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Lack of industry standards, film and television placement advertisements encounter growing troubles.

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China's film industry is likely to be one of the hot spots in the future of the capital market. Many industry leaders have made plans to be listed within two years, and their prof...

China's film industry is likely to be one of the hot spots in the future of the capital market. Many industry leaders have made plans to be listed within two years, and their profits and income are showing a trend of rapid growth with the growth of the film market. No wonder companies like Huayi Brothers easily achieved a price-to-earnings ratio of more than 100 times as soon as they went public.

however, how to cash the market potential into corporate profits until the return in the hands of shareholders is still a concern of many investors. The film industry in which Huayi Brothers is located is characterized as & ldquo; is in short supply and rdquo;, 's TV series are considered to have & ldquo; high premium capability & rdquo;. However, Huayi Brothers' recent semi-annual report highlights the high volatility of the production industry. How to counter the congenital defects of the industry and achieve stable profits? & ldquo; placement advertising & rdquo; has become one of the ways.

< strong > insert advertisement mode < / strong >

Huayi Brothers said in its prospectus that while there is still no fundamental change in the lack of domestic property rights protection, film distributors' income mainly comes from film box office sharing, while TV dramas mainly come from television stations. But in foreign countries, non-box office revenue accounts for more than 50% of the entire film and television business revenue. Therefore, if enterprises want to get greater returns, they must speed up the development of film and television derivative products business with placement advertising, patch advertising and public relations campaign advertising as the core.

insert advertising and patch advertising as & ldquo; carrying marketing & rdquo; is a part of film and television brand content marketing. Wang Tao, general manager of 180 Star Media, who specializes in brand placement marketing, introduced the basic business model of placement advertising to this newspaper: & ldquo; Pictures sent out certain scripts, story outlines, cast and other information, these elements make up the influence of future films. After making a professional analysis, we select some intended brands that may reach cooperation, make a cooperation proposal, and list the possible intervention points. Then the producer, the brand and the intermediary jointly discuss what form to use in the film, how to achieve the effect, how to calculate the cost and so on. & rdquo;

according to Wang Tao, the implantation model can be roughly divided into & ldquo; episodic cooperation & rdquo; and & ldquo; exposure cooperation & rdquo;. The former can integrate the brand into the specific plot development, such as a brand of black tea in du Lala's Promotion, while the latter is relatively simple & ldquo; gives a shot & rdquo;, such as a brand of liquor in the Tangshan earthquake.

sticker ads refer to short commercials that are inserted before the opening of the film, usually 10 pieces, each for 30 seconds, the closer to the opening time of the film, the higher the price. The publisher of the sticker advertisement can be a producer or a cinema, and the current price is 40-70 yuan / bar / field. Industry insiders estimate that the current domestic patch advertising market is about 400 million yuan.

< strong > absence of pricing criteria < / strong >

for the film and television industry, which mainly relies on the box office to make a profit, the advertising cost is an increment in a complete sense and has a lot of room for imagination. Then, how to calculate the cost has undoubtedly become the core.

according to the information provided by Huayi Brothers, the product placement is priced according to several factors: (a) the social recognition of the creators such as the film director and starring; (B) the expected box office of the film, the scale of national distribution, the release date of the film, the release expectation of the film in all video channels such as cinema television, network, DVD, aviation, etc.; C, the effect and depth of the implantation; D, customer reserve and market reference price and other factors.

but for both producers and brands, this is precisely their biggest headache & mdash;— because this is not young, but still & ldquo; is emerging & rdquo; 's industry is far from being standardized in China. Although the elements of pricing have been clear, there is no basic uniform unit price for each element. Ldquo; how to calculate the money & rdquo;, is a difficult problem.

& the price of ldquo; is really hard to say, because each film is different and there is no uniform standard. Wang Yifei, general manager of rdquo; Helun Media, told reporters that the lack of standardization is the main problem in front of the industry. After getting the script from the film side, because the advertising expenses corresponding to all elements are estimated, and the calculation methods are different, the quotation system will inevitably be confused. For example, at present, there is no convincing price list that can show how much the advertisements for films directed by Feng Xiaogang are worth, and how much are the films starring in Zhou Xun.

& ldquo; movies have artistic attributes after all, and it is difficult to have a clear valuation at present. Wu Kun, general manager of Bona Advertising and Marketing Company of rdquo; Boehner International Film Co., Ltd., told reporters.

therefore, some films in the industry have temporarily adopted an approach: the producers set a ldquo; benchmark price-rdquo;, as the minimum price for brand cooperation, and then determine the price according to the implantation mode.

& ldquo; for example, if the benchmark price of a film is 1 million, then the price of plot cooperation may be 3 million, and the exposure cooperation may be 100-1.5 million. & rdquo; industry insiders stressed that the prices of different films are different, from the current market point of view, 1 million & ldquo; benchmark price-rdquo; is already a very high threshold, bargaining has become inevitable.

< strong > Ice cream cake game < / strong >

the confusion of quotation often delays the negotiation between the producer and the brand. And this is particularly bad for the producers. In the industry, this phenomenon is called ldquo; ice cream cake game & rdquo;.

& ldquo; once an ice cream cake is made, it must be sold as soon as possible, and the longer it takes, the lower the value. This is equivalent to the game between the film side and the brand side. & rdquo; Wang Tao explained to reporters that it is impossible for the film side to negotiate with the brand side without restrictions, but for the brand side, this is only one of many marketing channels. If the film does not discuss the advertising cooperation plan before shooting, once the film starts shooting, the film will begin to be in a weak state.

at the Shanghai International Film Festival in June, director Zhang Yang revealed to reporters the frustration of his new film "self-driving" in talking about advertising placement. As the most important props in the film, each protagonist has a car that can represent his or her own character. This was originally an excellent advertising planting point, but Zhang Yang finally failed in the game with the brand side. The film was filmed while talking, and finally the advertising expenses promised by the brand were also seriously reduced. This is an individual case in the industry, but it also shows from one side that this market is still far away from the ldquo; specification & rdquo;.

Because of this, Helun Media is determined to promote the standardization process of the industry. & ldquo; Helun has a complete price evaluation system, including 13 standards. We determine different weights for each standard and calculate a relatively fair price data based on it. & rdquo; in Wang Yifei's view, this set of scientific and quantifiable evaluation system is the core competitiveness of ldquo; & rdquo;.

Wu Kun, general manager of Poly Boehner's advertising company, made it clear to reporters that at present, advertising revenue can only be an extension of Chinese film revenue, and for enterprises, it has not been able to form expected stable revenue.

In spite of this, the prospect of placement is still optimistic. & ldquo; film enterprises hope to achieve cross-industry and cross-industry development. Through multi-brand cooperation to expand profit channels and strengthen publicity. All this will eventually be reflected at the box office. & rdquo; Wu Kun said.

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