Distribution Trends For 2024
+ is You Tube the sleeping giant we've been waiting for?
In my last dispatch I gave you my DIY Guide for Actor Analysis which is my framework for vetting talent that can move the needle for financiers, festivals, and distributors.
Actor vetting is routinely one of the biggest pain points I encounter with Producers and Filmmakers I work with and for me, it’s something that’s second nature due to my background in distribution. So I love discussing that topic!
I love discussing distribution too and today I’m going to take a bit of a left turn from Packaging and talk about new Distribution trends and Releasing Strategies for feature films, Docs, and Series. I’m in the trenches on a handful of releases right now and I’ve made some surprising discoveries that I wanted to share with you.
It all started when I received Producer reports on a few films I currently have in release. To my surprise, SVOD licensing rates are way down in 2024 whereas that used to be the biggest number on my reports in the past. Those figures are now much smaller - for example, in 2019/2020 I’d routinely see mid six figures for Streamer licenses, and now it’s down in the low to mid five figures just to give you an idea.
What stood out to me though on these reports are two platforms that are seeing increased revenue quarter after quarter - both Tubi and You Tube Movies & TV.
Tubi is pretty well known at this point for being one of the largest ‘free’ streaming channels monetized by ads (AVOD). However, You Tube Movies & TV really surprised me because I didn’t realize so many people are watching full length movies and series on You Tube…. but turns out they are. In droves!
A few distributors even told me YT is their biggest revenue earner for some of their films by a landslide. It’s also the fastest growing streaming platform right now for movies & TV and expanding to new countries in 2025 (this is key!!).
Most of the films and series on YT Movies & TV are free and monetized with ads (like Tubi). And with an average revenue per title of 50% higher than Tubi, it’s a huge opportunity right and only going to get bigger as it expands internationally next year.
The catch is that You Tube Movies & TV is extremely selective with its distribution partners and unlike ‘regular’ You Tube, you can’t just self-upload to the Movies & TV platform. For their Movies & TV platform they have a high bar on quality and delivery. So while you’ll still have to go through a distributor to get up on this platform, it can be as simple as signing up with Film Hub or even asking your current distributor if they can pitch your film to YT M & TV. If your current distributor does not have a direct relationship with them, ask if they’ll agree to sublicense those rights to someone else who does so you can take advantage of this opportunity.
Releasing on You Tube can work well for new titles but also for ‘older’ films in your catalogue - for example, on a couple of my films more than a year or two old, we’re getting them up there for long tail monetization. 💰
Real Talk
Which brings us back to real talk on budgets because in all of my distributor discussions and scrutinizing of producer reports I’m not hearing or seeing seven figure revenue coming from any AVOD platforms just yet. I believe we’ll get there, but right now in 2024 your shot for seven figure revenue is most likely to come from a few major buyers or streamers who have that money to throw around at all-rights deals at major festivals.
But for the rest of us? We’re looking at five figure SVOD licenses and a multi-platform AVOD approach in partnership with a solid distribution partner who has established relationships and a stellar reputation for quality and delivery. That multi-platform AVOD approach can yield into the six figures of revenue if you catch legs with audiences, and over the course and lifecycle of the film, can potentially return multiple six figures in revenue. For context and as an example, the kids series I’m advising on is projecting break-even with distribution, and their profit centers and upside for investors include merchandise, live events, games, and other ancillary sources.
For independently produced narrative feature films, I’m still a big believer in making the best film you can with the best talent you can afford and trying the Festivals > Distribution route and if you’re lucky, finding a distributor who will invest a little in a small 5-10 theatrical run to ‘push’ the film to market. We saw disproportionate success leveraging this approach with a couple of my films in the last two years and I’ve got a few more in the pipeline where we’re pursuing this ‘traditional’ strategy.
However for a subset of other films and series I’m working on (mainly Docs and in the Kids space), I’m optimizing for low cost, high production value, timely genres, with an eye towards capitalizing on the vast AVOD distribution universe including the entire equally fast-growing CTV/FAST landscape. 💥
☝️ What questions do you have around Releasing Strategies for your film?
If you want a specific distribution roadmap that is customized for your film, consider joining me over at FS Pro, my private membership community where I can advise on distribution strategies and optimizing a release for your film.
And of course, hit me up in the comments with any questions you have. I love interacting with you all there 😁
Have a wonderful rest of your day and I’ll see you again soon….
Stacey
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“ I’m still a big believer in making the best film you can with the best talent you can afford and trying the Festivals > Distribution route and if you’re lucky, finding a distributor who will invest a little in a small 5-10 theatrical run to ‘push’ the film to market. We saw disproportionate success leveraging this approach with a couple of my films in the last two years and I’ve got a few more in the pipeline where we’re pursuing this ‘traditional’ strategy.”
What I needed to read today.
Thanks again Stacey, hope you’re well. Eyeing the FS Pro group in 2025 after I’ve finished PostProd for our short.
Hi @staceyparks, thank you so much for sharing your valuable insights. I’m very curious about getting an as-accurate-as-possible market value estimate for my upcoming feature film. In David Offenberg’s book “Independent Film Finance”, he mentions that you should either consult with a sales agent, or gather sales data from festivals for films similar to yours from the last 5 years. I’m bumping into a problem, which is most of those sales numbers aren’t publicly available. Do you have any advice for going around this? Thank you!