The Dynamics of Mass Communication

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The Dynamics ofMass Communication
Seventh Edition

• Joseph R. Dominick

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Part 3 The Electronic Media
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Chapter 9 Motion Pictures
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History of the Motion Picture

• Motion pictures and TV work because of two
  quirks of the human perceptual system
• the phi phenomenon
• persistence of vision

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Edison and Early Experiments

• Using a sprocket-feed device in 1889, Edison and
  his assistant Dickson invent the first practical
  movie camera and viewing device, a single-viewer
  system they call the Kinetescope.
• Like radio, movie profits were first expected
  though sale of hardware, not the software.
• In 1896 Edison realized his error and developed a
  mass projection device he calls the Vitascope.

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The Nickelodeons

• Movie interest surges when they tell a story.
• First movies are filmed with a stationery camera,
  much like watching a stage production.
• The Great Train Robbery is the first film to use
  roving camera angles and film editing techniques.
• New 50-90 seat theaters, called Nickelodeons,
  meet rising demand for story-based films,
  charging 5 cents admission.

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Early Films and Birth of the MPPC

• Early film experiments (Queen Elizabeth and Birth
  of a Nation), indicate that audiences are willing
  to pay premium prices for longer, better films.
• In 1910s, top film firms form the Motion Picture
  Patents Company to stop competitors the move
  backfires as independent producers move to
  Hollywood. The MPPC is dead by 1917.

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The Star System

• Producers learn that the public identifies with
  recognizable star actors studios capitalize on
  the draw power of stars (Charlie Chaplin, Lillian
  Gish, Mary Pickford).
• Early stars join to form United Artists Studio.
• Public demands more comfortable and elaborate
  theaters in order to sit through longer films

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Consolidation and Growth

• Film makers work to insure high profits by taking
  over all three divisions of the industry
• Production
• Distribution
• Exhibition
• The Block Booking system helps insure a steady
  market for film makers

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Roaring 20s Debuts Film Sound

• The Jazz Singer, the first film with sound, opens
  in1927 and the silent film era ends almost
  overnight.
• Hollywoods lifestyle excesses tempt government
  censorship industry avoids that by forming
  MPPDA.
• Films now costlier due to move to make bigger,
  better films, rising salaries and sound.
• Depression era cuts profits industry counters
  with introduction of double features and
  Technicolor.

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The Studio Years 1930 - 1950

• Height of film studios MGM, RKO, Universal,
  Warner Bros., 20th Century Fox, Paramount, UA,
  and Columbia.
• Back lots expand musicals, comedy genres
  strong film stars groomed golden film era
  Gone With the Wind, The Wizard of Oz, Stagecoach,
  and Citizen Kane.
• In 1948, courts order studios to stop block
  booking and monopoly practices industry reacts
  by dropping theater exhibition control.

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Hollywood Reacts to TV

• Believing that TV would hurt profits, the film
  industry tries to protect itself with several
  measures
• Studios refuse to advertise films on TV.
• Films are not permitted to run on TV.
• Film stars forbidden to appear on TV shows.
• New film novelties introduced
• 3-D
• Cinerama and Cinemascope
• Spectacle films
• adult themes (then unsuitable for early TV)

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Film in the 1960s and 1970s

• Hollywood finally sees mutual advantages in
  teaming with television industry the number of
  made-for-TV films and made-in-Hollywood TV series
  increase sharply.
• The power of major studios erodes quickly with
  rise of independent producers and free agent
  actors.
• Industry introduces film rating system (G, GP, R,
  X), which switches content regulation burden to
  audiences.

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1970s Film Industry Trends

• film revenues and budgets increase
• debut of blockbuster films
• small-budget films can be big hits, investments
• market research increases as film tool
• close ties with TV continue
• rating system adds PG-13, X replaces NC-17

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Contemporary Film Trends

• . attendance levels out ticket prices, profits
  higher
• . Pay Per View, video/DVD rentals eclipse box
  office as a films primary revenue source
• . more theater screens than ever, newer ones
  boast stadium seating and digital sound
• . 7 firms dominate industry Sony, Disney, Warner
  Brothers, Fox, MGM, Universal, and Paramount

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Motion Pictures in the Digital Age

• Though still in its infancy, digital film
  technology promises to make significant
  industry-wide changes, among them
• Production films will soon be shot, edited
  digitally
• Distribution multiple film copy costs
  disappear, and electronic distribution methods
  replace physical
• Exhibition expensive new projectors will be
  needed

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Netplexes and Film Napsterization

• Films on the Internet?
• Technically possible, but in the near future
  people wont have bandwidth power to make it
  practical.
• Sharing films, Napster-like?
• Doubtful. Time consuming, little money savings,
  hard-disk storage limitations, big legal hurdles.

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DEFINING FEATURES OFMOTION PICTURES

• high production, marketing and distribution costs
• dominated by big conglomerates
• most expensive mass medium on a per-title basis
• film has strong art form aesthetic dimension
• going to movies is still a social experience

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ORGANIZATIONAL BREAKDOWN OF THE FILM INDUSTRY

• Production
• Distribution
• Exhibition

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FILM INDUSTRY OWNERSHIP

• As of 2000, the top seven studios and owners
  were
• Walt Disney Company (Touchstone and Buena Vista)
• AOL/Time Warner (Warner Brothers)
• Paramount (Viacom)
• Sony (Sony Pictures Entertainment)
• Vivendi-Universal (French owned)
• News Corporation (20th Century Fox)
• MGM/UA (MGM and United Artists)

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PRODUCING MOTION PICTURES

• TYPICAL STUDIO DEPARTMENTS
• Though differences exist between one studio and
  another, a typical studio would have three
  departments
• Distribution
• Film production division
• TV production division

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The Movie Making Process

• The three distinct phrases in the process are
• Preproduction
• Production
• Postproduction

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ECONOMICS

• A typical film revenue breakdown might look
  something like this
• DVD/cassette sales 28
• Domestic box office 22
• Cable 22
• Foreign box office 20
• Broadcast TV 4
• Other 4

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Financing Films

• Money to finance a film can come in four ways
• direct loan from distributor
• pickup
• limited partnership
• joint venture agreement

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Dealing with the Exhibitors
Distributors and exhibitors must agree on the
terms under which a film showing will occur.
Three common types of financial agreements are
split percentage sliding scale 90-10
deal Concession sale stands can also bring in up
to 90 percent of a theaters total profit
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Promoting the Film Opening

• The first three days of a films opening are
  crucial if it does not do well then, it
  generally never will. Some of the more common
  ways of promoting films include
• pre-opening media promotion and advertising
  blitz
• trailers (film clips from movie) in theaters
  Coming Attractions
• heavy Internet exposure using trailers and
  sound scores

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Feedback

• Films can generate feedback in three common ways
• Box Office figures monitored by Variety
  magazine
• Market Research using focus group
  audiences
• Film Audiences though final audiences are
  rarely used

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Cable and VideoThe Hollywood Revenue Connection

• Film sales and rentals have leveled off, though
  they accounted for 20 billion in 2000 (sales
  12B, rentals 8B).
• 6 million people rent films daily 12 million
  go to the theater.
• DVD sales and rentals will reach parity with
  videos in 2003.
• Pay-Per-View market up (30 million homes now
  have PPV).
• Producers also get revenue from premium cable
  channels such as HBO, Showtime, and Cinemax.

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End of Chapter 9Motion Pictures