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| subject: | Re: Movie Finance Question |
Duggy wrote: > On Jan 3, 1:52 am, Blair Leatherwood wrote: >> Joseph DeMartino wrote: >>> On Jan 1, 11:56 pm, Blair Leatherwood >>> wrote: >>>> Without getting into actual numbers, I think the rule of thumb has been >>>> that a movie needs to gross (at a minimum) 1.5 times its production cost >>>> to even consider being in the black. >>> Actually I'm pretty sure the rule--of-thumb is that a film has to >>> gross *three times* its production costs in order to break even. This >>> estimate also covers the cost of prints, distribution and >>> advertising. >>> Regards, >>> Joe >> Ahh, inflation (I *said* my information was really old!). > > I'm not sure inflation is the word. Tickets rise faster than > inflation, I believe (correct me if I'm wrong). How about "inflation of ticket prices"? Is that specific enough for you? And, general inflation does apply here as well. My "rule of thumb" is at least 20 years old, and prices for everything (tickets, advertising, above and below the line costs) have all gone up. Some of those costs included in production are probably not connected to the general economy anyway. As to the remainder of your response, the movie biz has used every means of advertising available since day one--not just trailers and lobby cards, but many of the other options you mention (whatever the technology of the day would allow). Blair --- SBBSecho 2.12-Win32* Origin: Time Warp of the Future BBS - Home of League 10 (1:14/400) SEEN-BY: 10/1 11/200 331 34/999 120/228 123/500 128/2 187 140/1 222/2 226/0 SEEN-BY: 236/150 249/303 250/306 261/20 38 100 1381 1404 1406 1410 1418 SEEN-BY: 266/1413 280/1027 320/119 393/11 396/45 633/104 260 267 640/954 SEEN-BY: 690/682 734 712/0 313 848 800/432 801/161 189 2222/700 2320/100 105 SEEN-BY: 2320/109 200 5030/1256 @PATH: 14/400 5 140/1 261/38 633/260 712/848 633/267 |
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