4 ms·

This used to be the Hollywood model. In the 1970s, for example, studios made movies like you describe. Over time, they've found it's more profitable to release

This used to be the Hollywood model. In the 1970s, for example, studios made movies like you describe. Over time, they've found it's more profitable to release fewer movies that are surer bets, which is how you get this endless parade of formula movies with $250m budgets.

VLM 13y ago
Don't confuse a local maxima with a global maxima. Or, the dead hand of the free market always wins, err... unless you have no free market. Or confuse narrowcasting with broadcasting. A good Hacker News car analogy would be 70s/80s Detroit iron vs Japanese imports. When its just onshore, long term trend for the local maxima was to ship junk. Then you get some competition and that doesn't work anymore... In the very long run, like the car analogy, the newcomers have to hurry up and cash in while they can, because the entrenched interests will eventually adapt.
aamar 13y ago
It's not just that it was discovered to be more profitable in the abstract. Technology changes are a big factor too. Since TV achieved widespread penetration, movies have had to promise something new: either visual spectacle, something deemed unacceptable for broadcast, or something too serious/subtle/obscure. The combination of cable and HD TV have more or less eliminated the latter two categories. HD TV can adequately deliver pretty much any non-"spectacular" content. So audiences are, in general, not as likely to visit a theater for this, i.e. pay the cash required.
- TylerE 13y ago
  Think of what I'm proposing as the "Shawshank Redemption" model. Don't focus on box office sales, focus on the complete picture, and focus on compelling storytelling. Shawshank peaked at #9 at the box office, only making back about half it's budget. In the home video market, it has just exploded, selling over 5 million copies in the UK alone. (http://www.bva.org.uk/news-press-releases/members-press-releases/itv-global-entertainment-makes-history-shawshank-redempti http://www.bva.org.uk/news-press-releases/members-press-rele...). That's kind of mindblowing...about the same number of copies as Sgt Peppers has sold in the UK, and way more than any contemporary album - the closest comparison is probably Oasis's What's the Story? (Morning Glory) at 3.3m units sold.
  - lmm 13y ago
    There's no "Shawshank Redemption model". It's an outlier, a one-off, and it would be foolish to base your business model on the idea that you could replicate it.

VLM 13y ago

Don't confuse a local maxima with a global maxima. Or, the dead hand of the free market always wins, err... unless you have no free market. Or confuse narrowcasting with broadcasting. A good Hacker News car analogy would be 70s/80s Detroit iron vs Japanese imports. When its just onshore, long term trend for the local maxima was to ship junk. Then you get some competition and that doesn't work anymore... In the very long run, like the car analogy, the newcomers have to hurry up and cash in while they can, because the entrenched interests will eventually adapt.

aamar 13y ago

It's not just that it was discovered to be more profitable in the abstract. Technology changes are a big factor too. Since TV achieved widespread penetration, movies have had to promise something new: either visual spectacle, something deemed unacceptable for broadcast, or something too serious/subtle/obscure. The combination of cable and HD TV have more or less eliminated the latter two categories. HD TV can adequately deliver pretty much any non-"spectacular" content. So audiences are, in general, not as likely to visit a theater for this, i.e. pay the cash required.

TylerE 13y ago
Think of what I'm proposing as the "Shawshank Redemption" model. Don't focus on box office sales, focus on the complete picture, and focus on compelling storytelling. Shawshank peaked at #9 at the box office, only making back about half it's budget. In the home video market, it has just exploded, selling over 5 million copies in the UK alone. (http://www.bva.org.uk/news-press-releases/members-press-releases/itv-global-entertainment-makes-history-shawshank-redempti http://www.bva.org.uk/news-press-releases/members-press-rele...). That's kind of mindblowing...about the same number of copies as Sgt Peppers has sold in the UK, and way more than any contemporary album - the closest comparison is probably Oasis's What's the Story? (Morning Glory) at 3.3m units sold.
- lmm 13y ago
  There's no "Shawshank Redemption model". It's an outlier, a one-off, and it would be foolish to base your business model on the idea that you could replicate it.