Micro-movies offer new platform for profits

With demand weakening for traditional advertising media, the micro-movie is coming into its own, reports Huang Ying

Forget television. Forget billboards. The traditional advertising media are dead (or dying). And in their place, something new has emerged.

What's hot in China these days is the so-called micro-movie, or wei dianying, which is a short film that blends a complete story with paid product placements.

They are promotional clips of a product or a brand embedded in media designed for certain target audiences.

Lasting from 10 minutes to a half-hour, micro-movies are made not for cinemas but for the Internet or public places such as jumbo jets or high-speed trains.

So, why are these short films so hot? And can they continue to grow as a business?

Armed with such questions, China Daily spoke recently with He Xiaojun, deputy general manager of Linksus OpTIPoint Movie Co Ltd.

He said micro-movies have arrived at a time when young people are incessantly on the go; only old people stay home to watch TV.

The short films serve as a lifeline for streaming media companies, which can't afford the copyright fees for feature films and TV series but desperately need content to show on their websites

Large corporations like them, too, He noted. That's because, with clever plots and direction, they can be tailored to effectively meet firms' marketing plans.

So, he said, business is definitely growing, although the market is somewhat in disarray.

Since starting up in 2012, He's company has made some 20 micro-movies and has clients in 11 industries, with most coming from three fields - automobiles, electronic gadgets and fast-moving consumer goods.

Linksus OpTIPoint's performance has been so strong that it attracted the attention of venture capital investors.

Several VC firms have approached the company, although no deals were sealed, He said, as parent company Linksus Media Communication Group is preparing for an initial public offering.

The number of companies and studios making commercial short movies in China is "in the hundreds", He said.

But those that can produce more than 10 micro-movies in a year number no more than 30. And Linksus OpTIPoint is among them.

The cost of making a short promotional movie varies widely, from 50,000 yuan ($8,190) on the low end to more than 5 million yuan, which can make the market seem chaotic for clients, even those that are interested in the product.

Similarly, the investment required also varies.

Linksus OpTIPoint doesn't chase low-budget orders. Its threshold budget for making a micro-movie is 1.2 million yuan, covering everything from design to filmmaking, and distribution to promotional campaigns.

"In my opinion, at least 10,000 yuan for each minute is definitely required to ensure the quality of the product," He said.