The Billboard 1913-03-22: Vol 25 Iss 12 (1913-03-22)

= 22, ’ « Lad s J « . » v — + v TT / > ewe n re a—— T rr TTT csaeme i seoseees: 2sse5 poasssetece po gezass suseeestiae‘iccste rr ise ssreszstesastsgesiasses igeeies greet ssatetteiss-reess De tt 2. bones aA T 7 2s ae +4445 = + aSse5 <= see + * pees +t ies ss 4-4 J + 4 +4 + ereese . esce Seas paaeece! Det ee tH t T ttt +44 Aaa t a >= + t 4 = 2 = ts iesesece 2 :23 tT = +4 ¢ t = s 4 oases = em a HE esine aes jan mnennill | Tr. ee ans ous = ses sESESsnas aoe! r Le © so on a oe oe oe rr rrtr By E. V. Morrison in speaking of either the possible outcome of the motion picture business or the present situation it is taken for granted that the gist of the matter will have to do with feature films. Long ago the general trend of the business was toward the lengthening, betterment and prominence of the feature film, partly in place of the regular release films and partly in addition to the regular releases which were formerly the only kind to be had. The feature business has now reacht such a state that movements in this field alone are of enuf importance to be the central subject of any discussion concerning the film industry. As predicted in a former article of ours on the general subject of motion pictures, organization is the keynote of the situation. We also expresst an opinion as to what kind of organization would take place. It seems that already our prediction is coming true and that a specific and definite form of organization is taking place. That the feature business is becoming organ ized is strongly indicated by such concerns as Warner's Features, The Feature Photoplay Company and the International Feature Company, which concerns, while small as yet and not firmly establisht, are conducting business along specific lines and evidence no intention of changing. Of the other indications we will speak later. All the above-mentioned concerns have establisht branch offices from which their output is to be bookt and in most cases bookt exclusivly. The output of these companies is not sold to the state-right buyer, or to individual exchanges, but to exchanges Only which are owned or controlled by the parent company. Not only is this one scheme an indication of a coming organization of the feature buiness, for only a few weeks ago an attempt was made to organize all the feature interests of the United States into one central body which would control the entire output of the American feature manufacturers and importers of foreigns films. The latter is not such an organization as we predicted would come about. In the former instances the combination has been by actual ownership and not by voluntary merging. The three feature concerns first mentioned all started out with the home office, and either bought up feature and junk exchanges or made arrangements with them to handle one product exclusivly, or else establisht new exchanges in the same towns where others were. The plan of voluntary merging has practically failed, for it has been dropt and no one is exhibiting an interest in it and it can safely be said to be dead. The reasons why no such combination will become possible are two. First, all such combinations of manufacturers or regular release films, W hat’ s to Become of Motion Pitare? if] MT ay SHS sad +t NY th 3373: it +t ht except the Motion Picture Patents Company, have failed. And second, even the dead scheme partook strongly of the nature of a business merger, or a contract between two parties to work together, one performing one part of the film producing business and another another part. In our last article we predicted that when an organization came about it would be because one concern or one individual had already establisht its business for himself so strongly that smaller concerns would be glad to join the larger concern or individual, as the case might be. In other words, when there was something tangible that could be united to something else which was tangible. Where factories or exchanges or something material had actually been establisht and could be united so that definite returns could be figured and not surmised. Proof of our statement that this will be the way the business will become organized can readily be found in the cases of the Motion Picture Distributing and Sales Company in the divisions into which it has fallen and the nature of these divisions. The Sales Company was simply a body of manufacturers who agreed to pull together to the exclusion of outside parties. There was no merger of factories or interests of any kind and the company existed only so long as its individual members were faithful to their original pledge. When it split it split into two just such organizations as we maintain are the only kind which can exist. The Mutual Company, while in a sense a voluntary organization, has its individual interests so closely woven together that it is practically one big company under common ownership. . The Universal Film Manufacturing Company is also a company in which individual interests are lost. There is a legal joining of the interests and each former owner of a plant now owns stock in the big company and supervises a branch of the business and not a section of it. Even the Patents Company, which might be said to be a voluntary organization which has succeeded, is virtually held together by its patents and by a pooling of their ownership and not because the firms composing the Patents Company are too well satisfied to leave. About fifty per cent of the feature productions shown in America are obtained from regular exchanges which buy the programs of the Patents Company, Universal Company, the Film Supply Company or the Mutual Company. These companies are, of course, primarily distributors of single-reel subjects, so many per day. But the fact that so large a number of features are handled by them is a good argument for the assertion that the game is becoming organized and that when it does it will be into an organization or organizations which are absolutely under one ownership. The organization which had its birth at the meeting at the Astor Hotel on November 21, and which died so quickly, could have succeeded if the present prosperous feature concerns had entered into it and had pooled their interests or had drawn up and signed contracts between one another which bound the companies together. Of course, not all the prosperous concerns would have been necessary, nor would it have mattered much if the smaller and less successful concerns had not entered into contracts with the larger ones. But it would have had to be an A plus B affair to succeed. It would be unfair not to mention, in passiny, something concerning the Film Supply Company of America, which is offering many features to territory buyers and which has a novel plan of using regular exhibition days to show films to buyers. A well-equipt distributing concern is already establisht and offers great opportunity for just such an organization as we said could not long exist. The Film Supply Company is a voluntary organization from which any of its members can withdraw at will. For the present it serves a good purpose and is a considerable film center. In the future, however, individuals will begin to form into cliques and as the feature business progresses and more manufacturers join its ranks, the game of politics will begin to be played again and present members of the Film Supply Company will see their chance to make more money by combining with one or two other manufacturers and before long definite lines of cleavage will be establisht and the Film Supply Company will cease to exist while its members go on and become prosperous. . It has become the custom to submit features to a censor board. In this we readily enter our objections. If a merger of companies were affected, of course, a censor board would be necessary; all large companies have inspectors and the censor board would consist of these. Rut the oldfashioned censor board is a joke. The public and the exhibitors will do all the censoring that is necessary where a concern is depending upon them for patronage. If one would read the true fortune of the feature business he had best watch the most successful and the most persistent feature companies of the present. These will eventually work out the future of the business. As they grow as individuals and as they establish their firmness, the more and more will the faith of each other be establisht, and when this is done, mergers will be easily accomplisht. to the common good of all and as a natural result of a number of concerns working side by side. be ———— #25285 55555555i:: i325 = 1 SS = \ SS Vi 4 S ey tte Site 333) % Wobei: « thh eR, ! je +H bee