What the Oscars Really Mean

What The Oscars Are Really All About

Retailing movies! Of course there are all kinds of other reasons for the Academy to hold the awards ceremonies and for us to watch them. To recognize outstanding achievements in acting, directing, music and so on. However, the real reason to do it is to sell movies.

And the successful (or not) selling of those movies is subject to the same rules and dynamics as selling footwear, automobiles or bananas. The People, the Turn, the Product, the Retail Price, and Protecting the Downside. These are the Five pillars of retailing anything.

First, People. 

This year, I got a real sense of the Academy of Motion Pictures being a community. A family with all the dynamics that go on in any community or family. Petty rivalries, bonding through shared experiences and some shared values. This year there was a lot of laughter also.

And even that huge gaff at the end was, in a way, another bonding episode. Sometimes adversity pulls people in a group together more than anything.

But overall, you got the sense that this was a group, a large diverse group that knew each other and generally liked being together and sharing that with the rest of us.

Inventory Turn is Always Important 

New Movies each and every year. No movie, however great, how many awards it wins, comes back the next year and earns more. It’s a once a year event. Every year. Movies turn over fairly fast on average. In fact, often they come and go before I get my act together enough to go see them.

The Price to the Consumer 

I am one of those who complains and whines about how the costs of movies has gone up. It costs $16 or more to see an Imax 3-D. Normal shows are $10 and up depending upon the city. But when you think about it, that is an incredible value. My god, a movie that cost $100 million and 3 years to produce, you can enjoy for $10!! 

The Product 

Movie goers are unforgiving. If a show isn’t that good for whatever reason, word gets around fast and the thing tanks. Most movies open on a Thursday or Friday. If its not well received, the crowd stays away on Saturday and Sunday.

The producers and distributors know after just one weekend if they have a winner or loser. Plus, there have been some really great movies out lately so the expectations and standards are very high.

Movie Retailers Have Downside Options 

Say a given movie is a loser after the first weekend, or even before it comes out sometimes it gets ripped in the previews. What can be done? Well, they can go straight to one of the other channels.

It’s like the differences between bricks and mortar stores and on-line commerce. The disappointing move can go straight to DVD and streaming channels for distribution and shortcut the cinema theaters.

After watching the Oscars, there are at least 3 or 4 movies I haven’t seen that I am motivated to see now. So, the Academy Awards accomplished one of their main goals.: Retailing Movies to the consumer.

Learn more about retail in my soon-to-be-released book, The Five Laws of Retail From di Medicis to Macy’s. Sign up to follow my blogs and to be notified when the book is available.

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