Paramount is facing a release date dilemma for its upcoming blockbuster "Transformers: Dark of the Moon" (TF3). The film is currently scheduled for a July 1st release date, which puts it in direct competition with the final Harry Potter film. However, changing the date also carries risks. This document analyzes three alternative release date options and recommends moving TF3 to the fall season in November to avoid the summer blockbuster competition and maximize box office revenues. Extensive marketing strategies are suggested to mitigate risks of audience disappointment from the date change.

1. Timing is Everything:
Paramount’s Transformers 3
IM661 Entertainment Industry Analysis
Prepared by: Hyojin Chin, Anggriawan Sugianto, Marie Delpuech, Shih-Han Hung

2. Sophie’s Choice
Problem - The Dilemma
Symptoms
1 Is July 1st the best release date for Paramount blockbuster
“Transformers: Dark of the Moon” (TF3)?
Causes
2 • Summer ­ known to be the blockbuster season
• High competition with “Harry Potter and the Deathly Hallows: Part 2”,
the final chapter of the series
Risks
3 • A mitigate success
• Paramount overshadowed by Warner Bros

3. Key
Question
Should Paramount change
the release DATE of
“Transformers 3: Dark of the Moon”?

4. Three
Alternatives about:
‘Timing’
# 1 # 2 # 3
Independence Back to the An Unexpected
Day Future Journey
Keep Initial Schedule 3 Weeks Earlier Move to Fall Season

5. 1
Alt. # Independence Day
Keep Initial Schedule
Benefits Costs
• Attract more revenue • Direct competition with main
(summer vacation and rival
long weekend) Release • Market share on movie
• Consistent with press release Date: theatre screen would be
• Show confidence July 1 reduced

6. 1 Independence Day
Alt. #
Keep Initial Schedule
Strategies
Pinpoint Targeting Differentiate Special Sales
Movie experience promotion
with full 3D
Marketing target to Emphasis on the best 1. Marathon (play
the specific audience 3D tech and special all 3 movies in a
effects which is row)
better than HP 2. Release TF3 the
few days before
real release day
in limited
theatre.

7. Alt. # 2 Back to the Future
Three Weeks Earlier
Benefits Costs
• Have more 3 weekends that • Less time to prepare for pre-
didn't compete with Harry release marketing
Potter. • Competition with other not-
Release
• Less competition on 3D/IMAX Date: that-big blockbuster movies
screen, even there was such June 10
movies like Green Lantern
• More box office revenues
with IMAX and 3D.

8. Alt. # 2 Back to the Future
Three Weeks Earlier
Strategies
Large marketing
Plan special PR for Special Sales
invest on early stage
specific target promotion
of movie launch
Maximizing marketing Release advertorials in the
investment during 5 weeks Special sales promotion such
specializing magazine in as ticket discount for
before “Harry Potter” movie ‘home theater’ and flat TV.
released ‘Repeat Visitation’
customers during early stage
That magazines subscribers of movie launching.
à it comparatively useful to care about ‘quality of
get good reviews and that picture’.
makes to enhance credibility
about movie quality. We can use them (targeting)
a buzz creator about
àGood review about movie ‘Transformer 3’s better 3D
is helpful to get more Technology’
‘repeat visitation’.

9. Alt. # 3 An Unexpected Journey
Move to Fall Season
Benefits Costs
• Avoid big clash with HP • Possibility of bad image due
• No real competition in fall 2011 to change of release date
Release
Date: • Audience might get
• Generate more revenue from
Nov 11 disappointed by waiting
theatre market share
• Fully reserve 3D/IMAX movie longer
theatre screens

10. Alt. # 3 An Unexpected Journey
Move to Fall Season
Strategies
PR Strategy Co-Marketing/ Special Marketing
Collaboration Campaign
Preparing good PR Collaboration with car Additional 4 months is
plan to cover our late company or any enough time to
movie launch. automotive event, prepare special
especially that held in marketing campaign
Release something to fall season, such as started from summer:
audience while waiting Frankfurt Motor Show, • Mobile game
for another 4 months, LA Auto Show. • Facebook app
such as extended • Merchandising
trailer.

11. Inception
Our Recommendation
Alt #3: An Unexpected Journey
- Move to Fall Season -
Summer release on July 1 Summer release on June 10
• Competition too big with HP Release • Not enough time to prepare the release
• Can’t beat Warner Bros Date: • Good idea in theory but risk of counterprodu
• Split of Revenues between the 2 blockbusters Nov 11 ctive effect too high
VS. Importance of Gross Opening
We change the date to maximize revenues
Bored Audience Bad Image due to Change of Release Date
Solutions: Solutions:
• Extended Trailers and Sneak Peeks Target the right audience
• A Strong Merchandising • Fans: Actions on fans group Smartphone & Facebook
Derivative products ó perfect season: Christmas ! => apps
Special Edition of Transformers. “what transformer are you?” – links for buying his
• An easier access to tickets ticket
Use social media to sell tickets more easily through • Action fans: Partnerships with online games
TF3 Facebook page • Car lovers: Sponsoring Cars events.
• Promote the 3D aspect
Partnerships with high-tech cies

12. Q&A

13. Transform and Roll Out!
Thank You