What Makes A Movie A Blockbuster, And What Does It Cost?

• When we hear the word blockbuster we think of all the biggest movies over the years. A blockbuster is generally a big-budget Hollywood movie, usually released during the American summer, that is produced with the intention to bring in big money and big crowds. Blockbuster movies also usually have a cast full of A-list actors and big expensive movie sets. Blockbusters are created with the intention to be popular, exciting and successful.

1. Blockbuster movies don’t always have to be financial successes in order to be given the trophy title of being a blockbuster film. A blockbuster also refers to any movie with the intentions of being a widely successful hit, even if it doesn’t count as a box office success. 
2. Despite a blockbuster movie not needing to be a financial success, most of them end up being huge hits at the box office anyway.

• What Are The Production Costs Of Making A Hollywood Blockbuster Movie?

On average, a blockbuster movie has a budget of around $150 million. But, once all costs are added up and accounted for by the end of the production process, the costs are usually sitting at around the $400 million mark.

Here is a rough breakdown of where that whopping $400 million goes from start to finish:

1. Development costs
2. Pre-production costs
3. Post-production costs
4. Contingent compensation
5. Profit participation
6. Residuals
7. Marketing costs
8. Digital cinema print costs
9. Financing costs

These costs are huge and add up very quickly. This is why some blockbuster movies that made more income than their production budget in gross ticket sales may end up being considered unsuccessful.

• How Can A Blockbuster Movie Actually Make Money?

Movie profitability is determined by many different influences which all have different potential outcomes. When calculating the financial success of a film it is usually done by how much money was brought in at the box office, this is called a blockbuster’s theatrical revenue. Theatrical revenue is usually broken down into 2 categories: domestic box office and international box office. While the box office is the main source of income for a movie, it isn’t the only one. 

Once the movie has been released to the theatres and had its time to shine, it is then released into several other money making spaces. It gets released onto DVD, TV, and streaming sites and it may even be used to theme games at sites that offer an online casino sign up bonus. Every time a movie is released onto another platform is makes money. Another way that popular films bring in massive amounts of income is merchandise, airline and hospitality release, and on demand.

A blockbuster movie doesn’t always mean financial success, but it generally means that it has had a major effect on the mainstream masses and media and it rippling through the real world with some kind of major impact. A blockbuster can also be a creative success by impacting society in a positive way. As hardware, equipment and technology evolves, so do the imagination and reality of movie making and what defines a blockbuster movie is affected by all these things.