Ken McCarthy’s latest article titled “System Video: Coming full circle” is reprinted here. [Article] [Video]


Ken McCarthy’s latest article is reprinted here.

System Video: Coming full circle

Sometimes it takes a long time to turn a buck on an idea…

Twelve years ago (1994), I gave a talk that recommended to filmmakers that they look to the Internet as a way to connect more powerfully with their audiences, especially before their films were released.

My idea was that the Internet was an ideal medium for starting and growing a buzz.

Then, as we all know, the producers of “The Blair Witch Project” played that idea like a violin in 1999, creating the most financially successful independent film of all time.

Now in 2006, they’re at it again with a horror flick called “Altered” and I’m on board as an investor.

Talk about rolling the dice…

Here are some of the things you have to think about when you invest in a movie:

1. Will the film get finished? 2. Will it come in on budget? 3. Assuming it gets finished, will anyone want to buy it for more than you paid to make it?

Of course these are issues all small business people face, but with movie making everything is amplified because:

a) So much blood, sweat and tears goes into the product (literally sometimes)

b) You have such a narrow window to succeed in the marketplace,

c) Your product is truly “hand made” and one-of-a-kind

To the ever-lasting credit of my Blair Witch colleagues they finished the film, it came in *under* budget, and all of us investors have already gotten our money back with healthy interest on pre-sales *before* the film releases.

How often does this happen in the independent film business? One out of 1,000 times? One out of 10,000 times? One out of 1 million times?

I don’t know, but I can tell you it’s rare.

Will I invest in a movie again? Maybe, but only when all the stars line up this way again (great producers with a great track record and a great business model.) It’s actually a model that works for any kind of business.

What follows is a completely shameless plug for “my” new movie…

“Watch the trailer for the new DVD “Altered” on YouTube and help us put some “views” on the scoreboard so we can sell more of these puppies.”

Thanks.

It’s a horror film, so be prepared to be horrified 🙂

http://www.youtube.com/watch?v=a-Ib1F-NT6c

Enjoy!

Ken

The Internet Video Marketing Letter

Ken McCarthy

Ken McCarthy organized and sponsored the first conference ever held on the subject of the commercial potential of the World Wide Web. His company Amacord Inc., formerly E-Media, was one of the first Internet-based businesses in the world.

In addition to working with small and mid-sized business clients since 1993, McCarthy was a consultant to NEC’s Biglobe, the largest online service in Japan, from 1996 to 2001. His book The Internet Business Manual was the first book on web entrepreneurship published in that country. He is also credited by Hotwired magazine with being one of the people responsible for the development and popularization of the banner ad, one of the key underpinnings of commercial Internet publishing.

A graduate of Princeton University, McCarthy came to the Internet industry with a varied background which included technical consulting for two of New York’s top investment banks, lecturing on educational psychology at MIT, Columbia, and NYU, and founding and operating a number of small businesses, including one that helped produce an Academy Award winning documentary. Ken McCarthy is associated with the following blogs: Ken McCarthy’s Blog, System Video Blog and Internet Video Marketing Letter

*IMNewswatch would like to thank Ken McCarthy for granting permission to reprint the latest article.