iTunes. It will be released in a DVD/Blu-Ray Combo pack on July 24th by Alliance Entertainment followed by a more traditional VOD/Theatrical rollout later this year.

Other key deals include Oscilloscope Laboratories acquiring North American Rights to Tchoupitoulas, Snag Films going for the US Rights of Decoding Deepak, Image Entertainment’s One Vision Entertainment Label aiming for a touchdown with  the North American rights to The Last Fall and Factory 25 partnering with Oscilloscope Labs for worldwide rights to Pavilion.

Final Thoughts:  Thus far less than one third of the films to premiere at SXSW have been acquired for some form of domestic distribution. While that may seem bleak, it is a far better track record than from most festivals.  In The U.S., SXSW is really second to only Sundance in getting your film out to the general public. The festival also takes a lot of music themed films and more experimental projects with each theme getting its own designated programming section at the festival. Those films were naturally far less likely to sell. The power players this year were certainly Anchor Bay and Cinedigm each taking multiple films that garnered press and/or have significant star power. Other companies with a strong presence and also securing multiple deals were Strand Releasing and Oscilloscope.  Notably absent though is Mark Cuban’s own Magnolia Pictures and IFC (Though their sister division Sundance Selects made a prime acquisition). Magnolia did screen Marley at the festival, but the title was acquired out of Berlin, and IFC bought Sleepwalk With Me at its Sundance premiere.

While it is great that these films will be released, it also worth mentioning what is clearly missing from this post. There is almost no mention of how much these films were acquired for. The fact is films at SXSW don’t sell for what films at Sundance do and it is safe to assume that the majority of these deals were less than six figures with almost nothing or nothing at all getting a seven figure deal.

As for the sales agents, Ben Weiss of Paradigm and Josh Braun of Submarine were working overtime, with each negotiating multiple deals.

SUNDANCE UPDATE: Since the last Sundance post, there have been two more films acquired for distribution. Both films premiered in the World Documentary Competition. The Ambassador negotiated successfully with Drafthouse Films who acquired U.S. rights for the film which will premiere on VOD August 4th followed by a small theatrical starting August 29th.  Also finding a home was A Law in These Parts which won the jury prize at this year’s festival.  Cinema Guild will be releasing the film in theaters in the U.S. starting on November 14th. 75% of the films in the World Documentary Competition now have some form of distribution in the US.

A full list of SXSW Sales deals from SXSW is listed below. Box office grosses and release dates are current as of July 12th.

Film COMPANY TERRITORIES SALES COMPANY Box Office/
Release
See Girl Run Phase 4 North America Katharyn Howe and Visit Films
Starlet Music Box Films North America Submarine
The Babymakers Millenium US John Sloss and Kavanaugh-Jones Theatrical Aug 3rd
DVD Sept 10th
Citadel Cinedigm US XYZ Films and
UTA Independent Film Group.
The Aggression Scale Anchor Bay North America Blu-ray/dvd Epic Pictures Group
Girls Against Boys Anchor Bay North America Paradigm
Tchoupitoulas Oscilloscope North America George Rush
Gimme The Loot Sundance Selects North and Latin America Submarine Entertainment
The Tall Man Image Entertainment US CAA and  Loeb & Loeb August 31st
Elektrick Children Phase 4 North America Katharyn Howe and Paradigm
Blue Like Jazz Roadside US The Panda Fund $595,018
Crazy Eyes Strand US Irwin Rappaport $4,305
In Our Nature Cinedigm US Rights Preferred Content
Brooklyn Castle Sony Pictures Remake Rights Cinetic Media
Scott Rudin
The Central Park Effect HBO US TV Submarine Entertainment
Gayby Wolfe US The Film Collaborative
The Do Decca Pentathlon Fox Searchlight North America Submarine Entertainment $10,000
Red Flag Releasing
Fat Kids Rules The World Arc Entertainment North America Paradigm
Decoding Deepak Snag Films US N/A October
Big Easy Express Alliance Entertainmnet Worldwide DVD/VOD Paradigm and S2BN July 24th DVD/Blu-Ray
Big Easy Express S2bn Worldwide Itunes Paradigm and S2BN Available Now
The Last Fall Image Entertainment North America N/A
Pavillion Factory 25 Worldwide N/A Jan
Oscilloscope Labs
Frankie Go Boom Gravitas US Rights Reder & Feig and Elsa Ramo VOD Sept
 Variance Theatrical Oct
Dreams of a Life Strand releasing US Rights eone films international Aug 3rd

 

July 18th, 2012

Posted In: Distribution, Film Festivals, Theatrical

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

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