1. Marketing Management
Assignment – Film Distribution
WARNER BROS.
Submitted To: Submitted By:
Sandeep Kumar Mohanty Sheetal Budhwar
Roll No: 15DM037
2. Introduction
• Warner Bros. Entertainment Inc. is an American Company
integrated with production, Distribution, licensing and
marketing all the forms of entertainment and their respective
relative businesses.
• Most commonly known as Warner bros., Warner's or WB.
• It is the subsidiary of TIME WARNER Company.
3. Warner Bros. have several subsidiary
companies:
• Warner Bros. Pictures
• New Line Cinema
• Warner Bros. Animation
• Warner Bros. Interactive Entertainment
• Warner Home Video
• Warner Bros. Television
• Castle Rock Entertainment
• DC Entertainment
• WB Television Network
• Kid’s WB
4. Products and Service offered:
Motion Pictures
Television Programs
Video Games
HISTORY
• Founded in April 4, 1923 by for brothers Albert, Sam, Harry
and Jack L. Warner.
• Legacy world-class quality entertainment and technological
foresight with creation of diversified entertainment .
• Company foundation - stable management and long-term
relationships with stars and producers and stars .
5. Market Share Distribution
S.N0 Company Name No. of Movies
Released
Market Share
1. Warner Bros. 619 11.14%
2. Walt Disney 510 10.64%
3. Sony Pictures 601 9.42%
4. Paramount Pictures 407 8.54%
5. 20th Century Fox 435 8.43%
6. Universal 398 8.32%
7. Liongate 299 2.56%
8. New LINE 206 2.50%
9. Dreamworks 75 1.65%
10. Miramax 376 1.55%
6. Company customer
• Warner Bros. have created a Media Lab in the U.S. to study
consumer reactions.
• They collect data from the consumer and retail panels to
understand it’s customer and needs.
• Depending upon the needs, the target sample they want to
analyze traditional reporting methods such as questionnaires
(online).
• They also do face to face studies depending upon the issues
and needs, especially after a premier in a movie theatre.
• Company customers are the movie lovers, other company
who wants to advertise/promote their products.
7. Company Analysis
SWOT Analysis
STENGTH
S1. Solid Financial Position (USD 12 Billion
Revenue generated in the financial year
2012).
S2.Knowledge and Experience regarding
production and franchise.
WEAKNESS
W1. Overdependence on the home market
i.e. U.S.
W2. Recent damage to the brand image for
being used for infringing cat meme
copyright.
OPPORTUNITY
O1. Expansion of digital distribution
capabilities.
O2. Introducing new franchises installments
as an attractive profit maximization
opportunity.
THREAT
T1. Losing profits due to piracy
T2. Declining in sales of DVDs because of
maturization of DVD format of
entertainment.
8. Company Competitor
Universal Studio’s
History
• Universal Studio’s was founded in 1912. It was a vertically
integrated company with movie production, distribution and
exhibition venues which were all linked to the same corporate
entity.
• Their oversea investments are into their citywalk, hotels, and
the park (amusement park) worldwide.
• Their company logo is Creative Future ( Creativity, Innovation,
Tomorrow).
9. Market Share
• The overall gross of Film Distribution is $7.443 billion, and the
gross total of Universal Studios is $2,102.7 billion ( this data is
according to the January 1- August 23, 2015).
Corporate Objectives
Providing premier product facility, focus and attention with
integrity towards providing exemplary services.
To support alliances and to exceed any and every expectation
of client.
10. Financial Analysis
In January 2011, Comcast Corporation closed its transaction (
The Joint Venture Transaction) with General Electric Company
(GE) to form a new company named NBC Universal and
Universal Studios a subsidiary of NBC Universal.
SWOT Analysis
STRENGTH
S1. Diversified portfolio
S2. Strong brand name
WEAKNESS
W1. Single market dependency i.e. US
W2. Slow revenue growth
OPPORTUNITY
O1. Reaching new audiences
O2. Partnership with online companies
THREAT
T1. Piracy
T2. Fierce competition – cable and satellite
stations for ownership and sales.
11. Recent Developments, Trends
• Their immersive technologically advanced entertainment
offered by them in form of 3-D film.
In the summer of 2013, the interior focal point of the theme
park profoundly changed with the installation of Universal
Plaza i.e. a visually aesthetic 37,000 square foot art deco
styled plaza.
• The evolution of Universal Studio’s Hollywood will include
the addition of two newly constructed parking structures that
combined will accommodate thousand of additional vehicles.
Construction on the second parking structure will be
completed in late 2015. Another is Multi screen and Mobile
Devices, cord cutting and LA Carte Programming.
12. Company Climate
Serving for more than 85 years and striving as a responsible and active
corporate citizen. They seek to a positive impact on their employees, communities
and audiences worldwide.
Their Corporate Social Responsibility comprises of four components as follows:
Creativity
Community
Sustainability
Workplace
Employee development
Company value their employees and provide:
• Health Benefits
• Health Support Programs
• Financial Health
• life., Accident, and Long Term Disability Insurance
• Same Sex Spouse Tax Equalization
• Collective Bargaining And Freedom Of Association
13. CASH COW
RELATIVE MARKET SHARE
CASH COW DOGS
QUESTION MARKSTAR
HIGH
HIGH
LOW
LOW
MARKETGROWTHRATE
Film Production
Music
Cable TV
Magazine
14. Company Collaborator
• HBO and its sister channel cinemax is the world’s premium
television and subscription video on demand.
• Their operating division Turner Broadcasting System Inc. has
one of the world’s leading premier portfolio’s of advertising
supported cale networks and their related brands while on
the other hand Warner Bros. is the leading company
producing television programs and film entertainment.
Though they are separate businesses but they enthusiastically
hold constructive collaboration.
15. Sector Analysis
• Film distribution is a risky business.
• Distributors traditionally funds to bid on film
rights which are being paid to the producers in
advance.
• When selecting movies, a strategy is always there
to attract widest audience.
• Most big budget films are released in summer
when students are out of school and during the
winter holidays when families are together.
16. Scope of Study
The parameters in which company is thinking to
operate are:-
• Creating strategy and framework for WB in
UK.
• Advising on securing appropriate investment
of resources for the implementation of
strategy.
17. • Warner Bros. should distribute 15 to 20 rather than 40-
50, including 4 to 6 big-budget films.
• The release dates of these movies should be spread
throughout the year.
• China is the largest international market for box office
sales but it’s government only allows 20 – 34 foreign films
annually.
•The distribution analysis was only available of 2417
movies on which this secondary research is based.