Friday, July 13, 2018 10:13:30 AM
Quote:
* Ancillary Markets are Non-Theatrical Markets for Films. (Various, Multiple Forms of Television).
* Basically, Movie Theaters are just Distribution Points for Movies. One of Many Distribution Points. Initial and Introductory Point, but certainly NOT the Most Profitable.
* The Entertainment Industry and Ancillary Markets is 64 Times Larger than Box Office Receipts (703B/11B).
Ancillary markets are non-theatrical markets for feature films, like home video, television, Pay Per View, VOD, Internet streaming, airlines and others.
Television changed the Movie Industry forever. Before television, studios played their films in theaters exclusively. Today, feature films opens in motion picture theaters to establish its box-office value. After that is established, it is then released to ancillary markets in a particular order as follows:
- Video and Pay Per View (PPV)
- Premium cable services such as HBO, Showtime, and Cinemax
- Cable television
- Network television
- Television syndication
The sequence is to maximize the full economic potential of each market.
https://en.wikipedia.org/wiki/Ancillary_market
The Media and Entertainment Industry in the United States Today:
* $11 Billion - U.S. 2017 Box Office Receipts
* $108 Billion - U.S. 2017 Home Video
* $703 Billion - U.S. 2017 Media and Entertainment (M&E) Industry along with Ancillary Services and Products.
https://www.selectusa.gov/media-entertainment-industry-united-states
Box Office may get the hype and headlines, but Ancillary Markets is where HHSE makes their money. HHSE maximizes the Ancillary Markets for a Film at the least Costs.
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