Buffalo 8: How To Cut Through the Noise in the Over-saturated International Markets

 

Different sources provide different figures but the bottom line is the same — too many films are being made on an annual basis.

 

“Too many” seems like a very broad term – but it isn’t. A recently conducted study resulted in a finding that the international community of audiences (those able to attend theaters, view content remotely traditionally as well as on mobile) was able to absorb 1,000 film per year.

 

The problem — roughly 8,000 films we produced/released in 2013.

 

With the markets therefore over-saturated by 87.5% – the cliched adage once again applies: something’s got to give.

 

 

The saturation causation is also quite simple — technology. Once again this is a very broad term with many opinions weighing in regarding camera tech (easing the barrier of entry that existed 10 years ago when each filmmaker required pricey film stock) talent (actors are still able to demand high salaries but as is the case in all of economics – supply & demand causes pricing to drop and therefore talent take on projects that they would perhaps have passed on in years before) and financing (the “new new economy” as it has been termed is full of new debt models, crowd-sourcing and platform options for launching projects).

 

In turn the markets have been flooded with content — good, bad and everywhere in between. 

 

Big budget disasters, small budget successes and projects that come-and-go regardless of star power (remember The Internship?).

 

 

Perhaps the most definitive element of the “new film economy” is a major influx of genre content.

 

Genre content is defined by sales agents and distributors as broad universal material – action, thriller, sci-fi and horror.

All of these genre’s existed years previously but the sheer volume was never even close.

 

Head to AFM, the Cannes Marche or the Toronto film market — you’ll be shocked, upset and confused as nearly every film you pass by you’ll catch yourself thinking/saying out loud: “who is seeing, buying and making these films?”.

 

All valid questions — but the answer is simple — the world has historically been infatuated with the film business and now they have access to give it a shot themselves.

 

 

Just because everyone is making content doesn’t mean the system is working – because in fact it is not.

 

The DVD business is gone. 

 

The business of theatrically releasing content is highly inflated from a pricing stand point.

 

The cable business is in a constant state of flux (at best).

 

And the VOD business is booming (or so everyone would love to believe) but the monetization models have yet to flesh themselves out — leaving filmmakers and sales agents scrambling for revenue – let alone profits.

 

The bottom line is once again resounding — the days of premiering an indie film on a larger theatrical layout are gone.

 

Just a week ago we were sitting with one of the largest US based Sales Companies. With a library of over 300 titles and a track record of 20+ years in the international production, sales and financing game — this team has seen the changes of the business first hand over the years.

 

As we discussed a few of our library titles – for potential sales optionality – the owner of the company turned and said flat out: “the current system will be dead within five years”.

 

As the digital platforms, financing elements and technologies changed the structure – even the insiders agree that their current system is an archaic practice coming to an end.

 

 

At Buffalo 8 we’ve written at length about the sales side of the business (eBook here), the production side of the business (eBook here) and the financing side of the business (eBook here) and entered in to the indie film business at a time of great change.

 

Our perspective on the realities of what entertainment allows & requires of those who seek to make it a living — is quite different than those that came before us when the economy was booming with entertainment investments and the revenue/profits based on sales were exponentially larger than today.

 

For us – it’s been simple, the indie film space is a business and must be treated as such if you expect results to ensue.

 

We’ve followed a simple principle and we’re now at a place of great growth and and exposure because we stuck to the planning:

 

Establish yourself (your voice, your style and your presence) — for us, both at Buffalo 8 & BondIt, we established a business minded mentality that sought returns for our investors, a viable and sustainable company structure through the building of a library worth of content and a continual voice in the indie scene through constant production and op-ed pieces (such as this.) However, if you want to be a director – direct. If you want to be an actor – act. And if you want to be a producer – hustle. The bottom line is the same regardless of where the business ends up panning out with the technological advancements — money will be invested, returns will be made and careers will be forged — get involved and join the momentum.