The general perception is that they are fun to make, achievable on the lowest budgets and can earn a lot of money. The final item on that list normally relies on the assumption that the horror movie in question has a chance to be the next Paranormal Activity or Blair Witch Project, both of which were ludicrously successful and therefore almost certainly highly profitable. But what of the horror genre more widely? For every runaway success, there are a whole host of flops and failures which make no money and are barely watched by. This research is just one part of an eighteen-month project I conducted studying all aspects of horror movies. Profitability is always a tricky topic to cover in the film industry.
“We’re going to need a bigger boat”
Quoctrung Bui. Imagine this scenario: you’re a big movie producer with a little bit of cash in your pocket, ready to invest. What kind of film are you going to back? What movie would be the best deal for you? A key metric for any investment is return on investment ROI. It’s a measure of the amount of profit from an investment relative to the cost of the investment. The higher ROI, the better the investment. Using data from Studio System , a company that collects entertainment industry data, we looked at what kind of films have had the best return on investment over the last five years. And within the horror category, profits can be huge on small investments. By comparison the top films in comedy had an ROI around 1, percent.
What’s the average cost of making and selling a Hollywood blockbuster?
The key thing about horror is that it’s relatively inexpensive to produce, and as our recent radio story shows, marketing can have a tremendous impact. Obviously if you’re looking for the biggest payoff in total dollar amounts, the most profitable films in Hollywood will still be the traditional action and drama blockbusters. Look at this year’s big summer flick, Jurassic World. That’s an ROI of roughly percent.
Biggest Year: 1973, $232.9 million
A total of ,, million tickets were sold to see horror movies in compared with 55,, the previous year. Other horror hits in the top 30 movies of included M. As a result horror rose among all genres in terms of market share from being the sixth most popular in to third in Loria added that movie economics is fuelling the commercial clout of the genre. You can produce it for not that much money and get very big returns. In an age of superheroes and shared universes where everything increasingly feels like a big-budget franchise, that can really be a big asset for studios. You want diversity and not just characters and titles that you will also find on lunch boxes. Horror very much delivered it this year. But that originality looks set to be tested next year. Economic Calendar Tax Withholding Calculator. Retirement Planner.
1. Horror Movies Are the Most Profitable Genre
And yes, sometimes theatrical income can be less than the cost of the release. Nic Phillips August 11, at pm. Stephen Follows July 13, at am. Thank you for all the work that went into. The studios often try to hide the true cost of a movie, in order to make themselves seem thriftier, smarter or more in control than they actually are. Michael L Edwards. Marketing and avertsing are not mudh, save maybe for the on-set photographer and a publicist who shows journalists around the set. Alternative Investments Indutry to Invest in Movies. Thank you, Stephen for some scintillating reading. Stephen, indsutry, please put all of this marvellous stuff in a book. International — The release of the film in the rest of the world combined.
What horror films teach us about ourselves and being human — Dr. Steven Schlozman — TEDxNashville
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When you think of the most profitable movies at the box office, you probably think of the Hollywood blockbusters — films that grab headlines because of their huge budgets and equally huge profits, like «Avatar,» «Titanic» and «Pirates of the Caribbean. Most of the time, movies with smaller budgets provide studios with the most bang for their buck, if the film reaches a profitable state. We’ll take a look at the top 20 movies that have provided the biggest return on investment ROI according to industry mae website, The Numbersand the ones that have been the biggest Hollywood flops, to find the movie genre that consistently provides the best returns. After the dollar value of the international gross is divided by the movie budget, this value is divided by two to obtain the percentage return ; this extra step is conducted in order how much money does the horror movie industry make mae the approximate funds that are returned to the movie studio. It should be noted that The Numbers’ statistics are rough estimates of budget and box-office income, and DVD sales and rental income are not included.
The most profitable types of horror movies
Do the characters in these classic films reflect what it’s like to work on Wall Street? Bottom Line Though The Numbers might not be precise, it gives a good estimation of the movie genre that can provide the best ROI at the box hirror. Some of these films did get limited release and went on to make a lot of money through sales and rental, but many of them simply lost their respective film studios buckets of cash. Overall, horror movies consistently have the most films in the top 20 for ROI and the least in the lowest 20 ROI, while drama is the exact opposite, having just two in the top 20 and dominating the bottom
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