People's Republic of China (PRC) Film Promotion Law I. Background of Film Investment Industry The film industry in China has developed very rapidly, which was the most stable and fastest growing industry in the past 10 years. The box office has hit record highs, the number of screens is the highest in the world, and the quantity and quality of domestic films have been greatly improved.
In addition to the factors of funds and talents, these development achievements are also inseparable from the strong support of the state and local governments. In recent years, national policies have given unprecedented support to the cultural film industry, and seven kinds of documents have been issued to promote the development of the film industry in China.
In 20 17, the implementation of the first law of the cultural industry, the Film Industry Promotion Law, raised the importance and support for the development of the film industry to a new height. With the rapid development of film and television and the strong support of national policies, more and more people begin to pay attention to the film industry, and film and television investment has become a topic of concern at present. The Regulations on Film Management also clearly states that the state encourages enterprises, institutions, other social organizations and individuals to participate in funding and investing in films. Yang duocai ~ Wei ~ gxwmb888888wx
Speaking of which, many people may ask. Can that person participate in the film investment? How to participate in investment? Why should ordinary people be involved? Can't one vote for all? How can the film market be short of small investors like us? ..... actually there is nothing wrong. One company or one person can accomplish one thing, but there is a saying that many hands make light work. It's not that we can't do it, but we hope everyone can do it together. In this era of enjoying the economy, everyone can contribute to achieve better marketing results. Interested friends can also view some successful cases on the cat's eye app. For example, Nezha, Wandering Earth, Wolf Warriors 2, Red Sea Action, etc ... There are more than 20 co-production companies and hundreds of investors.
Second, the birth of the film is good:
1. Primary Election Filing After the creative team determines the film direction and establishes the outline, the first draft of the film will be sent to the Film Bureau of the State Administration of Press, Publication, Radio, Film and Television for filing, and the Film Bureau of the State Administration of Press, Publication, Radio, Film and Television will give guidance according to the submitted materials. If the content is inappropriate, the review will be revised. After the approval, a receipt will be issued, which is the shooting license. National film supply license
2. The film preparation that has been filed with the Radio and Television Bureau can be used for the preparation of shooting, such as preparing funds, selecting equipment, choosing actors, choosing shooting location and theme, etc.
3. After the preparation for shooting is completed, you can start shooting. During this period, if investors want to visit the crew, they can apply to the company, and the company will inform the current shooting location, which is also convenient for investors to understand the progress of the project.
4. After the filming of the post-production film is completed, you can enter the post-production, and the editors and special effects artists begin to add special effects and modifications. This time is usually about 2 months.
5. In the post-production process of publicity and distribution, a short film will be shown first, which is what we call a trailer. The publicity team will promote the film according to the materials and trailers provided by the company to expand the popularity of the film.
6. Submit for review and obtain a publishing license. After the post-production is completed, it will be submitted to the Radio and Television Bureau for review. The purpose of the audit is to see whether the filming and production of the film meet the requirements. If it does not meet the requirements, the release license will not be issued, and then it will be revised by the film and television company.
7. After all the work is completed and the "Dragon Label" (film release license) is obtained, the cinema will arrange film arrangement according to the theme of the film and the time when the film application is submitted. After the film is released, investors can wait for the box office settlement and return on income.
Third, the source of film revenue
1. It is the most common and important way for cinema lines to show profits through cinemas. According to statistics, more than 90% of the film's income depends on the box office. Therefore, strategic cooperation between film production companies and cinema companies is extremely important.
2. Advertising revenue At present, most cinema films with high return on investment on the market are commercial films, and commercial films basically have sponsors. Under the premise of not affecting the plot of the film and ensuring the artistry, product placement can recover part of the capital cost during the production period. For advertisers, we can expand the depth and breadth of advertising by integrating products into movie plots and other main ways.
3. Copyright income
(1) Internet copyright revenue. In addition to box office income, the main source is online copyright income. Generally speaking, after the film is released, it will be broadcast on various video websites, and the audience can watch it on the broadcast platform, which will generate certain benefits. Video websites generally pay according to the number of clicks.
(2) TV copyright income. Each TV station will also broadcast a certain schedule, and the film will sell the audio-visual copyright of the film to the TV station to obtain copyright income, which will generate a certain income.
(3) Overseas copyright income. This part of the income is mainly the distribution income and copyright income of mainland films in other overseas countries and Hong Kong, Macao and Taiwan regions.
Movies popular around movies (derivatives) will become a kind of "creative props", and the clothes, toys and video games derived from them will be sold all over the world. The income of these products is also the source of income for movies.
Fourth, how is the box office allocated?
1. film special fund and business tax (8.3%) (note: the film special fund was used to finance the shooting of domestic films, but now it is mainly used to finance the renovation of urban cinemas and encourage cinemas to show domestic films. According to the regulations, if the proportion of domestic films in cinemas exceeds 50%, 5% of the special funds for the film industry will be returned in full; If the domestic movie box office accounts for more than 45%, 80% of the special funds will be returned, that is, 4% of the total box office.
2. Exhibitors: cinemas and cinemas (about 52%) Cinema is a system with many cinemas and unified management of these cinemas. At present, there are about 39 cinemas in China, accounting for about 4% of the total box office. Of the remaining 48%, the cinema still needs to pay about 10% of venue rent, 10% of labor cost, 7% ~ 8% of energy consumption cost, 2% ~ 3% of publicity cost and equipment depreciation cost. Therefore, the profit of showing movies in cinemas is about 10% of the total box office.
3. The distributor and the film producer (about 40%) will get 5% ~ 15% of this 40%, that is, 2% ~ 6% of the total box office as the distribution agency fee. In addition to agency fees, issuers can also obtain distribution income through other distribution channels. Distribution income of the film = 40% of the box office+distribution income from other channels-distribution agency fee-remuneration paid to the director or creative star-distribution fee paid on behalf of the film. Generally speaking, the film side can finally get about 30% of the total box office. Counting the income from other channels, it usually takes three times the production cost to recover the cost.
Verb (abbreviation of verb) The development trend of film industry
1. Abundant domestic capital is conducive to the accelerated development of the film industry. At present, China's domestic capital is abundant, and the willingness of external capital to invest in the film industry is strong, which has formed a more favorable development environment for the film industry that is highly dependent on capital investment. At the same time, the active participation of various film industry funds at home and abroad, especially their rich experience in internal management, financial system and the use of financial tools, will have a positive impact on the development of China's entire film industry chain.
2. The gradual strengthening of national intellectual property protection is conducive to the healthy development of the film industry, and the establishment of intellectual property protection mechanism has a good encouraging and promoting effect on the sustained and rapid development of the film industry. On the premise of intellectual property protection, film enterprises will further expand investment in large-scale film production, television, network broadcasting and other income channels, which is conducive to the sustained and healthy development of China's film industry.
3. The listing financing of film enterprises and the entry of a large amount of external capital will promote the integration of resources in the industry. On the one hand, domestic film and television cultural enterprises such as China Film, Shanghai Film Group and Huayi Brothers have been listed, and film enterprises have begun to use capital market channels to gather abundant capital and high-quality resources in the industry, resulting in good resource synergy. On the other hand, due to the adjustment and relaxation of national policies, more and more foreign capital began to set foot in all business links of the film industry. Private equity investment funds have become a new force in China's film industry. At present, IDG New Media Fund, China Film Fund and Sequoia Capital have all participated in the investment and creation of film and television products.
4. Internationalization of movies will become an inevitable trend. Although the domestic film market is growing rapidly, compared with the more mature markets such as the United States and Japan, China's film industry is still in its infancy, mainly driven by the box office, and the development of other businesses outside the cinema screening channel is lagging behind. The profit-seeking nature of capital and the globalization of the film industry have prompted China film enterprises to gradually try to push their film products to the international market, and some enterprises have begun to explore foreign film markets.
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