The document provides an overview of key concepts related to film distribution, including: 1) It defines film distribution as everything that happens between production and exhibition, including acquiring legal rights, marketing, and releasing prints/files to cinemas and stores. 2) It discusses major distributors that control much of the industry through vertical and horizontal integration, as well as the top 5 distributors in the UK. 3) It explains important distribution concepts like local distribution, the advantages of major studios over independent producers, and the transition to digital distribution and projection.

1. Film
distribution
Learning Outcome:
-understand key terms
-to know what distribution
is
-how it occurs/works

2. Key terms
 Distribution
 Legal rights (to be shown)
 Box office
 British cinema
 Hollywood
 Ownership
 Vertical integration
 Horizontal integration
 Conglomerate
 Parent company
 Subsidiary company
 Marketing
 Above the line / below the line
 Premieres/screenings etc
 Synergy
 Local distribution
 Exhibition
 Cinema release
 Release dates

3. What is distribution?
 Film distribution describes everything that happens in between production (making
the film) and exhibition (people watching the film in cinema, DVD, television, via the
internet, a plane or anywhere else!)
 Distribution involves all the deals done to get the film shown including the
promotion.
Involves:
 Acquiring legal rights to show a film (+ownership)
 Distribution is about releasing and sustaining films in the market place
 Marketing and releasing the film
 Making and distribution of prints/files to cinemas
 Making and distribution of DVD/blue ray to stores

4. Film distributers
 Thekey players in film distribution are the
big companies which controls much of
the industry, control the distribution of their
own products, and of others
 Films are loaned out to cinemas for a set
amount of time
 release dates are secured
 a set number of screens and screen times

5. OWNERSHIP
Vertical/horizontal integration
Vertical Integration Horizontal Integration
The three stages are seen as part of the Distribution is a collaborative process,
same larger process, under the control of ( not conglomerate = multiple
one company (conglomerate – 1 large companies) requiring the materials and
institution) rights of the producer and the
cooperation of the exhibitor to promote
*control over ALL stages of production, and show the film
distribution, exhibition
*only control over some stages of
production and/or distribution and/or
exhibition
The parent company owns multiple The parent company owns multiple
companies across different stages of the companies at the same stage of the film
film industry. industry. A smaller company, owned by
the parent is a subsidiary.

6. Vertical/horizontal integration
Horizontal
Owned by parent company
Production Production Production
Vertical
Distribution
Owned by subsidiary company
Exhibition
Example of parent company: _____________________ _
Example of subsidiary company: ____________________

7. Types of distribution
MAJOR US STUDIO INDEPENDENT PRODUCER
Generally have their own By contrast, they have to sell
distribution offices in all the their films to different
major territories distributors in each territory

8. Film distributors in the UK
 5 major distributors dominate the UK film industry:
 United International Pictures
 Warner Brothers
 Buena Vista
 Twentieth Century Fox
 Sony
 Roughly 9/10 films seen in the UK are
distributed by the above companies
 *This does change from every few years…..

9. Local distribution
‘Local’ distribution
– one country
– not 90+ territories
-Cinema, DVD, TV rights
A local distributor will conventionally share profits equally with
the producer for the theatrical leg, pay back higher royalties
for broadcast rights, and lower for video/DVD
Different films made my different companies are
distributed differently:
-different parts of world (global vs local)
-different levels of distribution/exhibition (ex. Some not
go to cinema)

10. British film vs. American film
 Advantages
of American film/studios
compared with British film.
 American films has the same advantage
with the language.
 American studios have an enormous
capital (money/profit) at their disposal
 American film companies can afford to
take a risk- 1 in 9 films fail at the box office
 Why can they afford eight films to fail?

11. American film diet for British
 British film producers periodically experience
boom periods
 What do you think about now?
 What are successful British films? (Why?
 Although the British film industry attract a
large global audience, in Britain we
experience a large film diet of American films
 Why?
 Due to the popularity of Hollywood films in the UK, the
distribution of films into cinemas and DVDs into our shops in
dominated by US companies, who are clearly going to put their
money into their own products

12. Cinema release and legal
rights
 Film distribution has its own unique procedures
 Success or failure of a cinema release
determines how the DVD and TV releases will
be handled subsequently
 In the international film business, the rights to
screen a film are sold in respect of distinct
‘territories’ (such as the UK)

13. British film in America
 What do you think the advantage of British
films going to America and across the
world?
(Compare this with just being distributed in
Europe)
 America is geographically huge
 Americans and a number of countries
around the world speak English
 The size of the audience for a film is
potentially huge

14. Film distributors (small companies)
 What are the issues for smaller distribution
companies?
 They have to compete with the larger distributors for the bigger
films
 Being in digital age (new processes/equipment is £££)
 Every film shown in a cinema is a separate ‘print’ of the film
projected via a reel
 The major companies can afford to produce far more prints
than the smaller companies, knowing the expensive costs will be
will be worth it in relation to box office returns
 Small companies often support smaller films which might aim to
educate (not make lots of money but to enlighten audiences)
 A small company (producing a less commercial product) can
not afford to produce a lot of prints, so people who want to see
more alternative films often have to wait until their local
independent cinema has a print
 often little choice of where and when you see it!

15. Film distributors
 IN most cases these distributors have direct links to
Hollywood production companies that make the
films.
 They deal with exhibitors who are no longer (they used to be)
owned by the same Hollywood companies,
 but they (for reasons of profit) prioritise Hollywood films over
theirs
 Usually the blockbuster films we are familiar with are
distributed via ‘blanket release’, so even if a small UK
independent company manages to get its product
into cinemas it is usually competing for attention with
one or more films that take on the status of an
‘event’
 One of the outcomes of the distribution arrangement
outlined above is that half of the films released in
Britain do not reach the whole country

16. Release dates
Things to consider Answer
What is the aim of most films?
Who releases them?
When is it the best time to release
films?
How do they do it?

17. Release dates
Things to consider Answer
To make the highest amount of
What is the aim of most films? money from the largest audience (at
box office)
Who releases them? Distribtors
Film Distributors Association – oversee
process
10 releases a week
When is it the best time to release Fridays/weekends (when people go out)
films for optimum success? Seasons (valentines, Halloween, Christmas)
In relation to other released
Near (before) Oscars
How do they do it? Marketing/promotional campaigns
(most expensive part!)

18. Marketing/promotion
 Why is this important to the film industry?
 To make return (money back which was invested for
production)
 To make return on distribution costs (prints)
 A Hollywood blockbuster is released ‘wide’ with one or more prints sent to each
multiplex. Typically 400-500 prints, each costing £1000. So, a significant investment
 To make more income (profit) at box office and from
merchandise
 The wide release of a film depends on a blanket of
promotional and advertising coverage for the first
weekend (or more) to create a ‘buzz’ about the film.
 Some big films are advertised months before release…..

19. Marketing
 Think of all the ways films are marketed (a way to get people to consume/buy):
 *consider above the line/below the line….

20. Above/below the line marketing/advertising
 ‘Above the line’ advertising which will be funded
as part of the project
 Trailers
 billboards
 various other spin offs e.g. McDonalds happy meal
toys and in house promotion of the film.
 ‘Below the line’ publicity which is not paid for but
generates mutual interest
 an interview with a magazine or newspaper or
reviews (any positive reviews will obviously help the
promotion of the film although any bad publicity will
obviously have an impact on the film

21. Marketing (advertising)
 Posters
 Adverts in……… newspapers, magazines, billboards, poster outside on telephone boxes, buses, taxi etc……intunes/netflix etc)
 Trailers (often free to TV & radio stations)
 TV (commercials)
 Radio
 Online
 Pop ups
 YouTube
 Social Media: facebook, twitter etc
 Films (in cinema)
 Films (beginning of DVD)
 Preview of part of film (like first 8 minutes online)
 Non traditional promotion
 Viral videos………….competitions/games/voting etc (usually through social media)
 Film premieres (stars turn up….hold interviews, sign autographs etc)
 Advance public screenings (sometimes competitions)
 A distributor will consider the use of advance public screenings to create word-of-mouth and advance 'buzz' around a film.
 Interviews with big stars and directors (as they are often setting points of big films)
 Award ceremonies (film festivals etc)
 Film website
 Pre-orders (on iTunes)
 Synergies
 Products with other companies (etc Mobile phone (James Bond)…..burger king (Transformers)….)
 With TV shows (X-factor will film/show the films premiere)
 Preview screenings for journalists/critics (able to write/talk about them = passes down…..)
 Pre release campaigns (Many independent distributors in particular do not have press departments, and will consequently hire a press
agency to run a pre-release campaign)
 Which are Above the Line/Below the Line?

22. Life of marketing
Remember that marketing isn’t just BEFORE the film is released
 To sell DVD
 To sell downloads
 Often the selling points of these is the success in cinemas!
 Re-release (Example – titanic)
 To sell on iTunes (sales such as .99p ……or part of packages)
 Reason to buy netflix/lovefilm etc.
 Of course to sell merchandise too…..clothing…..toys…….video
games etc.

23. Prints
 It is called ‘film’ because this used to be shot on FILM
 Cameras have film reels
 Prints were made to show in cinemas
 Just recently, the industry has moved to digital distribution and digital projection/exhibition
 However, prints still exist
 To show in smaller towns/cities that don’t have digital capabilities
 To show in traditional cinemas that still believe in and celebrate the old tradition of classic filmmaking
 Financially, only massive films with massive budgets can afford to create prints (and digital)
MAKE 35mm (the size of the actual film reel)
COST £1000.00 per print
HOW SHOWN Hired by exhibitor

24. Disadvantages of prints
 What do you think?

25. Disadvantages of prints
Disadvantages
Expensive to make
Expensive to store (very big)
Expensive and difficult to transport
Makes showing time longer
(if only make 100 prints, only 100 cinemas can show it)
Very fragile, easily damaged
Wear and tear = get damage the more used/watched
Wasteful (get thrown away to view)

26. Digital distribution & projection
 It is likely the film is firstly shot on digital cameras and
therefore editing in digital software programs
(production)
 Digital projection, especially when married to the
increasing use digital formats in production, can now
replicate - if not surpass - the image quality of
conventional 35mm cinema presentation
 The compressed and encrypted files sent directly to
cinemas to be downloaded, de-encrypted
(unlocked) and opened as files for screening with
digital projection equipment.

27. Digital distribution & projection
ADVANTAGES DISADVANTAGES
Cheaper (no prints)
Instant transportation as the Piracy
files are sent electronically
(not long like transferring
prints)
Able to make money faster Films are likely to be more
commercial/mainstream
(preventing the promotion
of independent cinema)
The shortened first-run period
will allow distributors to
release on DVD earlier

28. Digital Screen Network
 DSN sites supports new facilities
 in 211 screens across the country (out of a
total of just over 3,300)
 small but important step change towards
full digital cinema

29. The Exhibitors (cinema chains) in 2004:
Cinema Chain Number of
screens
Odeon/ UCI 930
Cine UK and UGC 780
Vue 580
Showcase 250
Others 1000
Only Showcase remains in American hands, but all the other chains are
deeply committed to distributing American films.

30. Film distribution
 Consider what the following quote
means:
 If you break it down and look at it as a
business then the audience has the greatest
power.
It’s the audience who likes a particular
superstar, then Hollywood is forced to use
the superstar and that star then becomes
extremely powerful.
 What does this mean?

31. Film distribution
 Consider the next quote:
 In a world where money spent in the budget of a
film often sees 50% going on promotion as
opposed to what you actually see on the screen,
the idea that we have a world where the consumer
can exercise authority is absurd.
 This industry is like any other. Of course it has to
see things but it doesn’t rely on waiting, listening ,
responding to an audiences want and then
delivering that to them.
 It relies on knowing which parts of the world and
the media need its products and will pay for them.
 What does this mean?

32. Questions about quotes
 Which person is right?
 Does market forces give the consumer more power and choice
and thus influence what we want is what is being made for us to
buy?
 Or does it actually convince us that what we want is being made
for us?
 Do millions of people go and see Pirates of the Caribbean 2 in the
first week of release because,
 A) its expected to be as good if not better than the previous film,
 B) because it has had good marketing?
 C) or both?

33. RED YELLOW GREEN
Key terms
 Distribution
 Legal rights (to be shown)
 Box office
 British cinema
 Hollywood
 Ownership
 Vertical integration
 Horizontal integration
 Conglomerate
 Parent company
 Subsidiary company
 Marketing
 Above the line / below the line
 Premieres/screenings etc
 Synergy
 Local distribution
 Exhibition
 Cinema release
 Release dates

34. Homework – Due next Thur
 1) Researching the life of a film (partner
task) ……..(instructions on paper)
 2) Revise slides (&key terms) from Thur/Fri