What is Filmgrid?
Filmgrid is a peer-to-peer platform for commerce, streaming and financing of independent films and series over the Internet. Of decentralized nature, removes all movie theaters and film distribution companies as intermediaries, allowing a fair distribution of profits among the film’s creators, which at the same time allows for a reduction to the cost of the offer to the public.
The platform is divided into two main segments: the “Billboard”, a billboard showing the films registered in Filmgrid for sale; and the “Pitchboard”, where film ideas and on-going film projects can seek financing.
Each film or film project registered will have its individual page where all the relevant information can be found; this space can be used by the Creative Team to convince and sell their product to Users.
Developing the project Filmgrid using blockchain technology is the logical move to make, the decentralized nature of this new technology is a perfect fit for the principles/tenets behind Filmgrid. Furthermore, it can solve problems that traditional centralized technology cannot, particularly issues of censorship, intermediaries interference or trade transparency for example.
Perhaps its greatest attribute is the level of trust that it allows to generate between users. This trust is the base for the proposed business model.
Remember we mention Filmgrid wanted to disrupt the industry? We meant everything about it. We come up with an innovative business model, cutting out intermediaries, aiming for the moviemaker to be the one who make the most profit.
Now, before any greedy thoughts, let’s consider that this brings the opportunity to dramatically lower down the cost for the viewer, increasing volume sales.
In our proposed business model, we have three income sources within the same platform: Premiere sale, Screening sale and Home Cinema sale.
In either case, Creative Users members of the Creative Team begin to receive income from the first sale. The decentralized application and the smart contracts will take care of all the automated operations and income distribution, respecting the configuration from the team registration.
We have now the opportunity to offer the users, international movies at an accessible price for almost anyone; and at the same time, a fair alternative to movie makers. The suggested prices for each sale option are:
Premiere = 2.85 usd | Screening = 1.9 usd | Home Cinema Ticket = .56 usd
With these prices and using the types of income of the typical scenario, we can run our hypothetical case, for the same movie, using Filmgrid.
Even though the total income was dramatically less than in a typical scenario, the revenue received by the Creative Market was bigger.