Piracy is rampant, and starting now and continuing into the future those that directly pirate or do not condemn their friends from doing it will see their own abilities to make a career out of making direct-to-end-user videos diminishing whether that is Music Videos, instructional movies, or indie features, and the market will begin to evaporate before their very eyes. The same people that 8 years ago were sitting in their room downloading movies from KaZaa or whatever are now protesting the fact that the DVD market is insecure and piracy is rampant. Accept some blame. The generation that this applies to mostly loves to throw blame around and point fingers. Well start accepting some for what you've done.
I disagree. I think the market is simply responding to the lack of innovation in distribution and poorly marketed products.
Top 100 Torrents of Movies as seen on Pirate Bay:
http://thepiratebay.org/top/201
About 90% of those movies I've heard of and are Hollywood studio fare that STILL turned profit (ie. Dark Knight, Iron Man, etc). The other 10% are either foreign films, films I've never heard of, or films I've only heard of because of my connections to the festival circuit.
The TOP movie right now however, "Passengers" with Anne Hatheway... I've never heard of it before... and it has 11683 people SEEDING the movie. Interesting.... Why is a movie I've never heard of the #1 pirated film?
According to Wikipedia: "As of December 2008, the film grossed total of $1,996,506 which comprised of $292,437 in domestic location and $1,704,069 in overseas location.[1]" "Widest Release: 125 theaters"
Looks like a flop. Let's find out what went wrong.... let's do some math.
Assuming the 125 theaters is for domestic release, that's $292.437 dived by 125: $2339.50 per theater over the 2 week period it was in theaters (actually: (125 theaters, $1,380 average) according to box office mojo). Divided by 14 days, that's $167.11 / day per, per theater. Barely covers the manager's salary. And considering the movie made more than half of it's domestic intake in opening weekend, that means for the other 12 or so days of it's release the theaters were probably pretty bare. Why 125? Why haven't I heard of this movie? Why is it #1 on Pirate Bay?
The Sad Part:
Budget: $25 million
The Sadder Part:
Plot: Complete rip off of the sixth sense (spoiler: she is treating passengers from an airplane crash until she finds out she and all of them are dead, oooh).
So now that we've collected all this data, what's the problem here? We need some data to compare this to.
Well, who produced this?
Mandate Pictures- the same people who brought us such classic "indie fare" as Juno, the Harold and Kumar pictures, 30 Days of Night and Nick and Nora's Infinite Playlist.
So let's look at another flick of theirs- Nick and Nora. I saw this at TIFF with an intro from the Director and LOVED the flick. Great original date movie with a quirky feel, brilliant cast and awesome writing.
Here's their stats:
Domestic: $31,487,293
Opening Weekend: $11,311,751
(2,421 theaters, $4,672 average)
In Release: 45 days / 6.4 weeks
And most importantly: Production Budget: $10 million
And I had heard of this- in fact, there were little "Follow the white rabbit" stencils all over the sidewalks in Toronto, plus posters EVERYWHERE. Keep 2,421 THEATERS in mind, compared to 125.
So the next question is, on Pirate Bay, how many seeds?
Well, it's
NOT EVEN ON PIRATE BAY. In fact, on ISOHUNT, the highest number of seeds was 72.
72.
---------
So what does this tell me?
How do these numbers make sense?
Well- on one hand there's an unoriginal, practically unmarketed movie with Anne Hathaway with a production budget of 25 Million that was released in only 125 theaters and is the top pirated movie right now.... and from the SAME studio, we have a $10 Million movie with Michael Cera that tripled it's budget in it's theatrical release over the
2,421 THEATERS and has practically nothing in the pirate channels.
Thus, I would conclude the problem is:
Films that get pirated are ones where the marketing team could not build VALUE or ACCESSIBILITY into their products.
And therein lies the rub... the "free market" looks at Passengers and says "WTF is this?", does a few google searches, see's the mixed reviews and recycled plot, plus it's only playing in major cities... and decides it's not worth paying for / Driving 6 hours to see. These people, the studio calls "potential revenue lost", but in reality, if they couldn't get the movie for free online, they simply would not have watched it.
On the other hand, the free market sees posters and trailers and buzz and good reviews for Nick and Norah's movie and decides "This looks worth my money", and it's playing in a theater near them, so that makes it easy. Familiarity and Accessibility, my friends.
-------------
So will we, as indie filmmakers continue to blame pirates like the banks blame the economy for their woes?
What's going on here?
1) a $25 Mill budget versus a $10 Mill budget...
2) A non-existent marketing campaign versus a smart, saavy grassroots campaign
3) A non-original plot versus a fresh and original (albeit Juno-like in style) plotline
4) A poorly distributed picture versus a widely available one.
Do you see a pattern here? Or will we blame the pirate for the fall of Passengers?
So why do people pirate then?
1) No value has been built into the product.
2) The product is hard to get / not available
And that's the KEY.
Instead of griping and moaning (tell yer friends not to pirate or you'll rat them out to some federal agency like they did in the McCarthy era) - FIGURE OUT the WHY!?!?!?! and then fix it.
Now you know- it's a marketing and distribution problem.
If the film was available online for $5 a view, if the film had been marketed more effectively, to the right markets, at the right time... if the budget costs had been reduced, if the script had been more original...
If, if, if, if, if....
If you don't like the pirates, become a ninja! Make movies that people perceive VALUE in, that are ACCESSIBLE and ORIGINAL and spend as little as possible making that movie... and you'll be a winner!
The problem is that people have been tricked by trailers and slick marketing in the past- the consumer is smart now, the consumer has tools to RESEARCH things before they commit money. So be smarter.
People like Kevin Smith, Tarantino... these guys build value into their projects from the screenplay up. They build loyal fan bases. They produce fresh and interesting concepts.
---
Let's turn the spotlight on me for a second... we did a feature: Macbeth 3000: This time, it's personal.
Geoff cut a GREAT trailer for the film... the actual movie itself has it's moments but overall is pretty bad.. I mean- Shakespeare meets Bond done by High School kids from Canada??? What do you expect?
But the trailer got us into the Youngcuts Film Festival (and THEY called US), it was shown on CBC twice and Razor channel once to a national audience. The trailer won an award at Youngcuts.
And to this day I get the occasional email request from people as far away as Australia, Louisiana, Oregon, Austria, UK requesting a copy of the DVD.
Just 2 weeks back some troll went on youtube and posted on the trailer's page "YOU PEOPLE SAID THIS WOULD BE COMING SOON 3 YEARS AGO, WHEN CAN I GET THIS???!?!?!"
And I did put out a torrent a year ago, but couldn't get enough seeds... cause let's face it, there ain't THAT much interest in it.
So since our premier in 2005 the movie has sat there... stalled talks with online distributors that can never get up and running... and just this week I've determined myself to figure out how to properly encode this sucker and put it up on Youtube... why?
Because why should people pay for a product that has little value and no accessibility?
I'll put it on Youtube for one reason- not to give Macbeth 3000 Value... to give it accessibility... then, when people watch it for free, THE FILMMAKERS will have GAINED VALUE.
Thus- the "Pirate Market" provides accessibility in return for value. It is filling the void of the wealth of "streaming monetized content providers" out there that still don't have their act together.
With no budget for a marketing campaign or a 3,000+ theatrical release, you make your product available so it can get exposure... THEN, you can start building value into future products.
I believe this rule applies to studios as well. It's part of the "you have to spend money to make money" philosophy.
I admit to piracy (in moderation), and proudly.
If it weren't for pirated content, many of the bands and filmmakers I love (and spend money on today) I would have never found.
----
And on the last note, there was mention of a guy who did a documentary on FREE SOFTWARE and ended up griping because he couldn't make a profit on it.
I've heard of this guy, in his next project, he bottles AIR and tries to sell it outside the GM plant.
Fact is- filmmaking is a business AND an Art.
When either side of the equation SUCKS, both suffer.
The philosophical question on the art side is- what are people paying for? The right to "SEE" a movie, or the right to own a product or partake in an experience at a cinema?
The practical question on the business side is - which is easier and more profitable- building more value and accessibility into our products to provide more competition to piracy, or restricting the way people can see a product?
One day, if we went your way (and I know this sounds like a pinko-liberal rant) the only way we could ever see a movie was at a high-security zone, getting frisked and having to check out cellphone cams at the door. And still, piracy would be out there in some form or fashion, catering to those who just can't deal with the pricey bullshit, lines around the corner and advertising that practically rapes your brain.
On the other hand, if we retool and reinvent the distribution and marketing system (think what google did for web searches) I see a future where MORE movies can get out there and profit in a system of healthy competition that caters directly to the consumer. Piracy would still be there, as theft will always be there in reality, but it would be marginalized.
So there.
/rant