lumiere project - 21 slides
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YOUR VIRTUAL CINEMAIN A CLICK!
IL MERCATO DELL’ AUDIOVISIVO IN ITALIA
IN ITALY
LUMIERE
THE
AUDIO VISUAL MARKET• 2,5 million movies are estimated to be watched on a daily basis• 250.166 cinema tickets are sold per day source: Unità di Studi congiunta DG Cinema/ANICA
• 1 in 2 people declares to utilize Digital Piracy source: EU Parliament study “Content flat-rate:A solution to illegal file-sharing?”
In 2011 only, the top three digital piracy websites (rapidshare.com, megavideo.com, megaupload.com) Jointly collected more than
21 BILLION VISITS source: EU Parliament study “Content flat-rate:A solution to illegal
file-sharing?”
YOUTUBE MOVIES PHENOMENON
• “Benvenuti al sud” 62,186 views in one month• “Fantozzi” 1,965,934 views in one year• “Armageddon” 313,232 views in two months
Latest update: 2013, June 18th
::ITALIAN SUBS ADDICTED:: The Italian Subtitles Community,
marks
1 MILLION accesses/month
(data: 2013)
“A damage worth 2,5 Billion Euros/year”
(Aurelio De Laurentiis)
But in most cases
fasteasy
enjoyable
Watching online movies is...
ILLEGAL“Even the good become pirates in a world where the rules seem absurd”
LUMIERE
COMPETITORSSeveral online streaming platforms are already in place, but…
…NO ONE-STOP SHOP EXIST, ABLE TO PROVIDE:
FREE ACCESSTECHINCAL QUALITY
WIDE CATALOGUE AND LANGUAGE CHOICE LEGAL COMPLIANCE USER- FRIENDLINESS
ANY OF THOSE HAS GOT PROS’ AND CONS’,
BUT WHO OWNS ALL OF THE NEEDED FEATURES?
LUMIERE
LUMIEREIN A CLICK!YOUR VIRTUAL CINEMA
Lumière is an online platform which enables internet users to access movies, TV series and many more audio-visual contents free of charge and completely legally, as the
income required to cover costs and pay copyrighters out relies on banners and video ads before and during the content.
Lumière is not a web-TV, its nature rather recalls a virtual, on-line video collection, completely legal, free of charge and allowing anyone to freely access the contents, by relying on a financially viable system.
BUT… HOW DOES I T W O R K ?
LUMIERE
YOUR VIRTUAL CINEMA IN A CLICK !LUMIERELUMIERE GOES
W W WUSERS CAN WATCH CONTENTS FOR FREE
DISTRIBUTORS AND PRODUCERS GET THE ROYALTIES OTHERWISE LOST IN PIRACY
ADVERTISERS CAN ACCESS A HIGHLY TARGETED AUDIENCE
WIN !WIN !
WIN !
LUMIERE
CURRENT SYSTEM
LUMIERE SYSTEM
Once the movie is released, two ways are availble to the user for online watching. The first one is through illegal ways (piracy), which implies an obvious financial loss for the producers. The alternative way is to use legal streaming websites; this choice, however, proves to be particularly expensive for the user, who has therefore very little incentive to go down that road. As a consequence, only a very little portion of the Market pursues the latter, thus missing most of the online video streaming potential
Lumière System manages to capture a way larger Market share, due to the advertising and the flat fees, thus fighting piracy on its own strength, i.e. the free availability of contents! This feeds a virtuos cycle generating a significant revenues, which can then be in turn shared with producers and copyright owners.
LUMIERE
ADS AND SUBSCRIPTIONS
MOVIE
VIEWERS
LUMIÈRE
ILLEGAL PLATFORM
REVENUES
NO REVENUE FOR PRODUCTIONS
INVESTIMENTS IN NEW PRODUCTIONS
LEGAL AND ILLEGAL VIEWS
LEGAL VIEW
DECREASED ILLEGAL VIEW
ROYALTIES
CONTRAST PIRACY
LUMIERE SYSTEM
PRODUCTIONAND RIGHTS HOLDERS
COST OF A SINGLE MOVIE RENTING OUT OF MARKET
MOVIE
VIEWERS
LEGALPLATFORM
REVENUES
NO REVENUE FOR PRODUCTIONS
INVESTIMENTS IN NEW PRODUCTIONS
LEGAL AND ILLEGAL VIEWS
ILLEGAL VIEW
ROYALTIES
ILLEGAL PLATFORMLEGAL VIEW
PIRACY
CURRENT SYSTEM PRODUCTIONAND RIGHTS HOLDERS
STREAMING
HOW CAN YOU ENJOYA CONTENT
Major competitors to beat are not legal online streaming portals, but the multitude of pirate websites which currently own thealmost totality of the Market. Lumière, besides the legal compliance, leverages the free access in order succed, thus reading current audio-visual Market dynamics and anticipating future trends. But… what Lumière’s competitive advantage is?
LUMIERE
ILLEGAL STREAMING
MOVIE
USER
Cum
bersome w
eb searches
Advertising/spam overlap
Low quality
Long buffering time
Little security and malw
are threat
Several re-directing to external websites
Illegal
User-unfriendly interfaces
MOVIE
USER
FAST
INTU
ITIVE
HI Q
UA
LITY
RELA
SAFE
USER
-FRIEN
DLY
LEGA
L
ENJO
YAB
LE
LUMIERE STREAMING
Lumière pays the user experience extreme importance, by simulating a remote-like ownership of a wide catalogue of contents easily searchable
of the content on his/her own hard disk.
HOW CAN YOU ENJOYA CONTENT
Lumière is a multi-functional platform, fulfilling in a unique virtual space all of the user’s audio-visual entertainment needs.
Special attention is paid to Lumière’s homepage, which recalls a media player.
LUMIERE
WHICH
AC
CES
S
DO YOU HAVE?Lumiere relies on the freemium approach, i.e. a blend of free and fee-based subscriptions. The login happens by either a simple sign-up or using the account of one of the major social networks.
freeLUM LUMore vipLUM
• Completely free of charge• 14 hours of contents/week (up to 3 hours max per day)• Standard De�nition contents.• Switch language and add subtitles feature
• 4,99€/month•28 hours of contents/week.• No banners or advertsing.• Preview contents.• Possibility to interrupt subscription at any time.• Standard De�nition and
• Cinema card 2x1.
• 11,99€/month• Unlimited access to contents• BD or DVD menu access, so including special features, interviews and backstage.• Standard De�nition, High
De�nition 4K contents.• Cinema card 2X1.
All features + All features +LUMorefreeLUM
ALTERNATIVES
A THREE-LAYERS OFFER IS AVAILABLE TO THE USER: freeLUM, LUMore, vipLUM
subscription subscription subscription
LUMIERE
WHICHCONTENTS
Lumière aims at having a main-stream offer, without leaving aside the several cinema market niches already existing. Therefore experimental, cult and art movies, but also audio-visual contents currently not being distributed through the standard channels due to the high costs, which are obviously unbearable for independent productions.
Lumière contents are mainly : FULL-LENGTH MOVIES
At a later stage, and with the intent of expanding the potential audience to the possible extent, the catalogue will be complemented by:
SHORT FILMS, TV-SERIES, DOCUMENTARIES, BACKSTAGE, ARTISTIC VIDEOS, RECORDS OF STAGE SHOWS AND OPERAS
ARE AVAILABLE FOR YOU
TO ENJOY ?
LUMIERE
OP
PO
RTU
NIT
IES
Lumière’s community plays a critical role in the success of the portal. By using the social area, users will be able not only to review and recommend movies, but also to build new contents starting as of the original ones. All of this in full compliance with the agreements stipulated with the copyright owners, and actually generating additional revenues for them.
• Wall showing whatever is posted by your own contacts, or other users about the contents you’re interested in.• Festival Page and Production Page• Possibility to create discussion forums and pages.• Spoiler-free or spoiler-alert marks• Feature to enable/disable Audio and Video comments on the content performed by users who are following it.• HIPERLINKS among cuts from different movies• QUOTE-LUM, sharing of quotes sourced from movies.• Video-reviews section: 1 minute video-reviews by users.• Frametribute section.• Videotribute section.• Feature to re-double movie cuts.• ANIME-LUM – creation of anime, quotes, rankings and user movie-lists• SYNCHRO-LUM.
LUMIERE
• FRAMETRIBUTE SECTION: selection of a frame and possibility to edit it online by using an embedded photo-editing software (e.g.: adding writings or cutting pictures off the frame, etc.)
• VIDEOTRIBUTE SECTION: selection of a movie section and possibility to share it on most important social networks. Feature to edit and assemble cuts from different movies and share the outcome (royalties paid based on views)
LUMIERE
OP
PO
RTU
NIT
IES
• SYNCHRO-LUM: View of the movie in synch among multiple users connected from afar, with live chat and smart software allowing spoken interaction in the course of the view itself.
CONTESTCROWDFUNDING
At a later stage it is foreseen the
and movie theaters partnering with Lumière.
Lumière’s contests and ad-sponsored ones will be launched on a regular basis, after stipulating sponsorship agreements with the partnering brands.
Crowd-founding: three subjects will be periodically selected as potential plots for movies or web-series; eventually the most funded ones are realized, in co-production with Lumière. The break-through is also represented by the opportunity for the funding users to earn, proportionally to the invested share, based on the revenues that the newly created content will generate on the portal or in movie theaters, thus generating a virtuous cycle
LUMIERE
LUMIERE
USERS RAMP-UP OVER TIMEBased on pre-lauch effort, it is estimated an amount of 2500 users by the end of the first operating month. During the rest of the Launch phase (Months 2-5) it is expected a growth rate doublingh on a monthly basis. During the first 10 months of the Growth phase (Months 6-15) a 130% monthly growth rate increase is plotted.For the following eight months (Months 16-23) the user acquisition rate is expected to decrease by around 50.000 users per month, until the stabilization of the acquisition rate in around 100.000 users/month (Months 24-35) and the eventual Market saturation by Month 36
-
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
Users ramp-up over time
LAUNCH GROWTH MATURITY
LUMIERE
Profit analysis: monthly and cumulated net profit
-€ 2,500,000
-€ 2,000,000
-€ 1,500,000
-€ 1,000,000
-€ 500,000
€ -
€ 500,000
€ 1,000,000
€ 1,500,000
€ 2,000,000
Mon
th -3
Mon
th -2
Mon
th -1
Mon
th 1
Mon
th 2
Mon
th 3
Mon
th 4
Mon
th 5
Mon
th 6
Mon
th 7
Mon
th 8
Mon
th 9
Mon
th 1
0M
onth
11
Mon
th 1
2M
onth
13
Mon
th 1
4M
onth
15
Mon
th 1
6M
onth
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Mon
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8M
onth
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Mon
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onth
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Mon
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31
Mon
th 3
2M
onth
33
Mon
th 3
4M
onth
35
Mon
th 3
6
Net Profit
Cumulated Profit
By analyzing Lumière’s profit on a monthly basis, it is visible that the platform starts turning an increasingly positive margin as of Month 12 (fifteenth month since initial funding), with full recovery of the initial investment, calcuated in around 2 Million Euros, upon month 16 (nineteenth month since initial funding).The estimated total return of the investment, within the first 36 operating months of Lumière (39 since initial funding) is expected to approach 45.5 Million Euros.
LUMIERE
TOTAL COSTS BREAK-DOWN
AROUND 60% OF TOTAL LUMIÈRE’S COST IS MADE OF COPYRIGHT ROYALTIES, THUS CONFIRMING THE WWW APPROACH AS THE KEY FOCUS AND SUCCESS FACTOR FOR THE PLATFORM
0%
1% 0%
3%0%
59%
3%
34%
Infrastructure
Marketing
Scouting, Travel & Expenses
Organization
Administration
Copyright royalties
Servers
Financial
LUMIERE
PARTNERSHIPS
MOVIE FESTIVALSDirect scouting and pre-view movie selection, matched with ad-hoc events on the platform by the end of each Festival followed-through by Lumière’s Team (e.g. Venice Festival week in September).
MOVIE THEATERSLumière does not compete with movie theaters as such, but actually acts as an enabler incentivizing customers to enjoy traditional cinema, by creating a network of partner movie theaters, whereby it will be possible to: Enjoy discounts and advantages for Lumière paying subscribersDistribute Lumière’s pre-view movie selection (digital cinemas only).
SPONSORSHIPSEstablishment of sponsorship relationships with brands directly related to the entertainment and home-theatre Market (food industry, soft and energy drinks, alcohol and spirits, self-medication products (OTC), TV stations, etc.)
LUMIERE
MIRKO SENATOREExecutive Chairman Strategic and Operational roles in Fortune 500 Company (current employment), Management consultancy, Very advanced project management [email protected]+32 472 850618
DANIELE ESPOSITOChief Visionary Officer Several support roles in cinema and audio-visual industry, as production inspector, coordinator and [email protected]+39 392 3536852
LUCA AMODIOChief Communication Officer Support to several festivals, culture fostering centers and Opera direction . Multiple roles involving end-customer direct [email protected]+39 328 8163363
MARCO SABINOChief Operating OfficerRoles in any Communication fields, Image Director in several movies. Currently Art Director at Studio Stratego Marketing & [email protected]+39 340 6014613
QUESTIONS? write at:
LUMIERE
AROUND 60% OF TOTAL LUMIÈRE’S COST IS MADE OF COPYRIGHT ROYALTIES, THUS CONFIRMING THE WWW APPROACH AS THE KEY FOCUS AND SUCCESS FACTOR FOR THE PLATFORM
IN SUMMARY…AccessibilityCompleteness QualityLegal ComplianceInnovationSynergiesAdvantages for all involved partiesAccessible level of investmentFast RETURN ON INVESTMENT
LUMIÈRE…LET’S RE-INVENT CINEMA...Together !
YOUR VIRTUAL CINEMAIN A CLICK!