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SINCE last March, cinemas around the world have been forced to close to reduce the impact of the corona virus (COVID-19). Anticipating widespread impact, film-making companies in America began to shift their films from theaters to digital services.
For example, Universal Studio had to postpone the release of F9 which was part of the Fast & Furious franchise. Even though the company has spent millions of dollars to market the film, including when the Super Bowl or American soccer matches took place from last February.
Actually, the company wants to save other big films that can be released as usual. Market conditions that do not allow the company to look for other ways. Instead of waiting for uncertainty when the cinema will reopen, Universal Pictures released the animated film Trolls World Trour directly into digital form.
Luckily the strategy worked. The film, released digitally for the first time, is selling well. Many people stay at home when the corona pandemic period accesses this film. They just pay the rental fee of US$20 for 48 hours.
Universal called making bold decisions by releasing streaming services. Considering thousands of films are also available through Amazon, Hulu, iTunes, and Netflix. However, the most successful movie franchises in the world such as Star Wars, Fast & Furious and Harry Potter emerged from the cinema.
The amount of money generated from DVD sales, licenses to streaming services, and toy sales are all based on box-office movie returns. So when Universal releases Troll as a spectacle at home, it has the potential to risk their income worth hundreds of millions of US dollars.
Within a few weeks of its online debut, the film Troll pocketed revenues of around US$200 million and convinced the studio that some films could make a profit without release in the theater. Universal will even release The King of Staten Island and The High Note digitally next June.
“This Troll gives consumers the products they really need at home, especially if you have a group of 7-year-old and 5-year-old children who are open to roam at home,” NBC Universal chief executive Jeff Shell said.
Universal success is copied by other players. Walt Disney Co. shifting some films that should be shown in theaters and then diverted to streaming services like Disney, while Paramount sells romantic comedy, The Lovebirds to Netflix and Warner Bros. plans to release the animated film Scooby-Doo digitally.
Experiments of some film producers are unlikely to come when the number of cinema viewers is shrinking due to the rise of streaming films. Last year alone, the average American watched less than three and a half films or the lowest in the last 92 years. [kontan.co.id/photo special]
