How Much Do Movies Cost? A Filmmaker’s Guide to Amazon Prime Success

In 2014, Tom Kerevan and his team produced “Tear Me Apart,” a feature film made for £75,000. Eschewing traditional sales routes, they strategically targeted Amazon Prime. This article shares their journey and insights into navigating the platform. While a magic formula for the Amazon Video algorithm remains elusive, two years of research have revealed valuable lessons about online film release.

A Favor to Ask: If you’ve seen “Tear Me Apart,” please leave a review on Amazon. Positive reviews help compete with big studio movies. If this blog is helpful, watch and review the film: https://www.amazon.co.uk/Tear-Me-Apart-Alfie-Stewart/dp/B01HSX96EW. Also, give it a star rating on IMDb: http://www.imdb.com/title/tt3562966/

Amazon vs. Netflix vs. iTunes: Why Amazon?

Why choose Amazon over Netflix and iTunes? Three key reasons influenced the decision:

  1. Cost: Amazon is free to list your film. Netflix and iTunes require third-party aggregators, costing around £1,500 per platform. Netflix offers no return, and iTunes demands minimum views to break even.

  2. Future Potential: Amazon is positioned to be a major player in the future of film distribution, with a hybrid model of Pay Per View and Subscription surpassing Netflix and iTunes. Early presence could bring long-term benefits as Amazon expands.

  3. Territorial Control: Amazon’s availability in only five countries (US, UK, Germany, Austria, and Japan) allows for more focused control compared to Netflix’s “Domestic” or “Worldwide” options. This enables rights sales in other territories.

Top Tips for Success on Amazon Prime

Here’s practical advice for filmmakers looking to make their mark on Amazon Prime:

  1. Don’t Rush: A film needs to feel professional. Film festival appearances and professional reviews contribute to its appeal. Nurture your film before its online debut.

  2. Build Slowly: The algorithm rewards gradual growth. A sudden spike in views from friends on the same day won’t have a significant impact. Release on Amazon Buy/Rent for six months before Prime.

  3. Achieve Critical Mass: Once enough people watch your film, it appears in “what other people watched” suggestions and “Most Popular” lists. Consistent promotion is key. The team saw a UK spike after about 5 weeks on Prime, averaging 600 hours streamed daily.

  4. Facebook Advertising: While seemingly effective, Facebook advertising can primarily benefit Facebook. However, targeted ads can drive views and contribute to critical mass. View it as a loss leader.

  5. Optimize Genres: Choose multiple relevant genres and sub-genres to enhance discoverability. “Tear Me Apart” ranked highly in Thrillers, Action & Adventure, Sci-Fi, Teen & Young Adult, and Indie & Arthouse. Avoid misleading genre classifications.

  6. Harness the Power of Reviews: Amazon reviews directly impact the algorithm. “Verified Purchase” reviews carry more weight. Encourage reviews after premieres and through PR efforts to create buzz. Positive momentum helped the film enter IMDb’s MOVIEmeter top 5,000.

Alt: Amazon Prime movie genres ranking showcasing Tear Me Apart’s success in various categories

  1. Leverage IMDb: Amazon owns IMDb. Ensure your film’s listing is up-to-date, including artwork. Encourage ratings and link professional reviews.

  2. Perfect Artwork & Copy: Your poster is a pitch, not an explanation. It must stand out and intrigue viewers. Use a combination of quotes and story to entice viewers to watch the trailer. The key is a 1-2-3 punch: Poster, Pitch, Trailer.

Understanding Amazon’s Revenue Share

Listing your film on Amazon is free, though tax administration can be tedious. For Buy/Rent, you receive 50% of revenue after tax. For Prime, your film becomes available to millions of subscribers. In return, you receive:

  • US: $0.15 per hour streamed
  • Germany, Austria, Japan: $0.06 per hour streamed
  • UK: £0.04 per hour streamed

“Tear Me Apart” launched on Amazon Prime before Christmas without additional marketing. Views spiked in the UK in mid-January. From Christmas 2016 to March 15, 2017, the film had 2.45 million minutes streamed (over 40,000 hours), generating around £2,000. This was achieved without marketing spend on Prime, and profits were 7x higher than Buy/Rent with advertising.

Retaining Rights

The beauty of this approach? You retain 100% of your rights while generating income. Selling rights in other territories remains an option. Success can increase the value of the film. Prime may not be the best option for every film, but strategic planning can create a decent revenue stream.

By competing with major studio movies, the indie filmmakers need help in the form of Amazon and IMDb reviews.

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