The Numbers

Horror Movie Numbers

October Horror Film Release

The Opportunity

Horror films are one of the most reliable and profitable genres in the movie industry, offering unparalleled returns on investment (ROI). Data shows that mid-budget horror films consistently outperform other genres in profitability due to low production costs and strong box-office performance. Our plan to release a high-quality horror film in October, aligned with the global celebration of Halloween, leverages this proven formula for success.

Why Horror?

  1. Growing Market Share: Horror films now account for 10% of annual box-office revenue in North America, generating approximately $1 billion annually​.

  2. High Profitability: Recent hits like Smile and M3GAN grossed over 10 times their production budgets, exemplifying the genre's lucrative nature​.

  3. Cost Efficiency: Horror films are significantly cheaper to produce than action or adventure genres, with median production costs as low as $16 million compared to $120 million for action films​.

The Halloween Advantage

  1. Peak Demand Period: October consistently shows the highest ROI for horror film releases. The Halloween season amplifies interest and ensures maximum audience engagement​​.

  2. Cultural Connection: Halloween’s global popularity creates a natural marketing opportunity, reducing the need for excessive advertising spend while driving audience interest.

The Target Audience

  1. Gen Z Enthusiasm: A 2022 survey revealed 66% of Gen Z respondents watched a horror film in theaters within the prior year, making them the most engaged demographic​.

  2. Broad Appeal: Horror films also attract millennials and Gen X, ensuring a wide and diverse audience base.

Revenue Potential

  1. Historical Performance: Films like The Conjuring grossed $316 million on a $20 million budget, while Smile generated $217 million, far exceeding their production costs​.

  2. Projected Returns: By aligning our release strategy with market trends, we anticipate ROI exceeding 200% for a mid-budget production.

Investor Benefits

  1. Low Risk, High Return: Entry into a genre with a proven track record of success.

  2. Strategic Advantage: Timing the release for October maximizes revenue potential.

  3. Transparent Revenue Sharing: A structured model ensures fair and predictable returns for investors.

Horror Movies Are the Most Profitable Genre

Using real-world data and statistical modeling, we are able to estimate the profitability of most major horror movies. This takes into account all income streams (from theatrical through to television syndication) and offsets all costs (including advertising, distribution and fees). We are left with a fairly accurate estimation of the Producers Net Profit for each movie.

At the top of the pile is Saw, which was hugely successful, with a likely profit of well over $130 million on a $1.2 million production budget.

We believe we have the potential to achieve significant revenue by releasing our horror film in October, leveraging the global promotion of Halloween during this peak season.