WUHAN Aftermath: China cinema operators and Distributors are mad over “Lost in Russia” free-to-watch.

The coronavirus outbreak is crippling China’s film industry, Says who? Yet, online Platform in China is blossoming again?

“Lost in Russia”, free streaming in VOD platforms, the cinemas are extremely unhappy.

新闻更新：在上海浙江等地电影院行业表示对《囧妈》大年初一在线免费看的行为不满之后，全国院线也发声，呼吁电影局紧急叫停《囧妈》在线播放的行为。
(translate; latest news: Shanghai Zhejiang and other cinema operators were disatisfied with “Lost In Russia” free streaming on the very first day of Chinese New Year. All China cinema operators are pledging to the National Film Development Authority to halt such action)

The cinema operators are practically mad. Breaking the records of being the first ever FREE-to-watch Chinese New Year film, in online platforms. Shouldn’t we congratulate the director Xu-Zheng for his marvellous business mind? Hey! all the other New year films were halted for cinema releases, not only nationwide, but worldwide.

WORLDWIDE! all of the new year films.

only Xu-Zheng’s!

Thus, why would the cinema operators and other film companies went mad with this action? Simply because of jealousy. Errr, no. The film companies lamented that they (those film distributors and cinema operators) invested huge amount into the marketing and cinema releasing . However Xu-Zheng director betrayed the business model, putting the films to VOD and gain all profits to his company. From the outlook itself, indeed Xu Zheng was as if using cinema as an advertising platform and putting the new year film to online channels, and, becoming the one and only new year film to watch.

Lost in Russia’s Chinese title roughly translates to “Awkward Mom,” an apparent reference to a dominant female character who will star opposite Xu-Zheng. Apart from the Russian setting and a travelogue storytelling style similar to the earlier instalments, the story also center on “family relationships.”

Click here to read more.

It was a serious issue. Until big guys like Wanda were amongst the 23 film companies name who signed off the petitions to asking Xu Zheng’s movie to be taken down.

I am sure Xu Zheng’s movie would be having a hard time in cinema releases soon. Sigh.

From the business point of view. ByteDance (TikTok’s mother company) was predicted to break even after the 6th or 7th days of the movie releases; Well even putting aside those sponsorships or advertisements i guess.

Kudos, black sheep! 630 million for an exclusive VOD rights.

Now let’s see what are the other profits they have made, with the exclusive VOD rights to broadcast in Xigua 西瓜视频:

1、Main Sponsor— — Estimate figure: 9 M RMB.
ALL POSMs, Xigua’s main page special edition, promotional teasers, and a value up to 6 M RMB Above-the-line strategic partnership package.

2、General Sponsor — — Estimate 5 M RMB.
ALL POSMs, Xigua’s main page banners, promotional teasers, and a value up to 3M RMB Above-the-line strategic partnership package.

2、Hot Promo — — Estimate 3M RMB.
ALL POSMs and a value up to 2M RMB above-the-line strategic partnership package.

A comment from media sales friend was that, with ByteDance’s database, they could easily make profit at least 100 million per day in viewerships and CPM. (Look, its 1.30 billion of China population and let’s assume half of the population pays 10 bucks on the membership monthly fee, bingo!)

On the other hand, Xu-Zheng made 630 million for this movie and the only movie that could survived from coronavirus butterfly effect.

Hence, crisis? There is a will, there is a way. I personally think Xu-Zheng made an iconic move this time. now what say you?