Chapter 701： Unlimited potential

With the popularity of the third season of cartoons, the popularity of "Little Pig Peppa" has skyrocketed. This year's low-collar children's cartoons ranked first in ratings.

is accompanied by big sales around.

Those with a keen sense of smell will not miss such an eye-catching opportunity to make money. In October alone, Relativity Entertainment received nearly 150 vendors who came to negotiate and authorize.

Little Pig Peppa has become a veritable popular fried chicken with a burst of popularity.

How do you say that? Peppa Pig has tattoos on her body, applause for the community!

After Relativity Entertainment and Hasbro reached a licensing agreement, various licensing negotiations have also ended.

All authorization fees are paid in advance and shared in the later period. For example, for the canvas bag in the school bag, the manufacturer Kassel paid 1 million US dollars for the initial expenses and 25% of the future sales revenue.

This is very close to Warner Bros.’s sub-category licensing price for Harry Potter derivatives.

The licensing of derivatives of popular cartoons often has advantages over live-action movies.

In just one week, Relativity Entertainment has sold a number of licenses, watches, school bags, stationery boxes, canvas bags, children’s wallets, sterling silver pendants, crystal stickers, night lights, dinner plates, various cups, toothpaste, toothbrushes, wall stickers, Umbrellas, slides, dollhouses, etc.

Nearly a hundred classifications of authorizations, the upfront cost was 63.5 million US dollars.

Only one item of children’s snacks has sold more than twenty licenses.

such as watch candy, fruit stand, milk slices, funny eggs, probiotics, sandwich biscuits and lollipops, etc.

The proportion of the latter part of the share varies from 20% to 30% depending on the product and the merchant.

Although Relativity Entertainment also sells derivatives through the channel of Embassy Pictures, a company's market coverage is really limited, and hundreds of manufacturers can work together to bring more benefits.

Relativity Entertainment has established an authorized project team specifically for the derivatives of "Little Pig Page". According to the plan of the project team, it is not a problem to sell a few hundred more authorizations.

Ronan vaguely remembered the relevant reports he had read. At that time, there were more than 800 global licensees of "Pig Pig" derivatives, and it was still increasing rapidly. It was only a matter of time before it broke through 1,000.

Think about Disney’s Mickey Mouse, there are thousands of related licenses.

According to Ronan, Peppa Pig's derivatives should cover all aspects of a child's growth from life to learning to play.

At present, in the single-role derivatives of Relativity Entertainment, Peppa Pig rushed to the first place almost insane as soon as he exerted his strength. Even the fan-loved Captain Jack Sparrow would be willing to go down.

The huge children's market has unlimited potential.

Ronan even considered whether to erect a huge pink pig on the top of the Relativity Building?

According to what used to be said in online literature, the one who came out and clamored for the worst is always the first to die.

It is said that pretending to be a pig and eating a tiger is the highest rule of the world.

This is just the beginning. Peppa Pig has just started to exert its strength. Ronan is looking forward to the day when "Peppa Pig" will bring hundreds of millions of dollars to Relativity Entertainment every year.

The Theory of Relativity Building, Mark Randolph took the elevator to the top floor with a tired face and walked into Ronan's office.

Ronan sent someone a cup of tea and asked, "How's the talk?"

Mark Randolph put down his teacup: "I met with Alan Horne today and basically reached an agreement with him. I will soon be authorized by Disney Pictures and Disney Animation Studios."

Ronan nodded slightly: "That's right, I got another company."

Mark Randolph said: "But the negotiations between Disney's Touchstone Pictures and Hollywood Pictures are not going well. They have no intention of cooperating with Netflix."

Ronan was not surprised: "We can't get the support of all companies. This is already very good, and Netflix has licensed more than a thousand movies."

Mark Randolph added: "We have almost talked with the Weinstein brothers of Miramax, and we are expected to sign this week."

"This is all good news," Ronan said.

Miramax was established in the 1970s. It doesn’t make a lot of films, but it has also acquired other companies. There seem to be more than 700 films in the film library.

How long the Weinstein brothers can still control Miramax, even they themselves can’t tell, they must seek their best interests.

Mark Randolph asked curiously: "From my contacts with various companies under Disney, it seems that Disney has split internally?"

Ronan, of course, understands Disney’s situation and said: "Disney’s situation is very complicated, but Alan Horn, the co-chairman of Disney Pictures, is a capable and clear-headed person. He will make the best choice for Disney Pictures. , There should be no accidents."

"Among the six major companies, some companies under Warner Bros., Universal Pictures, Sony Columbia, and Disney have confirmed to authorize Netflix." Mark Randolph felt that his hard work over the past six months has paid off: "The remaining pie Ramon Pictures, and Blockbuster belong to Viacom Group, Shirley Lansing refused to negotiate with us. Twentieth Century Fox..."

He smiled embarrassedly: "Some time ago, Netflix snatched an Internet technology company from 20th Century Fox and overpriced other acquisitions. They didn't contact us at all."

Ronan said: "Twentieth Century Fox spent hundreds of millions of dollars to acquire a number of Internet companies and is undergoing internal integration. Obviously, there is an obvious intention to enter the Internet entertainment industry. It is normal to not authorize."

Twentieth Century Fox and Marvel Entertainment are hitting their heads, and their relationship with Relativity Entertainment is not good. Netflix keeps stupidly in the acquisition of Twentieth Century Fox. Twentieth Century Fox is willing to deal with Chennai. Flying authorization is the weird thing.

Mark Randolph said: "Netflix will have more and more competitors."

"So, we must strengthen ourselves." Ronan said slowly: "No matter how many competitors there are, Netflix must be the leader in the industry in which it is engaged."

Mark Randolph took a sip of tea and said: "The video resources are almost ready. "Prison Break" and "Survival" Netflix has also convened old users to try them out, and the reviews are very high. There are attractive new works, and many With thousands of old works, the streaming media business will surely succeed."

Ronan asked concerned: "What happened to the technical preparation?"

"The technology is left." Mark Randolph also knew that Ronan didn't understand Internet technology very well, so he said as easy as possible: "Technical preparations have reached the final stage. After Netflix has applied the new transmission technology, the video clarity and The transmission speed has increased significantly, and it can provide video content in different definition versions. If the user's hardware meets the requirements, the highest video quality can be watched online with the definition of Blu-ray Disc."

Ronan does not understand the Internet technology, but knows the effect of Blu-ray discs. In the previous dispute between BD and HD, Relativity Entertainment has been on the side of Sony's BD technology for a long time. This is why the relationship between Relativity and Sony has always been good. one.

Although the two sides have major differences on "Spider-Man", both sides of this contradiction are tacitly controlled within the scope of Marvel Entertainment and Sony Columbia.

Ronan said: "If the streaming media plan goes well, after the business is stable, we will pay attention to opening up two markets in the future."

Mark Randolph looked at Ronan, who is a layman in technology, but his judgment on the direction of market and industry development is very forward-looking.

The development of Netflix has fully proved this point.

"Future technology can meet the requirements of marketization. Netflix will further cooperate with communication companies and strive to be able to appear in front of TV users through cable set-top boxes." Ronan said that Netflix has successfully achieved this in the next few years. It may not be possible, but the accumulation of technology takes time: "On the other hand, the client in the smartphone field."

Motorola and other manufacturers launched very good sales of smart phones last year, and another major mobile phone giant Nokia is said to have also targeted this market.

Mark Randolph said: "The mobile client is the next key development area for Netflix. The client for social networking, video sharing and rental and sales has been developed and is currently undergoing testing and adjustment. The client for streaming media is also Under development, it will be fully listed in January next year."

He paused and organized the language a little: "We are currently negotiating with companies such as Motorola, Nokia and Samsung to make Netflix a pre-installed program for these manufacturers."

Ronan nodded with satisfaction and reminded: "There is also Apple! Apple's smartphone is under development I will let Scott Swift help you and get in touch with Apple."

"Okay." Mark Randolph has doubts: "Apple has never been involved in mobile phone production before."

Ronan knew the power of the kidney machine and said: "I am a shareholder of Apple and have seen the concept machine. This is... how to say it, it will become fashionable."

Apple’s products are very successful, but Apple’s marketing is even more successful.

Smart phones have entered the market, and the market for mobile entertainment is about to kick off. Netflix will also develop into the field of smart phone terminals in addition to the Internet itself.

Perhaps, Netflix will be regarded as an important reason for the birth of the bowed race.

Ronan is very clear that the Internet market is very large, and Netflix cannot develop in all aspects. As long as the existing and upcoming businesses are done well, they must be one of the Internet giants in the future.

"By the way, the technical department reminded me that the mobile phone system is now chaotic. If we only do mobile client development, it will be in the downstream of the industry chain." Mark Randolph said at this time: "The Technical Department and the Commercial Investigation Department, recommend to me I have several mobile phone system development companies, one of which has a very strong development team. I think Netflix can acquire them."

As he opened his briefcase and fetched information, he said, "This is a small company founded in 2003, and no products have been released yet."