SlideShare a Scribd company logo
Why Smart Moviegoing™
• Ticket price is the number one variable for moviegoing
choices, based on the great amount of available
entertainment possibilities and accessibility to content due to
digital disruption: unsold theatrical inventory averages 70%
– “We explore the justifications for uniform pricing in the industry and show
their limitations. We conclude that exhibitors could increase profits by
engaging in variable pricing (…)” – B. Orbach, L. Einav (2007)
– “This is a pricing model which makes no sense, and I believe the entire
industry should revisit it.” – E. Bronfman Jr., CEO of Seagram (Universal’s
parent company) (1998)
– “The exhibitors generally consider demand to be relatively inelastic. The
question is whether they have tested this hypothesis with price changes for
films of different quality.” – Conant (1981)
© 2017 FlexyMovies - Smart Moviegoing™ 2
Innovation in film distribution
3© 2017 FlexyMovies - Smart Moviegoing™
Consumer as
center of
moviegoing
experience
Moviegoer
Offering new
solutions to
enhance the
moviegoing
experience
Strategy is
devised
according to
each film’s
target audience
and business
plan
As a result
distributors and
exhibitors enjoy
higher attendance
and revenue
Solutions
© 2017 FlexyMovies - Smart Moviegoing™ 4
FlexyMovies
Smart Moviegoing™
FlexyMovies
PASS
FlexyMovies
DEALS
FlexyMovies
TOD
FlexyMovies
PREMIUM
VOD
FlexyMovies DEALS
‘How much are you willing to pay?’
• Moviegoer will enjoy reduced price and rewards,
using either actual currency or FlexyCoins™ if she
pre-purchases up to 24 hours in advance
• Then 2 hours before the show, the price will be
dynamic again depending upon seats availability:
reduced if inventory is substantially stable, higher
if only 10% of seats are empty
© 2017 FlexyMovies - Smart Moviegoing™ 5
Goal
 To incentivize advance purchases
 To lower the risk for distributors and stabilize attendance
 Particularly effective for event theatrical releases
FlexyMovies PASS
‘Go see it now in theatres’
• Content is released in partnership with a
subscription-based service in advance or
exclusively and therefore the ticket is paid for
by the service itself and free of charge for the
moviegoer
© 2017 FlexyMovies - Smart Moviegoing™ 6
Goal
 To access to a large number of subscribers with high likelihood to
go see the film
 To access to big data concerning moviegoing for a specific film
and utilize throughout the following windows
FlexyMovies TOD
‘Get the movie you want at your local theatre’
• Moviegoers can pick the movie they want to
see and promote an event at their favorite
locale theatre
• The screening kicks in once and only if enough
people reserve their seats
© 2017 FlexyMovies - Smart Moviegoing™ 7
Goal
 To increase accessibility to content in theatres
 To exploit niche markets
 To optimize distribution measures such as per screen average
FlexyMovies PREMIUM VOD
‘Just watch it now’
• Moviegoer is able to watch the content she wants
wherever and whenever she wants
• How? Digital day-and-date not only for limited and
platform releases using geoblocking but also Premium
VOD for wide releases
• Part of the revenue goes to theatres where the content
is still available
© 2017 FlexyMovies - Smart Moviegoing™ 8
Goal
 To increase accessibility to content
 To reduce piracy significantly
 To increase revenue in the black window
Case history 1
• First ever digital TVOD-theatrical day-and-date
releases in Italy: optimized marketing &
distribution spending
© 2017 FlexyMovies - Smart Moviegoing™ 9
Main partners:
Case history 2
• High grossing TOD releases in the United States:
– ‘Awake: The Life of Yogananda’
• 39,000+ tickets sold, 104 avg / screening
• $400k gross box office, 350+ screenings
– ‘Beyond the Mask’
• 74,000+ tickets sold, 112 avg/screening
• $750k+ gross box office, 650+ screenings
– ‘I Am Eleven’
• 19,000+ tickets sold, 134 avg/screening
• $210k gross box office, 140+ screenings
– ‘Girl Rising’
• Gathr Box office gross $1.75 Million
• 900+ Gathr screenings
• 160 avg. tickets per screening
• 145K+ Tickets Reserved
© 2017 FlexyMovies - Smart Moviegoing™ 10
Main partners:
Case history 3
• New models: dynamic pricing, Pass, PVOD
© 2017 FlexyMovies - Smart Moviegoing™ 11
Dynamic pricing
Well-known property, established fanbase
• $13k psa opening, widest: 37 theatres
• Total b.o. $725k, in release for 10 weeks
• Reward: paperback copy of book
Pass
Sundance hit, LA-based core audience, filmmakers community,
in target with MoviePass and Sinemia
• First week exclusive for MoviePass and Sinemia holders
• $15k psa opening, in release for 15 weeks, total b.o. $700k
PVOD
Festival hit, highly anticipated, great reviews,
mature target audience willing to pay for quality
content
Day-and-date at premium price in UHD more than
covered slightly impacted opening and final b.o.
$500k
Case history 4
• More art-house and genre event / limited /
platform releases in the United States and UK
© 2017 FlexyMovies - Smart Moviegoing™ 12
‘Dough’: $1.2M US b.o.
‘The Women’s Balcony’: $1.2M US b.o.
Main partner:
‘Kids in Love’: best UK
digital seller for 2
weeks
‘ROTF II’: top 50 UK
digital of 2016
Main partner:
Main partner:
‘The Salesman’: $2.4M US b.o. and Oscar for Best Foreign Language
‘Mustang’: $800k US b.o. And Oscar nominated
Case history 5
• Development, business planning, project
analysis and evaluation, marketing and festival
strategy, international sales and distribution
© 2017 FlexyMovies - Smart Moviegoing™ 13
Videos
• Smart Moviegoing™
• Talk ‘Cinema on Demand’
• Interview at LFF17
• Showreel
www.flexymovies.com
E: info@flexymovies.com
© 2017 FlexyMovies - Smart Moviegoing™ 14

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FlexyMovies™: the Smart Moviegoing™ audience-oriented approach

  • 1.
  • 2. Why Smart Moviegoing™ • Ticket price is the number one variable for moviegoing choices, based on the great amount of available entertainment possibilities and accessibility to content due to digital disruption: unsold theatrical inventory averages 70% – “We explore the justifications for uniform pricing in the industry and show their limitations. We conclude that exhibitors could increase profits by engaging in variable pricing (…)” – B. Orbach, L. Einav (2007) – “This is a pricing model which makes no sense, and I believe the entire industry should revisit it.” – E. Bronfman Jr., CEO of Seagram (Universal’s parent company) (1998) – “The exhibitors generally consider demand to be relatively inelastic. The question is whether they have tested this hypothesis with price changes for films of different quality.” – Conant (1981) © 2017 FlexyMovies - Smart Moviegoing™ 2
  • 3. Innovation in film distribution 3© 2017 FlexyMovies - Smart Moviegoing™ Consumer as center of moviegoing experience Moviegoer Offering new solutions to enhance the moviegoing experience Strategy is devised according to each film’s target audience and business plan As a result distributors and exhibitors enjoy higher attendance and revenue
  • 4. Solutions © 2017 FlexyMovies - Smart Moviegoing™ 4 FlexyMovies Smart Moviegoing™ FlexyMovies PASS FlexyMovies DEALS FlexyMovies TOD FlexyMovies PREMIUM VOD
  • 5. FlexyMovies DEALS ‘How much are you willing to pay?’ • Moviegoer will enjoy reduced price and rewards, using either actual currency or FlexyCoins™ if she pre-purchases up to 24 hours in advance • Then 2 hours before the show, the price will be dynamic again depending upon seats availability: reduced if inventory is substantially stable, higher if only 10% of seats are empty © 2017 FlexyMovies - Smart Moviegoing™ 5 Goal  To incentivize advance purchases  To lower the risk for distributors and stabilize attendance  Particularly effective for event theatrical releases
  • 6. FlexyMovies PASS ‘Go see it now in theatres’ • Content is released in partnership with a subscription-based service in advance or exclusively and therefore the ticket is paid for by the service itself and free of charge for the moviegoer © 2017 FlexyMovies - Smart Moviegoing™ 6 Goal  To access to a large number of subscribers with high likelihood to go see the film  To access to big data concerning moviegoing for a specific film and utilize throughout the following windows
  • 7. FlexyMovies TOD ‘Get the movie you want at your local theatre’ • Moviegoers can pick the movie they want to see and promote an event at their favorite locale theatre • The screening kicks in once and only if enough people reserve their seats © 2017 FlexyMovies - Smart Moviegoing™ 7 Goal  To increase accessibility to content in theatres  To exploit niche markets  To optimize distribution measures such as per screen average
  • 8. FlexyMovies PREMIUM VOD ‘Just watch it now’ • Moviegoer is able to watch the content she wants wherever and whenever she wants • How? Digital day-and-date not only for limited and platform releases using geoblocking but also Premium VOD for wide releases • Part of the revenue goes to theatres where the content is still available © 2017 FlexyMovies - Smart Moviegoing™ 8 Goal  To increase accessibility to content  To reduce piracy significantly  To increase revenue in the black window
  • 9. Case history 1 • First ever digital TVOD-theatrical day-and-date releases in Italy: optimized marketing & distribution spending © 2017 FlexyMovies - Smart Moviegoing™ 9 Main partners:
  • 10. Case history 2 • High grossing TOD releases in the United States: – ‘Awake: The Life of Yogananda’ • 39,000+ tickets sold, 104 avg / screening • $400k gross box office, 350+ screenings – ‘Beyond the Mask’ • 74,000+ tickets sold, 112 avg/screening • $750k+ gross box office, 650+ screenings – ‘I Am Eleven’ • 19,000+ tickets sold, 134 avg/screening • $210k gross box office, 140+ screenings – ‘Girl Rising’ • Gathr Box office gross $1.75 Million • 900+ Gathr screenings • 160 avg. tickets per screening • 145K+ Tickets Reserved © 2017 FlexyMovies - Smart Moviegoing™ 10 Main partners:
  • 11. Case history 3 • New models: dynamic pricing, Pass, PVOD © 2017 FlexyMovies - Smart Moviegoing™ 11 Dynamic pricing Well-known property, established fanbase • $13k psa opening, widest: 37 theatres • Total b.o. $725k, in release for 10 weeks • Reward: paperback copy of book Pass Sundance hit, LA-based core audience, filmmakers community, in target with MoviePass and Sinemia • First week exclusive for MoviePass and Sinemia holders • $15k psa opening, in release for 15 weeks, total b.o. $700k PVOD Festival hit, highly anticipated, great reviews, mature target audience willing to pay for quality content Day-and-date at premium price in UHD more than covered slightly impacted opening and final b.o. $500k
  • 12. Case history 4 • More art-house and genre event / limited / platform releases in the United States and UK © 2017 FlexyMovies - Smart Moviegoing™ 12 ‘Dough’: $1.2M US b.o. ‘The Women’s Balcony’: $1.2M US b.o. Main partner: ‘Kids in Love’: best UK digital seller for 2 weeks ‘ROTF II’: top 50 UK digital of 2016 Main partner: Main partner: ‘The Salesman’: $2.4M US b.o. and Oscar for Best Foreign Language ‘Mustang’: $800k US b.o. And Oscar nominated
  • 13. Case history 5 • Development, business planning, project analysis and evaluation, marketing and festival strategy, international sales and distribution © 2017 FlexyMovies - Smart Moviegoing™ 13
  • 14. Videos • Smart Moviegoing™ • Talk ‘Cinema on Demand’ • Interview at LFF17 • Showreel www.flexymovies.com E: info@flexymovies.com © 2017 FlexyMovies - Smart Moviegoing™ 14