#dstbn20

Distribution 2.0 is a professional network created to explore new means of marketing and distributing independent international feature films. Created as a pilot project in 2011/2012, Distribution 2.0 is designed to become a model in the worldwide film distribution of independent films. Distribution 2.0 encourages distributors, sales agents and filmmakers to pioneer and exchange ideas and experiences to market films foreign to their markets through social networks, viral marketing, digital distribution, day and date releases and flexible programming structures. Many of these are discussed frequently and this project is about putting these into practice and evaluating the results. All partners explore the options that the digitalization process (theatrical, promotion and Video on Demand), new marketing and distribution means can offer to the circulation of independent films outside their home markets. Surprisingly, the evaluation of our business shows: many independent distributors are eager to explore new paths but very few are capable to implement their vision. Each independent distributor is a single unit. Testing new distribution means is time consuming and increases the risk of investment. Independent companies lack the investment capacities with which vertically integrated companies can force experiments into the market. Nevertheless, independent companies can create new strategies with much smaller investments. Distribution 2.0 supports a group of selected distributors in these investments. Within this project, trade shall not be limited to films but shall include ideas, concepts, and visions. 

Distribution 2.0 2012/2013 This first session shall be seen and evaluated as an initial implementation phase. Summarizing it, most partners have selected to initiate long-term projects. One of the core findings when analysing the initial session is that no matter how quickly developments may appear to be, the implementation of new  schemes is either a heavy investment or a long way down the road of perceiving results. 

Distribution 2.0 fused multiple singular projects with no apparent connection into a single vision at the end of the session: Our Mexican partner Canana’s efforts to exploit European films on newly emerging legal VOD platforms in Mexico and pushing on release schemes led to their initiation of the “Canana on Demand” channel. 

Taiwan’s Joint Entertainment’s idea to research their Arthouse audience and create an App which would remind them in a personalized way of visits to the cinema, shifted towards building a Video-on-Demand platform. Since their research indicated a lack of Arthouse films available to the Taiwanese audience online, the platform will be dedicated to these films and shall additionally serve Joint Entertainment’s communication with their theatre audience. 

The Match Factory’s efforts to create social media profiles for their directors and initiating direct to VOD releases across a number of territories revealed the need for additional marketing and promotion when releasing online only. In consideration of the current limited revenue streams for online exploitation of films, such marketing efforts must be cost efficient in order to be economically justified. Consequently, the investment in a single, long-term brand may lead to a more sustainable result rather than an investment in a single title. A slate  parties. We have chosen this to become a target issue of the 2013 session. Independent companies will rarely be those establishing On-Demand platforms in a heavily competitive market. However, it will become a crucial tool to position independent films on multiple platforms in a competitive situation, not only competing with thousands of available films. The establishment of branded channels and dedicated fan groups is a must to stand out from this competition. It is our aim for the coming sessions to explore the options on the best marketing and positioning in this regard.

Distribution 2.0 was initially designed as a singular pilot project with a duration of 1 year. Knowing of our desperate need and that of our partners to plunge into the field of digital, online promotion and distribution, the concept for the first session in 2012 was set up on a partially theoretical basis. Of course, having a great overview of business developments worldwide, the position of the sales agent seem a perfect fit to initiate such project. Our business knowledge helped to shape the design of the project. At the same time, tackling new fields of communication and distribution is unpredictable. 

At the end of the first session all other partners had established their projects and even more importantly, they had integrated Distribution 2.0 in their everyday routines. The same can be said for The Match Factory. Some actions such as the exchange platform remain unfinished to the very last detail. Nevertheless, at the end of session 1 we had achieved a natural communication through the channels we created. A continuous discourse is established internally to evaluate and adjust any action taken. 

The process of analysing the first session showed that we could very well profit from the results of our Co-Beneficiaries. Findings on how to establish VOD channels, on online marketing and engaging audiences as well as difficulties encountered could be shared and used further on. Of course the environment and needs of a Mexican distributor and a European sales agent may seem to be substantially different. Surprisingly, we experienced that many questions and difficulties faced by the massive supply of goods and information online remains the same for all of our partners. This is something we could not predict with certainty.

Working on an international level  For the film business one of the most controversial aspects of the growing importance of the online environment is the disappearance of borders. It opposes the licensing and economical structure, which has been set up through decades. We have started to create awareness of films and directors from a global point of view. It is crucial to start thinking about creating an international image and to transform them into worldwide brands. 

Creating an international image of a movie is a challenge. A film can be perceived very differently in the various parts of the world. Through the actions implemented during this first year, we became aware of the best practices when communicating our films to a global audience and creating international brands out of them. 

One of the actions that helped most with this objective was the creation of our digital exchange platform through which the distributors are now able to easily share their ideas, experiences and difficulties when marketing our films. Although we are still on a phase in which we are refining the functionality of the platform, we could already use it with some of our titles. Thanks to the exchange of the distributors ideas and experiences we were able to identify the differences but also the common aspects of the audiences in the several territories. This information is very valuable in order to become more effective in the future when creating the international marketing campaigns of upcoming films. 

As mentioned before, it is our goal to make it possible for all partners to be able to benefit from all this generated knowledge. The project was initiated including both distributors and filmmakers and this has proven to be a crucial point. It would not be possible to design longterm online actions and campaigns without the participation of the creators. This could be seen as another change initiated through the online environment, the filmmakers can in no way be spared from the marketing process anymore. In the auteur driven focus of the company profiles of the partners involved in Distribution 2.0, the filmmakers have always been a focus in the marketing campaigns. This could now become the strong side of the independent industry.

An Important Perspective for our Business Profile  At the end of the first session, Distribution 2.0 has already become a longterm project. All partners remain for the 2013 session and they have created projects with an important perspective in their business profile. Canana and Joint Entertainment are developing their skills to compete in the on Demand market. The Match Factory has started to create online profiles for films as part of the promotional package, which distributors receive with standard delivery. Strand Releasing is adjusting online marketing strategies and Cinefil managed to release films successfully, which would have not had  a release otherwise. 

An extremely interesting case is the huge divergence in the online attention for the film “Oslo, August 31st” released in the US by Strand Releasing. It sesulted in a widely disappointing box office and even more disappointing on-Demand performance. The film had such high viral potential and coverage online that the Box Office which turned up around US$100.000, - had initially been expected to reach five times as much. The disengagement of online attention and cinema tickets is noteworthy and stirs plenty of questions on the behaviour of the audience for Arthouse films. 

Out of this very notion, Cinefil in Hungary is operating under an entirely different radar, acquiring projects, which can thematically be connected to differing platforms for a release - online, social institutions, niche interest groups. 

Their releases are not designed for a mainstream competition but try to develop cooperation’s, activities, interest groups, which are dedicated to small but committed releases. Their activities developed greatly through the three releases Cinefil was able to achieve during the 2012 session and these specialty releases could become a business model, not just in crisis stricken Hungary. 

All of our partners considered Day & Date releases with the movies they chose to be part of the project, but they were facing obstacles from the very beginning. For instance Cinefil did not receive rights holders’ approval on their strategy. Canana and Strand Releasing are dealing with highly competitive exhibition markets in which they could not risk sanctions of the exhibitors. Our partners will continue to consider pushing the limits on their releases thanks to Distribution 2.0. We will be able to gather experiences in this field little by little but the current focus is on marketing strategies and positioning of our films. The outcome of the collaboration with partners who work in diverse environments turned out to be a rich experience.

The Match Factory focused on developing singular marketing activities for four films:

JUST THE WIND by Bence Fliegauf

WADJDA by Haifaa al Mansour

WHEN I SAW YOU Annemarie Jacir

POSTCARDS FROM THE ZOO by Edwin

For JUST THE WIND we focused on creating an international brand through the intensive presence of the director, Bence Fliegauf, on social platforms like Twitter and Facebook. WADJDA helped us to introduce the digital exchange platform, which we have been developing throughout the session, to enhance the work with the different distributors of the film, as well as encouraging direct communication among them. As for WHEN I SAW YOU it was our first attempt to specifically promote an international premiere of one of our films through the social networks in cooperation with the producers and director. All these actions were combined and prepared to identify the best steps when implementing a release strategy for POSTCARDS FROM THE ZOO. Focusing on one aspect during each of these actions allowed to gather valuable information.

The campaign designed for JUST THE WIND aimed at a long term development of branding the director’s name through professional Facebook and Twitter profiles. 

We used the movie WADJDA to test the new digital exchange platform that we have created for our distributors to share and discuss their ideas and experiences.