$200 Million and Rising: Hollywood Struggles With Soaring Marketing Costs

[The Futurist]

http://www.hollywoodreporter.com/news/200-million-rising-hollywood-struggles-721818

 

This is getting out of control, I don't even know how they can expect that each of their tentpole to do at least 600m ww to break even.

 

So a 200m blockbuster is in fact a 400m one.

This is crazy.

Edited July 31, 2014 by The Futurist

[4815162342]

Those TV ad prices be crazy.

[Tower]

It's hard to believe that TV ad spending is as cost effective as other forms of advertising.

[CloneWars]

I think that Hollywood doesn't know how to market well globally and they still haven't figured out the best way to market on the Internet. TV ads are way too much.

[Kalel009Shel]

Damn looks like like more films are going to need to do 650-800M to be deemed a success

 

from here on out, unless they go into more cost effective  marketing like  Internet and some key  Billboard 

 and Sport TV Screen ad placements.

[Hangman]

It's hard to believe that TV ad spending is as cost effective as other forms of advertising.

 

It's hard to believe that people actually watch the ads on TV. Don't most people change the channel or go and do something else?  I hardly watch live TV anymore. Seems like a waste of money.

[TServo2049]

The studios should conduct audience surveys to find out how many people found out about a movie / decided to see a movie because they saw an ad for it on TV.And I'd like to see a studio experiment with marketing some major or mid-range release without any TV advertising. That is, other kinds of advertising, just not TV. Obviously it'd have to be an inexpensive movie so they don't lose their shirts if it fails. And it would also have to be a good movie.

[CloneWars]

The studios should conduct audience surveys to find out how many people found out about a movie / decided to see a movie because they saw an ad for it on TV.And I'd like to see a studio experiment with marketing some major or mid-range release without any TV advertising. That is, other kinds of advertising, just not TV. Obviously it'd have to be an inexpensive movie so they don't lose their shirts if it fails. And it would also have to be a good movie.

I agree with everything you said.

 

Maybe, a horror movie would work since those tend to have budgets less than $10M.

 

Actually, I would love to see them market something like 50 shades this way. Also, for what it is worth TPM did not have any US TV spots. There was a lot of advertising, but that came from Pepsi and Pizza Hut and whatnot promoting the film with their tie-in promotions, and that was before social media!!!!!!! I think I recall reading somewhere that George Lucas spent an entire $10M marketing the film, and I think that was for trailer prints and OS advertising. 

 

Also, look at how big THG opened. I believe it had a pretty small advertising budget (compared to other movies that opened to $150M).

Edited August 1, 2014 by CloneWars

[Lordmandeep]

Why are TV ad prices increasing when fewer people watch tv? 

[AniNate]

It's hard to believe that people actually watch the ads on TV. Don't most people change the channel or go and do something else?  I hardly watch live TV anymore. Seems like a waste of money.

 

TV has to factor into it somehow, I think. That's the biggest way to get clips from the film out to passive viewers. A tv spot free campaign might work for an already hyped film like Star Wars but for anything that doesn't have that luxury, I can't imagine them succeeding without it..

 

Plus social media has sort of negated the advantage of watching TV shows later. If you don't want to be spoiled, you pretty much have to watch it live. 

Edited August 1, 2014 by tribefan695

[TServo2049]

Interesting perspective on it. I don't give that much thought since I usually stay away from social media, and actively go out of my way to avoid spoilers.But people who aren't as "tuned out" as me do risk being spoiled if they don't see something right away.

Edited August 1, 2014 by TServo2049

[AniNate]

Definitely in the case of high-profile sporting events too. It's pretty much impossible to avoid the result without going to ridiculous lengths. And you're likely not going to be changing the channel while you're watching it.

[The Panda]

Why are TV ad prices increasing when fewer people watch tv? 

 

Depends on the TV, and actually more people are watching Cable, less are watching broadcast, I believe.