What is a common source of ancillary income for movie studios?

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A common source of ancillary income for movie studios is merchandising. This revenue stream is generated from the sale of products related to a film, such as toys, clothing, and collectibles that feature characters or themes from the movie. Merchandising allows studios to capitalize on the popularity of their films beyond just the box office sales, leveraging their intellectual property into additional financial gains. This strategy not only supplements revenue but also helps in building brand loyalty and maintaining the film's presence in the market long after its initial release.

While ticket sales, storage of sets, and direct streaming services are important aspects of a movie studio's business model, they do not typically represent ancillary income. Ticket sales are primary revenue from film screenings, storage fees may primarily involve cost management rather than generating additional income, and streaming services often involve more direct and contractual financial arrangements rather than the broader marketing and sales strategies that merchandising embodies.

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