Animated Films

Pixar's Toy Story was the first fully computer-animated feature film, which started a revolution.
Over 19 years, Hollywood studios have made about 70 or more, and only a handful of those studio-produced films have made less than $100 million at the box office which is incredible.
Source: npr.org

Animated films become UK's favourite Film genre for the first time as they generate £247m at the box office in a year

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Investors are now starting to realise that investing in the latest animation films could be the best investment decision of their lives.
Without doubt, they generate fantastic rewards as the demand for animated Films has never been higher.
While these types of films are generally made for children, their storylines - of romance, comedy and action - are also appreciated by teenagers and adults.
Animated films reach out to everyone, giving them an even greater impact to profit.

There are approximately 135 million babies born worldwide each year, and as they grow and mature into children,
so does their demand to be entertained, thereby a guaranteeing a new audience - year in, year out.

Around 26.3 percent of the global population is under the age of 15 - giving around 2 billion children
and teenagers - which could explain why animated films are doing so well and will continue to do so!

To understand the power of this, you only have to look at the early animated Films like Snow White and the Seven Dwarfs.
Produced in 1937, it cost $ 1.5 million to produce, but has go on to make $185 million.
It has produced 6,247% profit from the box office alone and those figures don’t include all the DVD sales or TV royalties. Snow White is still making money today.

A few examples of the cost to produce the film verses box office power are shown below.
GROSS PROFIT % Returns - ANIMATED Films
(Based on Cost of Production versus Box Office Revenues ONLY)

Film Investment ROI

Film Name Production Cost Box Office Revenue ROI v Production Cost
Frozen (Nov 2013) 150,000,000 1,267,837,000 845.2%
Kung Fu Panda (2008) 130,000,000 631,910,531 486.1%
RIO (2011) 90,000,000 487,519,809 541.7%
Despicable Me 2 (2013) 76,000,000 970,766,005 1277.3%
Shrek 2 (2004) 70,000,000 937,009,132 1338.6%
Cars (2006) 70,000,000 461,667,967 659.5%
Ice Age (2002 65,000,000 386,116,343 594.0%
Pocahontas (2005) 55,000,000 347,100,000 631.1%
A Bugs Life (1998) 45,000,000 363,095,319 806.9%
Toy story (1995) 30,000,000 364,530,148 1215.1%
Scooby Doo 2 (2004) 25,000,000 181,185,387 724.7%
Jungle Book 2 (2003) 20,000,000 135,703,599 678.5%
Doogal (2006) 20,000,000 205,025,258 1025.1%
Hoodwinked (2005) 17,500,000 109,843,390 627.7%

Animated Film ROI

What is Merchandising really worth?

Spin offs from licensed retail merchandise is worth $95 billion a year.

To understand this look at the example below:

'Cars' grossed $462 million at the box office (2006) but made a further $8Billion USD in retail merchandise sales!

'Cars 2' grossed $560 million at the box office (2010) but made a further $2Billion USD in retail merchandise sales!

Source: Huffington Post.

Animated Film Investment AInvesting in animated films Animated Film Investment

Conclusion

Investing in animated Films can return phenomenal profits for a life time.
The majority are classed as "evergreen" which means they will always be kept in Film libraries around the world producing constant and continual profits and watched by generation after generation of children and Film-goers alike.

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