The Best Entertainment Era

With the hit of the third season of cartoons, the popularity of Peppa Pig has skyrocketed. Among the low-ranking children's cartoons this year, the ratings have firmly ranked first.

What followed was that the peripherals were selling well.

Businesses with a keen sense of smell will not miss such an eye-catching opportunity to make money. In October alone, Relativity Entertainment received nearly 150 manufacturers who came to discuss licensing.

Piggy Peggy has become a veritable popular fried chicken.

How do you say that? Peppa Pig tattoos, applause to the public!

After Relativity Entertainment and Hasbro reached a licensing agreement, various licensing negotiations have also come to an end.

All licensing fees are paid in the early stage and shared in the later stage. For example, the small category of canvas bags in schoolbags, the manufacturer Kassel paid an upfront fee of 1 million U.S. dollars and 25% of future sales revenue.

That's pretty close to Warner Bros.' sub-genre licensing price for Harry Potter spinoffs.

Derivative licensing of popular cartoons often has more advantages than live-action movies.

In just one week, Relativity Entertainment sold a number of authorizations, including watches, school bags, pencil cases, canvas bags, children's wallets, sterling silver pendants, crystal stickers, night lights, dinner plates, various cups, toothpaste and toothbrushes, wall stickers, Umbrellas, slides, dollhouses and more.

For the authorization of nearly 100 categories, the upfront cost has reached US$63.5 million.

In the category of children's snacks alone, more than 20 licenses have been sold.

Such as watch candy, fruit stands, milk tablets, surprise eggs, probiotics, sandwich biscuits and lollipops, etc.

The proportion of later sharing varies from 20% to 30% depending on the product and merchant.

Although Relativity Entertainment also sells derivative products through the channel of Embassy Pictures, the market coverage of a company is really limited, and hundreds of manufacturers working together can bring more benefits.

Relativity Entertainment has set up a licensing project team specifically for the Peppa Pig derivatives. According to the project team's plan, it's not a big deal to sell a few hundred more licenses.

Ronan vaguely remembered the relevant reports he had read. At that time, there were already more than 800 global licensees of Peppa Pig derivatives, and they were still increasing rapidly. It was only a matter of time before they broke through 1,000.

Think about Disney's Mickey Mouse, there are thousands of related licenses.

According to Ronan, the Peppa Pig derivatives should cover all aspects of a child's growth from life to learning to play.

Among the current single-character derivatives of Relativity Entertainment, Peppa Pig rushed to the first place almost crazily as soon as he exerted his strength. Even Captain Jack Sparrow, who is highly praised by fans, would be willing to bow down.

Huge children's market with unlimited potential.

Ronan even considered whether to erect a huge pink pig on the top of the Relativity Building?

According to the saying in the Internet literature, the one who comes out to mess around and yell the loudest is always the first to die.

It is said that pretending to be a pig and eating a tiger is the supreme law of the world.

This is just the beginning, and the pink piggy has just started to exert its strength.

Ronan looks forward to the day when Peppa Pig brings Relativity Entertainment hundreds of millions of dollars a year.

In the Relativity Building, Mark Randolph took the elevator to the top floor with a tired face and walked into Ronan's office.

Ronan asked someone to bring a cup of tea, How did the talk go?

Mark Randolph put down his teacup: I met with Alan Horn today and basically reached an agreement with him, and we will soon be able to get the authorization from Disney Pictures and Disney Animation Studios.

Ronan nodded lightly: Yes, another company has been settled.

Mark Randolph said: But the negotiations between Disney's Touchstone Pictures and Hollywood Pictures are not going well. They have no intention of cooperating with Netflix.

Ronan was not surprised: It is impossible for us to get the support of all companies. This is already very good, and Netflix has authorized more than a thousand movies.

Mark Randolph added: We're pretty much in talks with the Weinstein brothers at Miramax, and it's estimated that we will be able to sign this week.

This is all good news, Ronan said.

Miramax was established in the 1970s. It doesn't have a lot of films, but it has also acquired other companies in the middle. It seems that there are more than 700 films in its library.

How long the Weinstein brothers will be able to control Miramax, even they themselves are not sure, must seek the best interests.

Mark Randolph asked curiously: From my contact with various companies under Disney, it seems that Disney is divided?

Ronan certainly understands Disney's situation, saying: Disney's situation is very complicated, but Alan Horn, the co-chairman of Disney Pictures, is a capable and clear-headed person, and he will make the most beneficial choice for Disney Pictures. , there should be no surprises.

Among the six major companies, some companies under Warner Bros., Universal Pictures, Sony Columbia, and Disney have confirmed to authorize Netflix. Mark Randolph feels that the efforts of more than half a year have paid off: The rest of the Pai Ramon Pictures, owned by Viacom like Blockbuster, Shirley Lansing refused to negotiate with us. Twentieth Century Fox...

He smiled embarrassedly: Some time ago, Netflix snatched an Internet technology company from 20th Century Fox, and raised prices for other acquisitions. They didn't contact us at all.

Ronan said: Twentieth Century Fox has spent hundreds of millions of dollars to acquire a number of Internet companies and is undergoing internal integration. It is obvious that it intends to enter the Internet entertainment industry. It is normal not to authorize it.

Twentieth Century Fox and Marvel Entertainment are fighting each other badly, and the relationship with Relativity Entertainment is not good. Netflix keeps making troubles in the acquisition of Twentieth Century Fox. Twentieth Century Fox is willing to acquire Netflix. Flying authorization is a strange thing.

Mark Randolph said: Netflix will have more and more competitors.

So, we must strengthen ourselves. Ronan said slowly: No matter how many competitors there are, Netflix must be the leader in the industry it is in.

Mark Randolph took a sip of tea and said, The video resources are almost ready. Netflix also invited old users to watch Prison Break and Survival in the Wild, and the ratings were very high. There are attractive new works, and there are countless more. Thousands of old works, the streaming business will definitely succeed.

Ronan asked with concern: What happened to the technical preparations?

The rest is technology. Mark Randolph also knew that Ronan didn't understand Internet technology very well, so he said in an easy-to-understand manner: Technical preparations have reached the final stage. After Netflix applied a new transmission technology, video clarity and The transmission speed has been significantly improved, and video content of different definition versions can be provided. If the user's hardware meets the requirements, the highest resolution video that is no less than that of a Blu-ray disc can be watched online.

Ronan doesn't understand Internet technology, but he knows the effect of Blu-ray discs. In the previous BD and HD dispute, Relativity Entertainment stood on the side of Sony's BD technology very early, which is why the relationship between Relativity and Sony has always been good. one.

Although there are major differences between the two parties on Spider-Man, both sides of this contradiction are tacitly controlled within the scope of Marvel Entertainment and Sony Columbia.

Ronan said: If the streaming media plan goes well, after the business stabilizes, we will pay attention to developing two markets in the future.

Mark Randolph looked at Ronan, who was a layman in technology, but his judgment on the direction of market and industry development was very forward-looking.

The development of Netflix has fully proved this point.

Future technology can meet the requirements of marketization. Netflix will further cooperate with communication companies and strive to appear in front of TV users through cable set-top boxes. What Ronan said is what Netflix has successfully done. In the next few years It may not be possible, but technology accumulation takes time: On the other hand, the client in the smartphone field.

Manufacturers such as Motorola launched smart phones with fairly good sales last year, and another major mobile phone giant Nokia is said to be targeting this market.

Mark Randolph said: The mobile phone client is the next key development area of ​​Netflix. The clients of social networking, video sharing and rental business have been developed and are currently undergoing testing and adjustment. The client of the streaming media business is also It is under development and will be fully launched in January next year.”

He paused and organized his language a bit: We are currently negotiating with companies such as Motorola, Nokia, and Samsung, and strive to make Netflix a pre-installed program for these manufacturers.

Ronan nodded in satisfaction and reminded: There is also Apple! Apple's smartphone is under development. I will ask Scott Swift to assist you and get in touch with Apple.

Okay. Mark Randolph has doubts: Apple has never been involved in the field of mobile phone production before.

Knowing the power of the kidney machine, Ronan said, I'm a shareholder of Apple, and I've seen the concept machine. This is... how should I put it, it will become a fashion.

Apple's products are very successful, but even more successful is Apple's marketing.

Smartphones have already entered the market, and the mobile entertainment market is about to kick off. In addition to the Internet itself, Netflix also wants to develop into the field of smart phone terminals.

Perhaps, Netflix will be considered an important reason for the birth of the head-down group in the future.

Ronan is very clear that the Internet market is very large, and it is impossible for Netflix to develop in all aspects. As long as the existing and upcoming businesses are done well, it must be one of the Internet giants in the future.

By the way, the technical department reminded me that the current mobile phone system is relatively chaotic. If you only do mobile client development, you will be in the downstream of the industry chain. Mark Randolph said at this time: The technical department and the business investigation department recommend to me Several mobile phone system development companies, one of which has a very strong development team, I think Netflix can acquire them.

He opened the briefcase to take out the information, and said: This is a small company established in 2003, and there are no products out yet.