Global Film Distribution Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Film Distribution Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Film distribution is the process of showing a film to an audience through cinemas, theatrical exhibitions, television broadcasts, VOD streaming and DVD sales. Movie distributors are the companies responsible for distributing movies to theaters, video-on-demand, and digital streaming services. They work with movie studios to acquire the rights to distribute a movie, market it, and then sell screening tickets. They also handle home media distribution, including DVD and Blu-ray distribution. A movie distributor may be involved in marketing, advertising, and publicity for a movie ahead of its release date, and handles all sales from movie theaters to video stores. Distributors take the financial risk of distributing films in exchange for a percentage of profits and royalties.

Market Overview:

The latest research study on the global Film Distribution market finds that the global Film Distribution market reached a value of USD 21719.96 million in 2022. It’s expected that the market will achieve USD 44870.51 million by 2028, exhibiting a CAGR of 12.85% during the forecast period.

Benefits of film distribution

Film distribution plays a vital role in the success of film commercialization. Film distribution contracts usually include a 10-15-year term. The financial models of film distributors and studios are mainly divided into leasing and profit sharing. In the rental model, the distributor agrees to pay a fixed amount for the right to distribute the film. In a profit-sharing model, the distributor receives a percentage (usually 10% to 50%) of the film's net profits. It depends on which model the issuing company predicts will be most beneficial to them. Large movie conglomerates are usually in the distribution business through their divisions or subsidiaries, such as Disney with Buena Vista and Warner Bros. with New Line Cinema. With independent releases, the parent company doesn't have to share profits with another company, but co-productions with other companies can share costs. For example, Star Wars: Episode I was entirely produced by Lucasfilm, but distributed by Fox. In the developed countries of the film industry, large film distribution companies can often have an important impact on the overall operation of the industry. With its global distribution network, good brand image and diversified marketing strategies, it can effectively enhance the international influence of films, form diversified sources of income, and prolong the cycle of the film industry. Taking the United States as an example, the production, distribution, screening and derivative product development of the American film industry are quite mature. As a representative of the American film industry, Hollywood has formed a highly integrated film industry operation model dominated by six major film groups including Disney Pictures. Through the professional film distribution business, the income structure of American films is showing a trend of diversification. On the one hand, due to the relatively strict copyright protection of film works, the copyright management of the six major film groups in the United States accounts for a major part of the distribution revenue. On the other hand, most distributors not only show movies in theaters, but also acquire ancillary rights to distribute them on VHS, DVD, cable, and network television. Other rights may include soundtrack CDs, posters, games, toys and other merchandise. The distribution company develops derivative products through professional operations, conducts follow-up overseas copyright sales through multiple channels, and effectively extends the film industry cycle with a multi-level distribution structure. Hollywood independent producers also tend to cooperate with major film groups, relying on their strong distribution capabilities to obtain higher film returns. DreamWorks has successively cooperated with Paramount, Universal, 20th Century Fox and Disney to be responsible for the distribution of the film. Therefore, the film distribution business is an important link connecting film producers and exhibitors. In the context of the rapid growth of the film creation and production and terminal screening market, the film distribution business has also achieved rapid growth.

Economic growth drives residents' willingness to consume cultural products

With the steady growth of the world economy, the living standards and disposable income of residents have been continuously improved, providing a solid economic foundation for the development of cultural industries, including the film industry. Especially after the epidemic, countries have implemented policies to stimulate domestic demand and encourage consumption, and promote the gradual upgrading of residents' consumption willingness and consumption patterns. Residents' consumption needs in developed countries have already surpassed the stage of satisfying basic survival needs, and more have entered the stage of high-level consumption with the characteristics of satisfying spiritual needs. Benefiting from the rapid development of the Internet, the scale of cultural consumption in developing countries is also increasing year by year. Taking the United States as an example, Statista shows that the per capita GDP of the United States will increase from US$50,008 in 2011 to US$69,227 in 2021, and the per capita personal disposable income will increase from US$38,769 in 2011 to US$48,219 in 2021. As an important form of cultural entertainment consumption, the film industry has benefited from the sustained economic development and the growth of residents' cultural consumption. The number of movies watched per capita across all age groups in the U.S. began in 2021, after falling sharply during the COVID-19 outbreak in 2020. The 12-17 age group saw the highest growth rate (127%), with the number of films per capita increasing from 1.1 to 2.5. Although the consumption level of film and television culture is gradually increasing, the cultural development of most developing regions has not fully adapted to the economic and social development and the growing spiritual and cultural needs of the people. It is expected that with the healthy and steady growth of the world economy, the audience's consumption of film and television culture will gradually increase, thus providing a good environment for the development of the film industry.

Boom in the film industry

Movies have become an important part of global cultural and entertainment consumption. The consumption level of the whole society is increasing year by year, the improvement of the quantity and quality of movies, and the continuous growth of the number of theaters and screens jointly promote the increase of market demand. According to Statista, the total global box office revenue will reach US$21.3 billion in 2021, up from US$11.8 billion in the previous year, with an annual growth rate of 80.5%. The growth of the box office comes from the supply of high-quality film sources, the increase in the number of moviegoers and the increase in ticket prices. In the process of integrating the film industry of developing countries with the international film industry, a number of domestic films relying on their own cultural background and having a high level of commercial operation have gradually been produced, effectively promoting the growth of domestic film box office revenue. 3D and IMAX movies are expected to provide audiences with more choices of movies and attract more audiences to enter the theaters, while promoting the development and popularization of new projection technologies, and providing good opportunities for third-generation theaters equipped with advanced equipment such as IMAX, 3D, and 4D. The market development space has pushed up movie ticket prices to a certain extent. Many factors, such as online ticket sales, the increase in the number of screens, and the accelerated construction of urban theaters, have played a certain role in suppressing movie ticket prices. In terms of market participants, the participants in the entire film market are showing a trend of diversification and specialization. For example, the European Film Market (EFM) of the Berlin Film Festival in 2023 has registered 7,182 market participants, including 1,165 buyers, figures similar to those recorded at this stage in 2020. Some 691 films will be screened at EFM, including 524 market premieres. In total, more than 1,000 market screenings were scheduled. However, the production capabilities of film companies are clearly differentiated. The producers who can enter the mainstream theaters are concentrated in a small number of leading film production companies. It is difficult for film producers to catch up with the advantages of resource accumulation. Overall, the prosperity of the film industry will help increase box office revenue, thereby increasing the box office revenue of the distribution business and promoting the development of related businesses.

Region Overview:

In 2021, the share of the Film Distribution market in East Asia stood at 34.55%.

Company Overview:

COMCAST CORPORATION(Universal Pictures), Warner Bros, Sony Pictures Motion Picture Group
were the top 3 players in the Film Distribution market in 2022, taking up a market share of 36.95% together.

Segmentation Overview:

Among different product types, Action/Adventure segment is anticipated to contribute the largest market share in 2027.

Application Overview:

By application, the Movie Theater segment occupied the biggest share from 2017 to 2022.

Key Companies in the global Film Distribution market covered in Chapter 3:

Bona Film Group Limited
Cohen Media Group
Beijing Enlight Pictures
Alibaba Pictures
Artificial Eye
DMG Entertainment
Wanda Media
Warner Bros
Shochiku
Orange Sky Golden Harvest
COMCAST CORPORATION(Universal Pictures)
The Cinema Guild
FilmRise
Lotte Entertainment
A24
Huayi Brothers
Toho
Lionsgate Films
Bandai Namco Filmworks Inc.
CJ Entertainment
Bliss Media
Metro-Goldwyn-Mayer Studios
BayView Entertainment
Aardman Animations
The Walt Disney Studios
Sony Pictures Motion Picture Group
China Film Group
Paramount Pictures
Abramorama
Kadokawa Shoten

In Chapter 4 and Chapter 14.2, on the basis of types, the Film Distribution market from 2018 to 2029 is primarily split into:

Action/Adventure
Comedy
Drama
Thriller/Suspense/horror

Others

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Film Distribution market from 2018 to 2029 covers:

Movie Theater
Home Viewing

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)