How does the film industry work?

Every month or fortnight, new movies are released; their trailers are released beforehand, which set people’s enthusiasm to watch these movies. However, we only see the final masterpiece and we categorise the movies as either good or bad. But have you ever wondered how the film industry works? Let’s have a look!


The Script

The Script is the baseline of a movie, as there’s no movie without it! Scripts can either be creative, adaptive of someone’s life or a book adaptation. Writers can inspire themselves by any means, but they must be sure that the script is original and sellable. The script is read and bought by a producer through an option contract. The first payment is made when the writer agrees that changes can be applied to the script, and the second payment comes on the first day of shooting when the script officially becomes the producer’s. Low budgets movie can pay up to £3,000 for a script while top script-writers can sell their work for up to £775,000.

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The Producer

The Producer can be termed as the “Head” of the movie as he/she buys the script, actors, director, crew and take care of the making of and selling of the final piece. Once a producer has bought a script, their goal is to sell the movie for more than they initially invested. A new producer with less experience and reputation, normally raises money from loans, investment, savings or credit cards to finance the money. As for well-known producers, they simply need to use their contacts or work with actors’ agents for less drama and hard work. The producer, whether experienced or not, should make sure that the film respects the agreed budget, and make a distribution deal before paying the staff members. Often, many producers have more than one script in development as financing is hard, and many of these scripts do not make it on the big screen.

 The Distribution Company

The Distribution Company’s role is to get the complete movie in cinemas and on DVDs. Given that they do watch the movie, know the actors and budget, they can choose their bargain and thus make huge profits. Distribution is a kind of marketing task, and requires huge finances. At times, there are more than one Distribution Company involved in the marketing of a movie. For instance, producers can sell the rights of the movies to different distributors: one for US market, one for UK market, one for DVD sales and one for the European market. However, if a producer does not find a Distribution Company, they can always enter Film Festivals to get their movies known.

The Cinema

The last part of the process is the cinema! Cinema owners select which distributors’ movies they want to show, and the distributors provide the movies to the highest bidders. The cinema owners should pay a share of the funds accumulated from the tickets to the distributors, and to the producers.

And this is how the film industry works… they all lived happily ever after!

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