ROUNDTABLE: DISTRIBUTION AND EXHIBITION THE TIES THAT BIND By Richard Abramowitz Senior Vice President/Sales Cinecom OUR INDUSTRY TODAY is Seeing a number of changes in the ways in which motion pictures are distributed and exhibited. How can independent distribution in general, and Cinecom in particular, change its vision of the theatrical market to benefit both ourselves and exhibition? Using Cinecom as an example, let's explore some of the ways we can meet the needs of a changing business. The sheer volume of product now being released—more than two thirds of it independently produced (354 independent productions versus 161 productions by the majors/minors in 1986) —means that independent distributors such as Cinecom no longer have the luxury of waiting for good word of mouth to build demand for the quality product we distribute. The result is a significant shift in strategy for Cinecom and other independents noted for quality product: we now are moving away from the traditional strategy of exclusive or limited engagements and toward mini-multiple and significantly wider breaks in 1988. Product Explosion A number of factors account for this shift in strategy— not least of them the tremendous critical and boxoffice success we and other independents have experienced over the past few years. The current surplus of product is such that at least a dozen new films now open on a typical three-day weekend, with more stacked up right behind. Even with the explosion in the number of available screens in the plexes, there isn't enough space in the theatres to accommodate them all. Consequently, if a film does not find an audience in the first few weeks of its release, it's history. These and related trends have led Cinecom to modify our approach not only to distribution, but to production as well. Our production budgets are still quite modest by industry standards: A forthcoming Richard Gere film tentatively titled "Farm of the Year" came in at its intended $5 million budget. Nevertheless, we now are moving beyond "niche" marketing to produce and distribute films with broader demographic appeal—a different kind of "cross-over" film. Crossing The Demographic Line The primary audience for most Cinecom films historically has been the baby boom generation (including the muchreviled Yuppies), as opposed to the 12-18 year age group targeted by most major sutdios over the past ten years. But the film business is cyclical, and the major studios have now run through their cycle of teenage sex comedies and kiddie sci-fi. They've seen that money can be made with films like "Room With A View"; they've seen that there's an audience out there that's older than 16. What's more, this audience is growing. In 1985, the median age in the United States was 31; by 1995, it will be approaching 35. The members of this older audience will only see a film once, not two or three times; but if you reach enough of them, you've got a hit. Cinecom's task is to build from this existing audience base. Creating a "crossover" hit—even if the crossover is onl^' between two related demographic groups—is like cross-breeding roses. You can create a freak or a beautiful blend. Richard Gere, for example, does not necessarily appeal just to 35-year-old male college graduates. He also appeals to a younger, blue collar crowd, and to women of all ages. Similarly, the script for "Farm Of The Year" is set in a blue collar environment, but the story is one that has a sophisticated appeal as well. In other words, we're looking for that beautiful blend. 200 to 400 Screens in '88 This is not to say that we intend to compete head-to-head with the majors—We don't have 800-1500 prints out there, as the major studios often do. But we will be going with broader releases (200-400 screens) in the major metropolitan markets where Cinecom films have done so well in the past. Deeper penetration in the major metropolitan markets, where our films have historically performed best, also permits us to maximize the impact of the advertising dollars we spend in the big cities—in effect, to get more bang for our media bucks. Finally, in this era of cinematic "supermarkets," the increased potential for cross-plugging films with trailers in the major chains cannot be ignored; it can be an extremely important factor in the success of a broad release. Cross-promotion of this sort provides a great opportunity to garner point-of-purchase exposure, which in our business is a most effective and cost-efficient kind of marketing. It's a bigger and more competitive world out there, and we're ready for it. Despite the increasing competition, we believe that quality will out. We believe that if we continue to produce and market movies as well as we always have, our films will always find screens, and of course, crowds, for those exhibitors who show our product. iMi Goldwyn (continued from p. SW-28) special event taking place, and the grosses reflected these efforts. On "The Care Bears Movie," our press kit was supplemented by an exhibitors manual that not only outlined what promotions were already in place, which included tie-ins with Pizza Hut, Kenner Toys, and American Greetings Corporation, but also gave exhibitors ideas on the kinds of things they could do on a local level. There were suggestions for coloring contests, point of purchase displays, and department store tie-ins. With "The Chipmunk Adventure" we provided an extra incentive for exhibitors to use the manual and their imagination— a contest for the biggest, most imaginative promotional campaign. The prize was a trip for two to Paris for the grand prize winner and trips to Mexico and Bennuda for the first two rtinncrs-up. Our 22-page manual was read with avid interest, and the exhibitors came through with great campaigns to reach their local audience. While a trip to Paris isn't always an incentive, higher grosses are. The work we did together on films as diverse as "Sid & Nancy," "Prick Up Your Ears," "Hollywood Shuffle" and "The Chipmunk Adventure" increased profits for everyone involved, and brought us closer to exhibitors across the country. Once again, though, it was up to Goldw\'n, as the distributor, to provide the impetus to put on a good show It's time to put the distribution/exhibition relationship bci
EST. 1963 CONSULTING • DESIGN • INSTALLATION • SERVICE ^