Huayu: A Commercial Director

Chapter 94 Applying Pressure to Theaters
"The Day After Tomorrow" will be released in China at the end of April, which is a good Labor Day release date. The domestic film market in the first half of the year is basically reserved for foreign films.

Movie theaters need to make money too; this is true all over the world.

If your film can generate enough profit, then your film will receive a large number of screenings in their country.

"The Day After Tomorrow" is not a co-production. When it passed the domestic censorship, Columbia Pictures had already begun discussing revenue sharing with major domestic cinema chains.

During a slow movie season, cinemas need good films to stimulate their showings, and "The Day After Tomorrow" is undoubtedly a blockbuster. Domestic cinemas understand that they have to make concessions.

The maintenance of cinemas involves real money, and cinemas have always shared a common destiny with film producers, resulting in conflicts of interest.

So the two sides have been discussing for several days, but have not yet determined the box office revenue sharing and the filming schedule.

They either need to make concessions on screen time or increase the revenue share.

This is the confidence of large foreign companies. Some companies even know that their movies are profitable, so they ask for exorbitant amounts, demanding more than 60% of the box office revenue.

Currently in China, the production company typically holds 43% of the revenue. We have to thank Zhang Dapao for this; without him leading the national director to push into theaters, the revenue share wouldn't have increased from 38% to 40%, and later even to 43%. Of course, they can also gamble with theaters.

The percentage can be increased by a certain percentage after the box office reaches a certain level. If the target is not reached, the production company will have to reduce the original percentage. For example, if the original percentage was 43%, it will be 40% or even lower if the target is not met.

This is a very risky move, unless you have enough confidence in the film.

Chen Shouzhe's films haven't had any betting agreements, but he might try it later.

When he learned about the details of the negotiations between Columbia Pictures, China Film Group, and the cinema chains, he still cursed the cinema chains as bastards.

"Hey Ms. Ye, you guys are really being unfair. Do you think outsiders are always the best at explaining things?" Chen Shou called Ye Ning from Wanda.

"Director Chen, don't be angry. Your movie was released overseas first, and the production cost was so high. Theaters also need to make money. It's normal to make some concessions for a release date that isn't that important. Besides, we just found out that you're also one of the producers. Shouldn't you be happy?" Ye Ning was surprised when she received Chen Shouzhe's call.

“I think we can talk about ‘The Martian.’ It’s the most expensive movie ever made in China. Don’t even mention Wu Baige’s movies. His movies are split into two parts for release. Mine is a sci-fi film with such a high investment. I’ve made a lot of money for the theaters all along. When has my movie ever failed to make you guys rich?” Chen Shou said.

"Director Chen, please calm down. How about this, I'll arrange for Dadi and the others to meet up, and we can sit down and talk things over?" Ye Ning knew why Chen Shou was angry.

If it were him, he would also get angry.

Zhang Dapao can put pressure on them with the help of the Grand Tutor, but what about Chen Shou?
Although the film market is doing well now, apart from one foreign 3D blockbuster, all the films that have grossed over a billion yuan are related to Chen Shouzhe. He is the only truly commercially successful director in China. In the eyes of theater owners, Chen Shouzhe is a hundred times more important than the "National Director" (a famous Chinese film director), because the profits he brings can far surpass those of a large number of domestic directors.

Chen Shouzhe is now even more powerful than Zhang Dapao and Guoshi were back then. The importance of "The Martian" is related to the life and death of Xiaoxiaomeng Company. Chen Shouzhe is now like a lion protecting its cubs, ready to show his fangs.

This concession by the theater chains to Columbia Pictures gave Chen Shouzhe hope. If they can make concessions to foreigners, why can't I?
Have I made you too little money?

“We should talk. I hope that Dadi, United, China Film, Jinyi, Hengdian, Huaxia, and Wanda will all be there,” Chen Shou said.

"No problem, I'll help you make the contact," Ye Ning said with a wry smile.

“I hope Wanda can stand with me this time. We’ve been working together for many years. Wanda has a part in my films, as does China Film Group,” Chen Shou said.

"Then let's set a time to meet."

After the call ended, looking at the message from Colombia, Chen Shou knew it was time to take a stronger stance.

"Invite Mr. Zhong here."

The assistant went to invite Zhong Lifan over. Zhong Lifan sat in front of Chen Shouzhe with a blank look on her face. Suddenly, he called her back. Looking at Chen Shouzhe's expression, well, he looked very serious.

"I'm planning to do something in a few days, Sister Zhong, will you come with me?" Chen Shou said, taking a deep breath.

"What is it?" Zhong Lifan could tell that Chen Shou was very serious, so she also became serious.

"I am prepared to negotiate with the theater chains."

"Negotiations with the cinemas?" Zhong Lifan's eyes widened immediately.

"We've made a lot of money for the cinemas over the years, it's time to make them give some back. If Zhang Dapao can do it, why can't I? A 400 million investment needs 1 billion in box office revenue to break even, we have to make them give something back."

"Then... what are you going to do?"

"I've already arranged with the cinemas to meet up in a couple of days to talk things over. Sister Zhong, you can come with me."

Zhong Lifan took a deep breath. She knew this was very important. If Chen Shouzhe could win, it would be of great benefit to the company's future development, and it would also demonstrate Chen Shouzhe's strength and status.

Although he held no official position, in the underworld, status is always bestowed by strength. Once he succeeds, the film company will be recorded in history.

Wanda naturally followed suit. After all, they were Chen Shouzhe's partners, and Chen Shouzhe would share some of the profits with them. It was best for them to handle this kind of matter.

Two days later, several cars arrived at the film studio, and some reporters who had been waiting at the company's entrance noticed something unusual.

The people who arrived at the film studio were all unusual, and the paparazzi who had been lying in wait immediately became excited. "So many big shots, what are they up to?"

"Brother Tiger, who are those people?" a younger man asked curiously.

"See that car? The person getting out is Ye Ning from Wanda Cinemas, and behind her are the general manager of Dadi Cinemas, the vice president of Zhongying Cinemas, and the general manager of Hengdian Cinemas," said the man called Tiger.

“We’re all from the theater industry, not big stars. We’re here to wait for Yang Mi, aren’t we? She hasn’t shown her face for months,” the young man said.

"What do you mean it has nothing to do with us? We can sell this news to other people and make some extra money." Tiger picked up the phone and started making the call.

Soon, all the major entertainment media outlets learned that a large number of theater representatives had arrived at Shouzhe Film Studio and gathered at its entrance, with Weibo being the first to take action.

[Latest report: Representatives from over ten domestic cinema chains gathered at Shouzhe Pictures. When contacted, Shouzhe Pictures stated they had not received any prior notification.]

Ordinary people didn't care much about this news, but people in the film industry focused their attention on the film studio. Many wanted to make a phone call, but in the end, they all held back.

Because he couldn't get through at all, Chen Shou's phone was now switched off.

Other cinema chains were also asked, but they all remained silent.

"What exactly is he trying to do? So many cinema chains have suddenly appeared in his company."

Inside Huayi, Wang Zonglei looked at the news with a strange expression.

"What's the point of contacting theater chains? It's just about revenue sharing. Zhang Dapao did it back then, and so did we," Feng Xiaogang laughed.

“Things are different now. There weren’t many movies back then, but now there are film companies everywhere. Are we worried about not having movies?” Wang Zonglei sneered.

"The question is, are there any movies that have higher box office returns than his?" Feng Xiaogang sighed.

Wang Zonglei seemed to have been hit by Garen's Whisper, falling silent yet vulnerable.

Chen Shouzhe certainly had the confidence to negotiate with the theater chains. If he had gone to the theater chains like that, they would probably have given him a cold shoulder.

He could only put on a smiling face and didn't dare to utter a single fart.

The more he thought about how well Chen Shou was doing, the more uneasy he became. However, Huayi was currently transforming, abandoning movies and investing in real estate, so it didn't really matter to him.

At China Film Group, Han Sanping was invited to have tea with Director La.

"Chairman Han, will he succeed this time? Last time you..."

"I don't know. Last time, he put pressure on the company with more than a dozen films, but it eventually collapsed because of internal problems. This time, he's alone, so it'll probably be even more difficult," Han Sanping said with a shake of his head and a sigh.

Back then, he joined forces with more than ten production companies to declare war on cinemas. They said they would not release movies unless the revenue share was increased. At that time, Zhang Dapao also collaborated with Guo Shi, Zuo Shandiao, and other production companies such as Huayi to put pressure on them. In the end?

The organization fell apart internally. Zhang Dapao betrayed them, Hua Yi betrayed them, Bona became a traitor, and Han Sanping was even stabbed in the back by his own subordinate.

From then on, cinemas won. Now the domestic film market is getting bigger and bigger, there are more and more production companies, and cinemas have taken the initiative.

If we're talking about people who can effectively manage cinema chains in China right now, it's only Chen Shouzhe, because he's the one who genuinely brings substantial profits to cinema chains.

The theater chain didn't want to lose Chen Shouzhe, but they were also afraid that he would demand an exorbitant price from them.

This time, they could only watch and couldn't help at all. No one had the confidence to help Chen Shouzhe, so he had to step up alone.

La Dong sighed. If Han Sanping couldn't do it, he certainly couldn't. It was just his personality; he could only watch Chen Shou rush ahead.

Inside the light, Wang Changtian learned about the matter from his secretary. After thinking for a moment, he said, "Prepare the car."

"Where are you going, Chairman Wang?" the secretary asked, puzzled.

"Go and protect the film industry."

"Oh, are we going too?"

"It's probably because of the issues with 'The Martian.' Enlight Media is one of the producers, so we should go and check it out no matter what."

"Okay, I'll go prepare the car right away."

The secretary left the office, and Wang Changtian sat on the sofa.

"If it works out, we'll have to be involved in any projects that Shouzhe Film Studio has in the future. This pie isn't for everyone; Chen Shouzhe isn't that generous."

If Chen Shou were here and heard Wang Changtian's words, he would definitely give him a thumbs up. An old fox is an old fox; he really knows how to judge people.

(End of this chapter)