Transcript Chapter 8 notes

Chapter 8
Entertainment Industry
Lesson 8.1
Entertainment Profits
The Profit Makers
Only ____ of 7 major Hollywood studios
turned profits in 1998, despite record
audiences.
Paramount Pictures (Viacom, Inc.) and 20th
Century Fox Film Corporation were
successful thanks to __________ ($1.8B
tickets)
Others suffered b/c of high cost of the
____________ and distribution
Cost Cutting Strategies
Cut the # of _______
Release Movies

Released in more than
________ theaters at 1
time
Low budget movies
capitalize on the
promotional budget of
major movies by using
similar __________ in
the title
Profit and Opportunity
Profit depends
largely on the
___________ of the
film overseas
Generating film
revenue:

Ratio of tickets sold
to the cost of
production process

Income from:
Merchandising
 _____________
 Relationships to
________ parks
 Global releases
 Ticket sales in the
U.S. and abroad

Cultural Profit Opportunities
Worldwide distribution
revenue is critical
Fox sold nearly $2 B
in movie ticket sales
outside the U.S. 1998
______________
release can increase
receipts by 50 to
100%
Most films generate
less than ______ of
their final income from
domestic ticket sales
alone
The 1.3 B people in
_________ is a
promising new
potential audience
Fast Money
The difference between entertainment
and sports is determined by the ______.
___________ racing is one of the
fastest growing forms of entertainment.
Created a mutual fund to secure financing
for their expensive form of entertainment
 Investment stocks from 50 sponsor
companies are included
 Individual drivers have 1 sponsor who pays
for the car and the upkeep.

Lesson 8.2
Distribution of Entertainment
Ways to Distribute
Traditional
T.V. networks
_________
Satellite
_________
Cable Mania
# of cable channels
has increased
Programs are
picked up by a
master _________
and delivered to
homes throughout
the country
_ time cost to install
__________ fee
New cable channels
target specific
demographic
markets
80% of American
homes had cable
hook-up
Satellite Television
Allows ______ areas
to receive stations
Must buy a ___ ($130)
Subscribe to monthly
service
Offering more than 200
channels
40 M homes by 2007
Internet Entertainment
Web based companies that markets
sports info, interactive games,
____________, chat rooms and sportsrelated merchandise online
_________________: selling
merchandise on the Internet
Internet is becoming most valuable
place to advertise
Movie Marketing
_________ or previews –
advertisements for other movies
Well-coordinated promotional plan can
wring out the last drop of consumer
interest
_______________ ads can also
increase video rentals.

Use suggestive selling
Effective Examples
_______________
Developed web
page that made it
look like a real
news story
 Added short,
intriguing trailers
 Per-screen revenue
was over $56,000

______________
Bypassed theater
release
 Sold directly o
rental and sales
of video ($10 mil.)

See It At Home
_________ sold at mass
market retailers

Wal-Mart
Stimulate sales in music
and video specialty
stores through Point-ofPurchase (_____)
displays
Movies on DVD may
replace videotapes
Lesson 8.3
Marketing Music and Theater
Today’s Top Music
Hip-hop sales inc.
Marketing Rap

__________ –
inclusion on a CD of
excerpts
Many music label
executives use
__________ to
decide what is
marketable
Mainstream Rap



Madison Ave in NY is
home
Singers and dancers
featured in TV ads.
Changing to more
___________
messages
Promoting Theater
Broadway uses:
billboards, radio,
upscale theater
magazines, and other
publications
____________ is
major source of
promotion
Fascination with the
lights and the people
___________ is
credited with increasing
sales
Metropolitan Opera of
New York (The Met)


Duke University course
Gain knowledge and
appreciation for the arts
Distributing Music
__________



Agent, promoter, and
artists manager
“Wildcat” tours cut out
the agent
Robert F.X. Sillerman
bought out most
regional promoters.
Now runs 98% of the
concerts
____________



Mpeg Layer 3 – pirating
of music for free,
illegally from the
Internet
Free software program
Still changing by finding
ways to bypass record
company
Lesson 8.4
Awards and Annual Events
The Oscars
Most famous and prestigious award
Given by: Academy of Motion Picture Arts and Sciences
5,000 members determine each award
Nomination is a promotional bonanza for those involved
No more than ____nominations are made for each category
Winners featured on magazine covers, newspapers
Winning an award and getting a nomination have
promotional value money cannot buy
Have 2nd highest viewership after the ________________
Sunday night on ABC through 2008
In 1998 ABC charged $915,000 per ad minute
The Grammys
National Academy of
Recording Arts and
Sciences (NARS)
______ Categories
Winners selected by
vote of the committee
members
Brings a lot of
attention
Does not guarantee
success or ________
New artist categories
are sometimes never
heard from again

Examples????
The Emmys
__ member organization
Academy of Television
Arts and Sciences

Presents Primetime and
Daytime
Winning shows or stars
can increase the
_________ audience
The Tonys
Named after Antoinette
Perry

Served as head of the
Board of the American
Theatre Wing
Given to professionals in
_______ for distinguished
achievement
Ratings up when
_____________ was host
Lesson 8.5
Entertainment Marketing Careers
Getting There From Here
Marketing You




You are the major
___________
Know what you want to
do and what it takes to
get the job
Gather info on the job to
make a decision
Know what is _______
How to Prepare


Conduct __________
Sources of info






Internet
People you know
Company reports
Business directories
College placement
offices
Recent news articles
Marketing Jobs
Opportunities for marketers, advertisers, and
public relations specialists will be among the
fastest growing in the nation through 2006
# of _____________ rises – the # of artists,
performers, and staged performances will
increase
General background in these fields can urn
into a focus on _____________________
Marketing Relations Specialist
Build and maintain positive relationships
between their employer and the public
Looks out for the best __________ of another
Keep the media and consumers aware of the
company or person they represent
More opportunities in _______________
College degree preferred combined with
experience (Internship)
Marketing/Advertising Mgrs
Intense ___________
Potential to earn high
salaries
Long _________
Jobs dictated by
consumer interest at the
time (flexible)
Responsibilities

Strategic planning, sales,
advertising, pricing,
product development
Skill Requirements
Math, communication,
interpersonal skills
Ability to communicate
persuasively orally and in writing
Ability to work on a __________
____________
Initiative
Self-confidence
Maturity
Flexibility