Chapter 77: Media Shock
[Chapter 77: Media Shock]
In the third week of its release, Paranormal Activity grossed an astonishing $51.82 million across 1,873 screens in North America, grabbing the number one spot at the box office. The film broke records, becoming the highest-grossing R-rated movie in a single week in the history of cinema.
This was remarkable for a film with a mere $20,000 budget, especially during the competitive summer season filled with blockbuster releases. It even outperformed a multitude of commercial giants to become the weekly box office champion. This success sent shockwaves throughout Hollywood, leaving mainstream media in disbelief.
On the day the third-week box office numbers were released, major publications like the Los Angeles Times, Hollywood Reporter, and New York Post led with the news. The Los Angeles Times reported, "Following the success of Buried, Link's new film Paranormal Activity has once again achieved incredible box office results, showcasing astounding returns on investment."
Buried had a budget of $20,000 and, after over five months in theaters, made more than $68 million globally, earning a return of 3,400 times its investment, a record documented in the Guinness World Records. Just when many thought this record was unbeatable, Link launched Paranormal Activity five months later.
With the same $20,000 budget, Paranormal Activity grossed $66.59 million in North America within just 17 days, achieving an astonishing return of 3,330 times its budget. As this article went to print, the record for the highest return on investment might have already been shattered.
Paranormal Activity had potentially become the film with the highest return on investment in film history. This was sensational, almost unbelievable. Even more astonishing was that these two extraordinary films came from the same director, Link -- a newcomer who had risen from a poor background, having worked as a dockworker, extra, and waiter, and was just 20 years old.
...
The Los Angeles Times focused on how impressive Paranormal Activity's box office success was and highlighted Link's incredible achievements.
Entertainment publications like Hollywood Reporter and Variety not only reported on Link's new film's success but also analyzed the reasons behind its blockbuster status, inviting industry insiders to evaluate the film's strengths and weaknesses.
On the positive side, a common view suggested that the film's shooting techniques were highly innovative. Compared to classic films from the past century, Paranormal Activity's approach was refreshingly modern and groundbreaking. From the storyline to camera work and set design, it borrowed little from old films, marking itself as a daring experimental work.
The success of this experimental piece also signified that the current film industry was quite inclusive. Audiences were not only receptive to commercial blockbusters and classic artistic films but were also open to alternative innovations like Paranormal Activity. The movie's accomplishment provided guidance for aspiring filmmakers, suggesting that as long as one had ideas and courage to act on them in Hollywood, success was achievable.
On the downside, many industry insiders felt that the film's box office figures were unreasonably high. Although Paranormal Activity was a decent film, grossing over $60 million in just three weeks, it surpassed many well-produced commercial hits and classic films headlined by major stars like Tom Cruise, Batman, Harrison Ford, Dustin Hoffman, and Demi Moore.
Such performance made a lot of well-known producers and directors, along with big-name actors, feel embarrassed. It also prompted the executives of Hollywood's major studios to rethink their film production and investment strategies. Historically, the Hollywood model had been about combining a good story, a skilled director, major stars, and seasoned actors for guaranteed box office success. Yet, Buried and Paranormal Activity, through their astonishing revenue figures, indicated a new equation: a good story, innovative filming techniques, and clever marketing tactics equal high box office returns.
The so-called great directors, big stars, and veteran actors seemed to have lost their significance. Concerning marketing strategies, many industry professionals criticized Guess Pictures' approach, claiming that Paranormal Activity was overly marketed. Before the film's release, Guess Pictures created a terrifying atmosphere around society as part of a deceptive promotional campaign, claiming it was a documentary based on true events that happened in America.
This undoubtedly mocked the audience. After the film's release, instead of trailers, Paranormal Activity showcased highlights on multiple television stations, overwhelming viewers with promotional content, enticing them into theaters. Industry insiders indicated that such strategies were undesirable and hoped Guess Pictures would moderate its tactics.
...
Among these media outlets, the New York Post and Business Daily were particularly concerned about Guess Pictures' profits from this film. During the internal screening, Paranormal Activity faced rejection from dozens of producers, including Andrew Reiner, who considered it a garbage film with no promising box office results.
As a result, multiple Hollywood studios opted to abandon Paranormal Activity's distribution, much like they had done with Buried. The film's distribution ended up in the hands of the newly founded Guess Pictures.
According to Business Daily, due to the film's exceptional box office results during preview screenings, Guess Pictures made significant investments in marketing and successfully negotiated a strong revenue-sharing agreement with several major theater chains. Four weeks before Paranormal Activity's release, they projected a share of around 75% of the box office profits.
This meant that if Paranormal Activity grossed over $100 million within the month, Link and Guess Pictures would split approximately $75 million in box office revenue. With a production and marketing cost under $10 million, the film was set to earn over $70 million in profit. This result was nothing short of astounding.
The New York Post declared Link could become the next multi-millionaire -- a 20-year-old multi-millionaire, a self-made millionaire starting with just $20,000, and the fastest-growing multi-millionaire in under a year!
...
Paranormal Activity's remarkable box office performance attracted even the Washington Post, a publication mainly focused on political news, as it highlighted the director's significant achievements in the film industry -- a place where talent could shine and dreams could be realized. Link's success was labeled as the "American Dream," gaining him numerous fans.
...
With major media outlets like the Los Angeles Times, New York Post, and Washington Post proactively covering the story, Paranormal Activity gained immense recognition both in the U.S. and globally, drawing more audiences to theaters. International distributors also approached Guess Pictures with earnest offers for the overseas distribution rights to Paranormal Activity.
*****
https://www.patreon.com/Sayonara816.