Ever get so saturated with a brand or a concept that you never want to see it again, and then a movie comes out about it? Good news: this is exactly what's going to happen with Angry Birds as Rovio tries to revive the franchise and bring in more sales with its name.
The Finnish game studio will be heading up a 3D movie to bring more awareness to the Angry Birds brand, as if we don't already know about it. The company did report a 73 percent decline in profits recently though, which make have lead to this decision. Rovio attests this loss to a lack of merchandising sales and a drop in licensing deals.
Total sales this year have been down 9 percent at $169 million, however mobile revenue is up 16 percent to almost $120 million. The company also saw a loss in operating profit of $12 million. With competition in the market from big players like Disney Infinity, Skylanders and Nintendo's amiibo, virtual games have started to win out over quick-hit mobile titles by adding in the physical touch to an otherwise digital product.
This move into TV is definitely placing Rovio into an entertainment empire over just being a game company who licenses merchandise. The film is estimated to cost around $80 million, and part of the marketing costs will be paid by Sony Entertainment. It's said that the marketing budget will exceed the actual production budget for the movie. On top of the 3D movie, a TV series is being worked on simultaneously.
The movie sales may be the jump Rovio needs in order to figure out where the company needs to focus. Looking at the past two years, the studio has failed to quickly adapt to the market, and still charges for some of its Angry Birds titles, where the norm lately has been around free-to-enter games with paid content inside of it (no matter how much I dislike the idea, save for one). If the movie does well, the public will have more demand in games, and in turn, Rovio will have to create something new to satiate the consumers who just left the movie theaters. If they're smart, they launch a game based around the movie and include a free download link with your paid movie ticket. Just so it's on record, if they do this, I expect to see royalties for the idea.read more...