Unit 26: Task 2 - British Industry vs Hollywood

The British film industry is very small in comparison to the Hollywood industry; this is for a number of factors but the most prevalent being the amount of money and funding available. Hollywood has more money, land and better weather – this makes a big impact as in England you need a contingency plan due to the very unpredictable weather. America is home to the ‘Big 6’, these are the global media conglomerates own companies that produce films as well as other businesses in different industries across media and others.

The conglomerates own several subsidiary companies in other industries enabling them to benefit from vertical and horizontal integration as well as benefitting from synergy they create from other media products. Time Warner are an example of horizontal integration, this is shown in the film ‘The Bodyguard’. The film and Whitney Houston’s song from the film both broke records and drew attention. The song was recorded and released by Warner Music and the film was distributed by Warner Bros. both of which are owned by Time Warner. This means that Time Warner benefited from both successes giving them a larger profit as they didn’t have to pay external companies. The Walt Disney Company is an example of vertical integration; this is because they own all 3 stages of a film’s life – production, distribution and exhibition. They own numerous production companies, the most well-known being ‘The Walt Disney Studios’ who produce the Disney films. Also, the company own publishing and marketing companies or divisions as well as music and theatre divisions that are used to exhibit films. ‘Walt Disney Studios Motion Picture’ originally known as Buena Vista Film Distribution is the distribution company Disney have used since the company was founded in 1953, the name changed in 2007 so that it was in keeping with the other divisions of The Walt Disney Company.

Also, Disney benefit from the synergy they create. Synergy is working together on two or more coordinated media marketing projects; it is very common in horizontally integrated companies where film and music divisions will work together (see reference to The Bodyguard above). Synergy helps by advertising the film in other sectors of the media industry and to other audiences. Disney are very good at creating synergy for new films and benefitting from it because their store, which is available online too, will sell toys appropriate for different audience ages, homeware, collectables such as snow globes, trading pins, clothing and other merchandise. As well, they will offer merchandise for previously released and popular films thereby promoting and advertising them. In addition to this they offer games and apps, which will have in-app purchases, both things earning them money as well as advertising their upcoming films and merchandise and toys available on their 3 channels (6 when including time shift channels). Furthermore Disney makes the majority of their money from the theme parks and resorts, overall they have 6 which not only cost to visit/stay in will also advertise the products they can buy. Disney are very good at taking whole advantage of their films as they know they will always have an audience; Disney became a bigger success after buying Marvel, who release at least 1 maybe 2 films a year with a constant audience appeal, and the Star Wars franchise which are internationally well-known and have a wide audience range as the first film premiered in 1977.

The main differences between the British film industry and Hollywood is that British studios can’t compete with the Hollywood high-budget studios that are owned by large global media conglomerates; when British films are made, they are typically very artsy or indie in comparison to Hollywood films therefore they don’t get the same return as they aren’t always successful internationally therefore it is a big gamble for production companies and studios if they want to gain profit. Because conglomerates own or have deals with different companies in other parts of the industry they may own a studio to make the film, cinemas to exhibit the film and then a distributor for the DVDs, this means it’s very hard for British films to get their films shown and distributed, even in the UK as the cinemas chains in the UK – Oden, Cineworld, Showcase, Vue, Empire are owned by big American companies that would rather make money by showing a ‘safe’ film that they know will fill the seats of the cinema with a large audience range as opposed to an indie film that may not bring in as much money. This means films are shown in independent cinemas across the UK which have a smaller audience reach and do not bring as much money.

The British film industry soon learnt that it was too hard to copy Hollywood films due to the lack of funds therefore instead of trying to compete with them at their game they decided to offer something different – British films, which are very different and not like American ones at all. A film that is described as a ‘British film’ is one that is filmed in the UK, the writer and/or director is British, the majority of the cast and crew are British and the narrative shown is one that shows British values and themes which sometimes emphasise minorities or the different regions across the UK. These are very good at challenging the way Hollywood films show Brits, normally as upper middle class people who have posh southern accents and every word is said properly with correct diction. Also, British comedies such as the Cornetto trilogy (Hot Fuzz, Shaun of the Dead and At World’s End) have become very popular in America due to the difference in comedy style.

A way British films and production companies are getting more funding for bigger films is through co-productions with major Hollywood companies. Through this they will attract American actors and directors which will then attract a bigger American audience therefore giving them a better chance at exhibiting the film in the US. In addition, the companies they co-produce with will probably already have deals with cinemas and distributors meaning that a British film, filmed in Britain with the majority crew and some of the cast being British is given a better chance at success compared to others. Working Title Films is a British production company that is located in London, they are owned by Universal Studios who are owned by Comcast, this means that a lot of their productions now will have American involvement giving them a higher possibility of a higher profit as they allow them to make films up to $35 million; the saying ‘you have to spend money to make money’ is very true in filmmaking as the more money you have the more you can do, the better your film can look, the more people that will want to watch it.

If a film company can’t get or doesn’t want American involvement with funding they can get money from numerous organisations and grants as well as private funding. One way of raising funds for a production is through private investors, these can be companies or individuals who will contribute so much of the cost, sometimes they will want something in return such as their name in the credits and in association with the production or a business may donate some of their products or merchandise – this is usually called product placement. For TV shows they will sometimes be sponsored meaning that they will provide money to production as long as their product or business is advertised before, during or after the show at commercial breaks. Other ways which can be considered as private investment is by raising funds through crowdfunding; these are websites such as Kickstarter or Indiegogo. This is where people of the general public donate to a production, they can be anonymous and they donate anything they want. These websites also promotes ‘perks’ these can be in range of costs for example, if you donate £15 you may get behind the scenes photos, for £75 you may get a set visit and for £100 you have the ability to be an extra. These perks change depending on how much funding is needed and who is running the campaign.

Another way of getting funding is through organisations such as the British Film Institute, the UK lottery, Film4 and many others. Each of them have different criteria and different amounts of funding available, the most important thing to getting funding is ensuring that it is a ‘British film’. The BFI offers £18 million of funding through the UK Lottery for different parts of production and for different reasons. They will offer support for the production, development and completion of a feature film which fairly reflect people from different backgrounds as well as offering a diversity fund which offers opportunities for individuals for professional development and supporting companies and organisations to show leadership in diversity. Also, they offer funding to enable independent films to connect with audiences across a range of platforms by giving them access and support to UK distributors, sales agents and exhibitors. Bedlam Productions limited are a British independent company based in London, most known for their BAFTA and Academy Award winning film ‘The King’s Speech’ starring Colin Firth. The film was given £1 million of the production costs from The National Lottery, after making over $400 million and becoming the most successful independent British film of all time £1 million of the profits were returned to the BFI’s film fund to train film makers of the future.

Linked to this is the UK Tax Relief, this is where the UK government provides direct assistance to benefit British films which are made by a British film company, qualify as British under the cultural test or as an official co-production, are intended for theatrical release and have a core production expenditure of at least 10% of film making spend in the UK. The tax relief can produce relief of up to 20% of the production budget and to access the benefit a production must have a British Film Certificate from the BFI’s Certification Unit. To get the certificate they must show proof of the cultural test. This certificate then can be sent to HMRC along with the statutory accounts and corporate tax return of the film production company responsible for the film in order to claim. The tax relief appeals to US investors and production companies because taxes are very high in the US and if a co-production can make them money in the US and UK as well as getting a 20% tax return they will see this as a good opportunity to make money.

The cultural test is a test that qualifies a film to be British as long as it scores 18 or more points. The test has 4 sections that add up to 35 points in total. The 18 points can come from a range of possibilities, some earing more points than others; the highest scoring is if the film was set in the UK, its lead characters are British citizens or residents, the film is based on British subject matter, the original dialogue is mainly English and if the film demonstrates British creativity, heritage or diversity – these are all worth 4 points. Single points are to do British cast, crew and screenwriter and post production location. The test shows that it is not hard for a film to qualify as British. To apply for the test there must be one film production company that is registered with Companies House, the production company must be set up before anything begins and have responsibility for all aspects of the filmmaking process.

With the advancement of technology and in particular home viewing systems most, if not all, motion pictures are filmed in HD, which is very good quality (1080p) however this is not the limit. Films are now being shot in 4K, this is with specialised 4K equipment, and has a higher resolution, not only is this being done because it can be and is better for viewing it is also because more technology distributors and creators are bringing out 4K TVs so that people can have a better home viewing. IMAX is a very popular cinema choice especially for films that would benefit an inclusive feeling – these typically being set in a different environment or setting. Mainstream films are not filmed on IMAX cameras as they are too heavy and the film stock is expensive therefore regular films shot on digital cameras undergo digital media remastering which processes them for showing in an IMAX theatre. A lot of these films are IMAX 3D as it helps add to the inclusive and immersive experience, 3D films are filmed with 2 cameras – one for each eye, it is possible to create a 2D film into a 3D film during post-production however this will add to costs and time. Creating films for IMAX and 3D limits the exhibition as not all cinemas are equipped for 3D and IMAX is expensive which may limit the audience the film reaches.

Film festivals are a way for independent film makers to get their work shown and sometimes judged by critics. It allows the exhibition of artsy and non-blockbuster films to be seen by other filmmakers, fans and audiences and people of more calibre looking for talent to watch out for or use for future work. They can be big scale events like Cannes or Sundance or be smaller festivals put on by universities or local governments. When a film gets accepted into a festival the filmmaker gets lots of press attention and exposure to prospective buyers or agents as well as (sometimes) a cash prize if their film wins. Some festivals are broad and accept films in a range of categories whereas other may be specialised and only accept comedies or Jewish films or films only made by a female director. Some festivals are specific to a genre – documentaries – or to a certain length. Most festivals accept submissions from any filmmaker regardless of their budget or past experience, with a large number of festivals inviting students to enter and some may even have a special award category for student films. With the advancement of technology and how much the internet is taking over online film festivals are becoming more popular. Each festival has its own rules and criteria for entering films but generally filmmakers have a deadline in which the film needs to be submitted by, some will accept films broadcast elsewhere others might not. Films are often accepted on a number of different formats, the filmmaker has to pay an entry fee which will go in price the longer the film they are entering; they will also have to fill out a form describing their project. Sometimes they have to provide a director bio, a still from the film, a synopsis and a list of production credits. Film festivals are great for upcoming filmmakers because they will get a true audience response and get to look at other work that may affect how they look at filmmaking or inspire them to try something new and different.

The first part of advertising a Hollywood film gets is when it is announced and when the director and cast have been locked, for some films it won’t get much publicity but for films that are part of franchise/series or when the director or a cast member is well known then there will be ore buzz created. Then a teaser trailer will be released with some footage from the film, this is sometimes done when filming is still taking place, then an official trailer will be released which will show more of the plot. When the film is complete and given a release date the cast will do interviews and talk about the film as well as their personal lives and the relationships they formed on set. If the film is very well known and international the film will go on an internally press tour – this will include a range of interviews and photoshoots as well as tying into when the film is to premiere in a particular country. Marvel are very good with timing their releases and marketing their films well, they know when to announce another film, know when exactly is the best time to release the film itself and when the trailers and teaser trailers should come out. They do so their name is constantly talked about, whether it’s a film that’s just started production or has just premiered, the name Marvel is out there. British films are not promoted like this because they are smaller and will not have the funding for so much publicity and be able to afford a marketing plan of this much depth therefore a British film will receive publicity when the film is announced and the cast and director is locked but it will not be as obvious and in every entertainment news report, in some cases you have to look for the information as opposed to being handed to it by social media and the internet. Then a trailer will be released, this is sometime tied into an interview a cast member has been invited to. British films with American involvement will have a better chance at interviews as there are more American talk shows that will invite the cast to talk about the upcoming film, these interviews will then be posted on the internet and be accessed by international viewers. The main difference between promoting a UK film and a Hollywood film is that the amount of advertising techniques and platforms that are used and the reach these have, a British talk show with British actors will attract a British audience however a British talk show and American actors or vice versa will attract America and Britain expanding the audience reach meaning more people will want to watch the film.  

The BBFC (British Board of Film Classification) is an independent non-governmental body has classified cinema films since 1912 to bring a degree of uniformity to the classification of a film nationally. Films for theatrical release are classified by at least 2 examiners, they will look at the content and make decisions about the rating depending on the issues shown – discrimination, drugs, horror, language, nudity, sex, sexual violence, imitable behaviour and violence. They consider the context, tone and impact of the work as well as the release format – if they are classifying a DVD release, there is a higher risk of underage viewers, because of this the rating on a DVD or Blu-ray can be stricter than the cinematic release rating. Distributors can request a specific age rating which the examiner will take into consideration but it does not determine the final decision. Sometimes if it is necessary and appropriate cuts may be suggested to meet the certain category requested giving the distributor the ultimate decision. If an examiner is unsure about an issue or if the film falls between 2 categories it is referred for a further viewing by another team which might feature an examiner with expertise in the particular subject. If a film contains illegal or unacceptable material the examiners will draw up a list of cuts which will be given to the distributor. If a film as a whole is unacceptable it can be rejected. Every film going to cinemas need a BBFC certificate, it is the distributors’ responsibility to get the certificate, if the film needs second viewings because it contains uncertain material this could delay its release.

The Motion Picture Association of America (MPAA) are the voice of the American film, home video and television industry, they work to protect and support the industry as well as aspire to advance the business and art of filmmaking. The Classification and Rating Administration (CARA) issues ratings for films that are exhibited and distributed in USA with the intent to provide parents information about the content of the films in order for them to determine the suitability of a film for viewing for their children. CARA will rate any film at any time before or after it is exhibited or distributed in the United States. The rating system is voluntary in America therefore a film does not need to factor in the time it takes to get a rating during production, allowing it to be finished and exhibited quicker. Although voluntary, the majority of films will get a rating as there is the fear that people will not go watch the film as they aren’t aware of the appropriate audience age or the fear of people watching the film and there is a negative response as they are too young for the content shown.

In conclusion, British cinema is very different to Hollywood; they have learnt how to make films that offer something different to Hollywood using the funding they have available to their advantage. Without the National Lottery and the UK Tax Relief the British film industry would be non-existent as there would be no possible way to make British films. The UK would still produce films but these would be co-productions with American conglomerates and they would mostly consist of blockbuster and ‘safe’ films that the companies knew would make money. There would be fewer independent films as they would not be able to use grants to produce the films restricting the representation of the UK and the diversity it has as well as the viewing options for the British audience. Overall, despite the differences the British film industry is not worse than the Hollywood industry it is merely different and produces a different type of film.