If we are going to look at it from afar, it would look as if the movie industry is generating billions of profits annually. Producers and celebrities are walking down the red carpet flaunting their designer clothes. While there is bunch of money that can be generated by the film industry, its economics are far from being simple.
Something that you will frequently hear as you walk through movie studio halls is that, nobody actually knows anything. That’s a fact. The public may fickle, the movie industry is facing flux and much like any other movies, it is quite a risky investment, even for those films that stars known actors.
As per the MPAA or Motion Picture Association of America, the Theatrical Market Statistics Report for year 2017 on US and Canadian box office was recorded at 11.1 billion dollars. Believe it or not, this was a 2 percent decline from 2016. Globally, the box office that the movie industry generated lands at 40.6 billion dollars in 2017.
Budgeting and Costing for Movies
Generally, major studios are not disclosing their complete budget for the film projects they are working on from:
- Production
- Development
- Marketing and;
- Advertising
However, if you are relentless in getting information about this matter, then it may help you to seek global assignment help UK who is comprise of experienced researchers that can definitely help you with your research. To give you an example, the hit blockbuster movie Marvel’s The Avengers is reported to have 220 million dollars in budget. But it can quickly push up north of the said amount if you will consider costs for advertising and marketing.
It’s How they Saved
For any kind of movie regardless if it is an indie production or a blockbuster one, factors similar to revenues and tax incentives from the product placements can help in paying down the budget for the film. If they are given with incentives to shoot film in a certain state, then expect producers to hustle in doing so because they know how much savings that they can get by doing it.
