Tuesday 5 August 2014

Advertising - P4(b)

Advertising - P4(b) 

Meaning and Purpose:  According to DreamWorks Anual report they have developed business arrangements which include other big companies such as McDonalds using their art work for sales and promotion. This is again another example of synergy between large companies. This means that huge film companies have a bigger income from merchandising and selling products with their characters on it, then the actual film itself.

( This information have been taken from this website page 4:
http://www.dreamworksanimation.com/2013ar/Dreamworks_2013_Annual_Report.pdf )

Consumer Products and Location-Based Entertainment
We have entered into a variety of licensing arrangements with a number of consumer products
companies and other retailers. Pursuant to our typical arrangements, we grant a single-picture license
to use our characters or film elements in connection with a specified merchandise item or category in
exchange for a percentage of net sales of the products and, in certain instances, minimum guaranteed
payments. We may also enter into other arrangements, such as multi-picture agreements or multicategory license agreements, pursuant to which the licensee receives merchandising or promotional rights in exchange for royalty payments or guaranteed payments. We are also currently exploring a number of strategies to increase the size and scale of our consumer products business to more fully exploit our franchises and other intellectual property.






DreamWorks spent a huge amount of finance to advertise Shrek film. There are some pictures:
 McDonald's advertisement.








Those are different ways to connect with DreamWorks.

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