Viewing entries tagged
Amazon

How to make the kinds of documentaries that will be sold to Netflix, Amazon, Hulu, Vice, Apple, or HBO

How to make the kinds of documentaries that will be sold to Netflix, Amazon, Hulu, Vice, Apple, or HBO

This week, Variety reported that Netflix said it will raise $1.6 billion in debt to fund additional content in 2018. This means that Netflix is now projected to spend $7 to $8 billion on content next year. And with a half dozen other major competitors out there, this should be music to the ears of content creators. However, when we are looking at documentary financing, things aren't all roses for non-fiction filmmakers, especially novice ones.

First, of the $8 billion Netflix will spend on content, one can assume that no more than 3%, or $24 million, of this budget will be spent on documentaries. Yes, other non-fiction content might be highly paid, like Chris Rock's $40m comedy specials, but documentary doesn't work like this. Additionally, other than The 13th, created by an outstanding director with a strong track record, Netflix isn't funding documentary projects from start to finish. It is, inherently more risk appetite than Netflix (or other large companies, other than HBO) are willing to take on. 

Thus far, Netflix has paid $5 million for one documentary, Icarus. And they have paid around $2 million for several more. But again, these are all outliers, films that are in the top 0.1% for sales of documentary films made. You can look at the themes of these films to understand what Netflix wants: Crime (Amanda Knox, Making a Murderer), Sports (Icarus), Justice (Joshua: Teenager vs. Superpower).

And Netflix isn't alone: Amazon paid north of $2 million for City of Ghosts (about the relevant issue of the Syrian war) at Sundance last January. Ostensibly they will have paid this much for a few more films during this year, too. 

These stats beg the question, what kinds of films are you making that have the potential to be purchased for big bucks? 

Making films that can be purchased by big companies is the major goal of OBSERVATORY. That isn't to say we don't appreciate artsy films, but they have to be commercial for us to be interested. Amanda Knox, EuroTrump, and Freedom For The Wolf are all shot beautifully. But they also are stories that resonate with millions of people on a commercial level. 

Thus, if you want to make films that are bought by large companies, you need something special: access to a person who has never given access to anyone else, knowledge of a place that nobody else has, an incredible story that only you know about that should be on the front pages. You also need to be relevant. If your story was important when you started your project, but it doesn't really matter today, you're crap out of luck.

The films that are purchased by large companies do have many similarities: they feature bold and interesting characters, are shot well, and highlight some level of controversy. You learn this in screenwriting 101: controversy sells, so don't think you can make a film without this that anyone will be interested in. What you will also realize is every team that has sold a project to a major company has someone on it who knows how to sell. 

More on this in future Observations.

 

A Year in Review: Adventures in Start to Finish Filmmaking

A Year in Review: Adventures in Start to Finish Filmmaking

I cannot believe how quickly the past year has flown by. Just over a year ago, my business partner Maria Springer and I graduated from the University of Oxford with our MBAs. We felt that the staid, old, complex film industry, especially documentaries, needed further disruption, beyond what Netflix and Amazon were already doing.

Armed with the lean principles we were taught in our technology and operations course at Oxford, we set out to make films at record speeds on record low budgets. And, as we learned in business school, it gets faster to make a film every time you do it. You will learn tricks left and right.

It took over 5.5 years from the time I landed in Perugia, Italy to start doing research for AMANDA KNOX until the film was released on Netflix. For our first OBSERVATORY project, EUROTRUMP, it took 9 months from the time we conceived the project until it aired on television on VICELAND in the Netherlands and Belgium and on the Dutch national broadcaster. This is a substantial improvement but there is more work to be done. If not for minor mess-ups along the way, we could've had this film ready three months earlier. But we will live and we will learn. We will make process improvements, And we will help others along the way.

Here are the key lessons we learned from making EUROTRUMP in 9 months: 

1. Run simultaneous processes: At its simplest level, this means if you are shooting a film you should also be gearing up to sell that film at the same time. This means start making trailers for your film while you are shooting it. It might be a pain, but as they say, "Show don't tell." 

2 . No deal is a deal until it is a deal. The BBC gave us a contract for this project a few months in. We thought we were set. We thought all was good. Then, the executive we dealt with over there went on vacation and all hell seemingly broke loose inside their headquarters. Our project became too controversial for them. And ultimately it was dropped. This was BY FAR the most stressful month for us over the past year. We didn't know this rule at the time, so we started coasting, thinking the BBC was a done deal and all was good. It didn't happen that way. 

3. ALWAYS BE CLOSING. As an independent filmmaker, your job is to sell as much as it is to create. If you don't sell your project, nobody will see it. And then you'll have an audience of 1. 

4. If you make something for $100,000 and sell it for $200,000 you've made a profit. If you make something for $600,000 and sell it for $200,000 you're very deep in the hole. This sounds logical, but too often I see filmmakers who want to raise loads of money, especially for non-fiction projects. If I can make a film for well less than $100,000, then you can too.  

5. Hire slow, fire fast. During the past year, we've had hundreds of personnel working for us on different projects at OBSERVATORY. It's been a major ride. I'm grateful that so many of the people who have helped us out are super competent at their jobs. However, we have also had to get rid of a number of people throughout the year, including interns, producers, and edit staff. It is painful when a bad apple, intentionally or unintentionally, ruins the whole bunch. There were many moments when I blamed myself or other people for someone's incompetence. (For example, if you start fighting with someone you previously worked well with, you have to look around you.) I hate to say this because it lacks scientific proof, but at some point, you have to GO WITH YOUR GUT. If you feel that a person is hurting your team or your efforts to move your project forward, you've got to get rid of them. This is the most difficult but also the most necessary part of being a manager. Once you are rid of your burden, you will immediately feel free. Having nobody working for you is better than having someone work for you who is incompetent and will waste all of your time. 

More observations coming soon...