In a world where a billion people can create and share content, Hollywood studios compete against their own consumers for audience attention. Hundreds of thousands of hours of video reach audiences through a growing number of channels each day. Web Video Platforms enabling your four-year-old nephew to compete with studio mega-moguls struggle to sift through the infinite noise to help you find the best entertainment. Hollywood Studios struggle to efficiently recapture audiences after the curtain closes, left only to throw billions of dollars marketing desperate pleas to past successes through a record number of franchises, sequels and remakes. As a consumer, building a loyal relationship with either continues to prove as difficult as siding with a parent through a divorce.
The theatrical and home video businesses treat content as a commodity, marking up ticket and a la carte prices to record-high margins. The television and internet businesses treat content as expendable to sell advertising and subscriptions. The answer, for consumers most loyal to great storytelling, lies somewhere in the middle. As the music industry learned through live shows versus lost sales via easily transmittable mp3s, sustainable value lies not in the content itself but the experience through which people consume it. Great content markets special experiences. Rather than fighting an uphill piracy battle, consumers continue to challenge the industry to focus on making it as easy as possible for them to access content in any and all formats that maximize their personal experience. Greater the experience, greater the value.
In the Information Age, consumers expect better quality at their own convenience. Make them wait or jump through hoops and they will likely go elsewhere or steal from you. Are they criminals? The law says so. But the studios are responsible — for failing to build a better relationship with and serve audiences who love their content. As the Internet evolves into a responsive utility with no prejudice between screen sizes or location, producers have the opportunity to reach limitless platforms with ease. What are we waiting for?
With the capacity to reach any screen at negligible distribution cost, how can the industry create the illusion of value in content itself? Commodity value comes from scarcity — supply and demand. Digital can transmit anywhere, anytime, ad infinitum. Unlimited supply. No scarcity. When movies exist as ones and zeros, good luck convincing audiences to pay $30 for a file or stream.
Scarcity, then, can only come through wrapping the movie with an unforgettable experience. The “wrapper” can manifest as a better video player, larger screen or infused relationship with a fan community. But that’s only the beginning. Sure, digital can transmit ad infinitum, but “once in a lifetime” experiences cannot. Exclusive themed dinners, costumed extravaganzas or private viewings with filmmakers all fit the “once in a lifetime” thesis. An experience you cannot rewind or replay. An experience worth paying for. How much would you pay to sit next to Steven Spielberg and watch Jurassic Park or E.T.? The more inventive and unique the experience, the greater the value. Popcorn and surround sound do not sell tickets anymore.
Want to compete against small screens, millions of content “producers” and the Internet abroad? Make content easy for audiences to consume and help fans live your stories.
Don’t just make movies; create memorable experiences.