ANIMATION COMPANY - HOW TO PROFIT?

The following article is from a Chinese website. I ran it through Google translate, so it may read a little bit strange, but there is great value in thee words. It is compiled from a recent round table discussion of current top industry professionals here in China. I hope it copies well below:

Animation company how to profit? Bo Yan Ying paintings, dance animation, super Shen Yingye, Jupiter, do two of these discussions | two yuan future summit


Original 2017-12-27 Three entertainment 3wyu.com three entertainment
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On December 21, Sanwen Entertainment organized the second session of the second-dimensional future summit, invited to discuss the animation company's cash-crop in 68 industries and the industry's future trends.

Among them, at the round table forum where the content is changed, the CEO of Bo Yan Ying Chen Chenyan, the dance animation chairman Zheng Lijia, superhuman movie general manager Liu Huai, Jupiter animation CEO Qu Xiaodan, two o'clock animation co-founder Zhang Qiang, 5 guests, and host Pan Bao, the founder of the animation giant animation on how to profit the animation company on this topic were discussed.

Now is the Internet economy, do not be behind closed doors, to open our horizons and maintain an open mind and cooperative attitude. - Chen Bo words

 
Some colleagues told me that in the field of animation and games, the product does not look at the probability of fire. But my personal point of view is that the more homogenized things look at probability, the more innovative things look more talented and attitudinal. - Qu Xiaodan

 

Realizing the problem does not have to be limited to a small, narrow circle of animations, but can jump out and look for more possibilities. - Zhang Qiang

 

To learn more, to be a good IP professional degree is very important, the more professional audience will feel the more authentic material. - Liu Huai

 

IP is actually a fan economy, is to do a good job to the audience fans look. - Zheng Li Jia


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The following is a round table Forum Record.

How to carry out commercial development of various companies?

Pan Bin: What I am sharing today is how animation companies make a profit. I would like to ask a few who briefly introduced the current situation of commercial development in various companies.

 

Zhang Qiang: Now our industry is in a very good period of rise, a lot of opportunities, a lot of cash flow path. So the problem of realization, do not have to be limited to the narrow circle of animation, you can jump out to find more possibilities.

 

For example, "I am Jiang Xiaobai," the cost has been covered in the development of more than half of cover, as a young love urban theme animation, suitable for implantation of advertising, not necessarily through backend game this way cash.

 

Liu Huai: The liquidation port our company has found is a video platform that helps us cover up to 30% of the upfront costs. The pay-as-you-go benefits cover the remaining 60% to 70% of the cost and can eventually barely return , I think this is a big breakthrough for us for the first time in the field of payment.

At present we also conducted the development of the game authorization, the game on-line for two months, the data feedback is not bad, it can be said that we have come in the harvest.

 

Chen Bo-yan: The value of the content itself is the basis for cash, good content is the premise to discuss the realization.

I have been in the film industry and the gaming industry for some time, in those two areas, we pay more attention to the content is not good enough, users are small, high traffic is not high; so a relatively fair time, energy and effort are put into the operation on. Our paradox today is that as more and more capital influxes and platforms begin to take shape, animators are increasingly considering cashing out rather than content.

 

Instead of discussing how to turn animations into money, we discuss more about how animation works are more influential in other areas, such as the previous ones talking about how to make other commercial businesses and traditional industries realize the value of animation, which is also The things our company has been doing for more than a year.

 

As an animation company, a content company, to make good content, but also take into account the business model, fan operation, business cooperation, is very stressful. Later on, I also discovered that it was worth considering the question of money to our partners, film and gaming companies, because they had already walked through the road to realization so that we could concentrate on how to get things done better.

 

Qu Xiaodan: Our main work is the original animation "bumpy world", each month there are more than a thousand second creation upload to B station. Its outbreak was in 2017 but its accumulation started in 2013 and it has only been gradually achieved in the past five years.

Animated products to cash, the most important thing is to find a fan user groups, the product made by the animation IP must be to C, not to B, not to VC. Do IP must think of end users, consider the idea of consumer products fans, what they are willing to spend money. Traffic and capital have little meaning in the IP itself, but it helps, giving you a boost, but they must not be the object of paying for IP.

 

I think it takes a long time for the animation to make a profit. It must be making a long money, not a quick money.

 

Some colleagues told me that in the field of animation and games, the product does not look at the probability of fire. But my personal point of view is that the more homogenized things look at probability, the more innovative things look more talented and attitudinal. If you ever try hard to think of animations as creative from the start, there are many novel ideas that emerge during the production process. Maybe the work has not finished yet, some partners have been around to seek cooperation.

 

Zheng Li Jia: IP is actually a fan economy, is to do a good job to the audience fans look. We do more diverse animation: "Tai Yi cents recorded" is a fairy Xia genre theme, "Mashimaro" more relaxed and lovely, the user's age is different, the mode of realization is not the same, but always the content as the core, the Dancing years of production experience to play out to do more extreme picture effect.

 

"Taiyi Fairy magic recorded" initial plan is to take the game authorization and film adaptation of two ways, derivatives we almost did not consider, because the impact of IP and the value is not big enough, extended product purchase rate is actually very low.

"Mashimaro" is not the same, because of the audience base and awareness is relatively high, from children to adults of all ages will prefer this adorable and cute type, the mode of sale from the sale of derivatives to a variety of authorized cooperation are Can go through. Each IP attributes are not the same, the audience is different, to develop promotional strategies and ways of realization will be adjusted.

How to build a business plan?

Pan Bin: Just now everyone introduced the company's business development. The next question is how to build a business plan and how to ensure the smooth implementation of the business plan to ensure maximum profitability.

 

Zhang Qiang: animation and comics compared to higher input costs, trial and error rate is almost zero, into a success, the unwillingness to throw in, it is difficult to have a big leap in the late. So to do an animation, from the very beginning there should be a corresponding cash flow path, investors, co-produced or commercial partners will do.

 

Take our company as an example. Before any project, there will be a project committee to review. The company's screenwriter, director, production staff can submit a plan case, the project committee to consider the feasibility of the story, analyze the target audience, whether there is more room for expansion and so on.

 

Chen Bo-yan: Genes of a team are very important, as long as good things adhere to, as long as serious, perseverance will be able to do as long as perseverance.

 

I think the same is true for animation companies, we're just a few more people than traditional fiction and comics teams, and the creativeness of these people is combined to become a video content, so it may be higher than traditional fiction and comics , But the fate of all things is to be classified as a creative core.

So I think the animation company, on the one hand need to consider how to make their own content well, on the one hand do need to empathy, thinking about business cooperation with you and why the platform will come. Platform may need your content, other companies need your users or a good image, when you know your customers clear, they will do more with less.


Let me talk about the animation business professionals to do professional work. If we do a lot of traditional industries have done, the entire industry is done by the animation company, then the animation company is too much, this is impossible. I actually call on us to form a strategic alliance with people in the industry and think about how to get people outside the industry to understand the animation industry.

What we do is not only animations, but also other products such as movies and TV dramas that are extended to bring more stack effects so that the traditional companies outside can recognize that what the original animation company is doing is of value. These users are Valuable, they need to work with animation companies, whether advertising or product co-operation.

 

So I think the animation industry people, first of all to be confident, cash is not the most important, more important is how to embody self-worth. I think this value is not only reflected in the realization, but to be able to influence a generation and their thoughts.

 

We can recall the foreign cartoons we were looking at as a child. At that time I heard such a joke when the works of some foreign enterprises were broadcast to us free of charge. Some of the TV stations said that this foreign enterprise is too silly to spend so much money Hundreds of cartoons gave us a free broadcast, but then the company did not know how much it made selling toys in China.

And why should South Korea broadcast TV drama in China. They do not want to sell copyrights for the TV series. Instead, they want to promote a range of products and cultures such as plastic surgery, cosmetics, clothing and Yan value culture. This is the smart place for foreign companies.

 

Qu Xiaodan: Our company's creative thinking is more based on trust, this may not be the same with other companies. Our company's first IP "bumpy world" is because our director likes this type by himself, and he feels that he is best at this type. After a long time of contact, we have a lot of trust in his professionalism, dedication and enthusiasm for writing, so he created The Bumpy World.

Our second IP is the work of another of our directors. He has no feeling for such a bloody boy. What he prefers is something more like a "game of rights." Then our positioning or requirement for the second film is the director to play their own good, and then the company to allocate resources, effective operations and product development. This piece of work is totally different from the set of thinking of "bumpy world," with a higher audience of targeted senior high school students aged 18 to 22. What they like about their consumption patterns or product ideas determines this Post-operational logic of the work.

 

Zheng Lijia: Ye Hao Ye, comic Ye Hao, paid data performance are not bad, I believe that the content of the future pay-for-animation will be up, when the content to solve the problem of payment, the content itself can be realized can have benefits, but at present and Animated film project that no one can escape the movie travel.

We each project has a project leader, a producer to manage, he initially, will select the appropriate director, screenwriter art pre-team, operating team, to make content planning, planning and commercialization of the promotion Realization plan.

Message to the industry

Pan Bin: I believe so many years to come, there must be a lot of emotion, and finally ask you each send two sentences to the same guests as content creators.

 

Zheng Lijia: I hope everyone will stick with their original content and do not be guided by the wind. Because in fact, what is not popular, what is not popular, but rather that you can create a good content, so I hope we still have to forget the beginning.

 

Qu Xiaodan: I think IP must be a long time to accumulate, in the short term it is difficult to see if it is IP , the same thing in different stages also have different states, like "One Piece" for the first two years because of Ota Style is not too acceptable, almost was released, but slowly persevered, made so much IP now.

I think the cultural industry will always be a sunrise industry, all creators in the choice of doing this line, we must first clearly know that this line is very bitter and very tired, maybe your income is not proportional with the pay, when you feel that I suffer so much Bitter, so many sins are also willing to go, then walked on to heedless move forward, do not give up halfway, IP must be the result of long-term accumulation.

 

Chen Bo Yan: It is the Internet economy, do not be behind closed doors, we must open our horizons and maintain an open mind and cooperative attitude. Therefore, I advocate that we should do more exchanges and communicate with each other, and even if we jointly do some good projects, we should gather firewood and flame so many people work together to do one thing. I believe this can certainly be done.

 

Liu Huai: The first sentence may be for myself, that is, to learn more because we do a lot of very specialized areas of expertise, and my personal level of knowledge is really limited, so we should learn more and do a good job IP professionalism is very important, the more professional audience will feel the more authentic material. The second sentence is that this industry can really go far. Therefore, I hope Members will not give up.

 

Zhang Qiang: I send two words to myself, but also to you all, the first word is boil, I think the animation industry is boil, boil to a certain extent, you will find that they have become refined. The second is love, only love will have greater motivation to go back and do animation is not easy, so many years to survive a small number of companies. Therefore, I will give a suggestion that within two or three years, everyone can be very sophisticated in his own field and be able to establish his own threshold. After three years, you will suddenly find yourself really powerful.


END
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THE MOBILE FUTURE OF ANIMATION?



It seems as though the majority of creators continue to create with Hollywood films in mind, even though the reality is that their creations are likely to never see the inside of a cinema. I don't mean this to be a bad thing. Ticket sales are going down, across the board, for a reason. There are numerous other platforms vying for audience attention. The most prevalent is, of course, mobile.

There are more mobile devices in hand, in China alone, than there are cinema goers worldwide. There are more subscribers just on China Mobile, than there are DVD and BluRay players worldwide. Desktop computer sales have been falling for years and mobile content viewership overtook that ages ago. Right now, today, if large numbers of people are watching your content, they are probably watching it on a mobile device. The majors already know this.

"Netflix has hinted that it hasn’t ruled out creating ‘vertical’ content specifically designed for watching on a mobile screen, with the platform’s founder and chief executive Reed Hastings revealing that “people are talking about it” and “maybe one day” it will look into it." According to The Drum. According to Forbes, Netflix Chief Product Officer, Neil Hunt went on to discuss, "the company’s consideration of reframed and differently cropped versions of Netflix content designed to play better on a smaller screen. This could include creating versions of content with shots that will be more easily visible and immersive on a mobile phone. Certain shots, he said, can be difficult to see and can even appear diminished on smaller screens. In addition to existing desktop-format shots being altered, new shots could be made specifically for mobile viewing. For example, wide angle shots could become tighter to make a greater impact on a mobile display."

While Netflix is thinking about it, though, Youtube, National Geographic, MTV, BBC and others have already done it. Why? Some are estimating that as much as 70% of video content is now being consumed on mobile devices. While commuting on the train, on the bus, or eating in line somewhere, people watch video on their phones. On top of that, "Mobile users hold their phone vertically over 90% of the time, and some estimates are as high as 97%. If a user has to rotate or tilt their device to view a video ad properly, the drop-off rate will increase dramatically." According to the Exchange Wire. So this begs the question of whether or not the future of animation will look like this:

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