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Feasibility Study of a Digital Platform for the delivery of UK ... - BFI

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<strong>UK</strong> FILM COUNCIL<br />

hard to quantify in precise terms, and may be exaggerated by <strong>the</strong> fact that we are comparing with only <strong>the</strong> top mainstream titles <strong>of</strong> <strong>the</strong><br />

year.<br />

Title by title comparisons<br />

Theatrical<br />

One valuable metric <strong>for</strong> quantifying <strong>the</strong> relative per<strong>for</strong>mance <strong>of</strong> different types <strong>of</strong> films through different windows is to simply compare<br />

<strong>the</strong> number <strong>of</strong> people who consumed individual titles through window A with <strong>the</strong> number <strong>of</strong> people who consumed <strong>the</strong>m through window<br />

B. This can be shown as a simple ratio A/B. So if five times as many people saw a film at <strong>the</strong> cinema than bought it at <strong>the</strong> DVD store,<br />

<strong>the</strong>n <strong>the</strong> simple ratio <strong>of</strong> retail to <strong>the</strong>atrical consumption is 20 per cent.<br />

For this analysis we have ignored <strong>the</strong> vast majority <strong>of</strong> <strong>UK</strong> and specialised film releases and concentrated only on <strong>the</strong> top 25 <strong>of</strong> <strong>the</strong>se<br />

releases in each <strong>of</strong> 2003 and 2004 (50 films in total). Not only does this substantially remove <strong>the</strong> bias that we had <strong>for</strong> <strong>the</strong> comparative<br />

mainstream films towards <strong>the</strong> top end <strong>of</strong> <strong>the</strong> market only, but it also<br />

10%<br />

8%<br />

6%<br />

4%<br />

2%<br />

0%<br />

Ratio <strong>of</strong> online rentals to cinema admissions <strong>for</strong> films<br />

released in 2003 and 2004<br />

removes a whole raft <strong>of</strong> films from <strong>the</strong> analysis <strong>for</strong> which <strong>the</strong><br />

numbers were so low in certain windows that <strong>the</strong> ratios with o<strong>the</strong>r<br />

windows became meaninglessly large.<br />

Each <strong>of</strong> <strong>the</strong> bars in <strong>the</strong> chart on <strong>the</strong> left represents one release, <strong>the</strong><br />

darker bars represent <strong>the</strong> top <strong>UK</strong> and specialised films from 2003 and<br />

2004, and <strong>the</strong> lighter bars represent <strong>the</strong> top mainstream titles.<br />

The chart shows that a handful <strong>of</strong> top <strong>UK</strong> and specialised films<br />

generated online rental transactions that numbered at least a tenth <strong>of</strong><br />

<strong>the</strong> admissions that <strong>the</strong>y attracted in <strong>the</strong> cinemas. For <strong>the</strong>se films,<br />

<strong>the</strong> audience was increased by at least 10 per cent on <strong>the</strong>atrical as a<br />

result <strong>of</strong> <strong>the</strong> online rental release. One film attracted 22 per cent <strong>the</strong><br />

number <strong>of</strong> <strong>the</strong>atrical admissions in <strong>the</strong> online space.<br />

About a fifth <strong>of</strong> <strong>the</strong> <strong>UK</strong> and specialised films attracted transactions<br />

that numbered at least five per cent <strong>of</strong> <strong>the</strong>ir cinema admissions<br />

<strong>Feasibility</strong> <strong>Study</strong> <strong>for</strong> a <strong>Digital</strong> <strong>Plat<strong>for</strong>m</strong> <strong>for</strong> <strong>the</strong> <strong>delivery</strong> <strong>of</strong> Independent <strong>UK</strong> films and Specialised films to <strong>the</strong> Home<br />

<strong>UK</strong> Film Council © 2006<br />

19

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