How Do Independent Movies Make Money?

From the outside perspective, you may think that movies all just rake in tens of thousands or even hundreds of thousands of dollars for the producers and filmmakers involved. But the reality is, independent movies and those that are created for without a guarantee to be shown on the big screen may struggle to make money. Follow along to learn the answer to a common question in the film world, “How do independent movies make money?”

The independent filmmaking world is challenging to stay afloat in at best. The rise of technology making distribution to just about any market possible for any filmmaker to attempt means that independent filmmaking is completely different than it ever was in the past.

Now, there’s an overload of supply and far less demand in independent filmmaking. So do these filmmakers even make money? The answer is, yes, sometimes.

Advertising

The first major step that independent filmmakers take in order to make money off their films is to advertise them to the masses. Fortunately, it’s easier than ever to advertise an independent film.

The Internet

Social media and other verticals allow for advanced advertising of independent films. For as little as just a few dollars a month, independent filmmakers can advertise their film and prepare to make a profit. Whether or not any profit is made depends largely on the value and success of the film.

Ticket Prices

Independent films that are shown in theaters can generate money from ticket sales. Although ticket sales are generally much lower than a high-value film, there is still the ability to make 20-40% off ticket revenue after paying the theater for the space to run the show.

The amount of revenue that comes for an independent film from ticket sales will vary based on the quality of the film, the advertising that is done upfront to generate interest in the film and various other elements.

Merch

Independent filmmakers have more opportunity than ever before to produce and distribute merchandise that relates to their film. They can capitalize on the sale of merchandise by offering the products online and at indie film events and other special events.

The amount of money that is made on merchandise sales for independent films is not usually as significant as that of ticket sales but depending on where the merchandise is sourced and the actions taken to keep overhead costs low, merch sales can generate a decent income for indie filmmakers.

Rights

If independent filmmakers are lucky enough to have any portion of their film stand out enough to generate traction and a spot on television or a streaming service such as Netflix or Hulu there is money to be made.

The amount of money that comes from providing rights to the streaming service to provide the film is dependent on a variety of factors. Most streaming services will offer a flat rate for the use of the film for a set period of time.

Overall, it’s hard for independent movies to make money, but it is possible. These are just a few of the ways that independent movies generate revenue that covers the initial expenses of the film and puts money into the pocket of those who created the content. For help creating an independent movie, contact Beverly Boy Productions today at 888-462-7808.