New Age Artists

Chapter 53 Billions of Dollars
The difficulty in dividing the money lies in the fact that it involves actual cutting of flesh.

It's not a small amount of money.

We started the ringback tone business in October last year, and in just over three months, we generated revenue of over 10 million.

After deducting the singers’ share and operating income, they promised to take out 30% as incentives.

The prize pool reached more than 16 million.

It’s a very huge number. The ringback tone business is very profitable.

Let’s put it this way, the amount was so much that the branch responsible for the ringback tone business felt that they shouldn’t be earning so much and was worried that Shen Santong would not honor the promised bonus.

2 month 2 day.

"Since I promised to reward the ringback tone business with real money, I will not break my promise. Today we will make good on this promise so that everyone can have a happy new year."

Shen Santong held a meeting with all the employees of the Color Ring Branch and brought the finance department with him to divide the money on site.

It is impossible to redeem all the 16 million prize pool, and some funds have not been returned.

However, they can still directly divide up more than 10 million.

When the prize pool was designed, it was relatively fair.

There is a gap between leaders and employees, but it is not exaggerated.

There are differences between later joiners and old employees, but the gap is not very big.

The most that could be taken away was 800,000 yuan, and the least was over 100,000 yuan.

The venue was immediately boiling with excitement, with everyone shouting that the boss was awesome.

When they were working on the ringback tone business, neither Shen Santong nor the employees who participated in it thought they could earn so much.

The current income is the ringback tone agent income.

The lawsuit to fight for the rights of online singers has not even been completed.

It is impossible for music companies that have made a lot of money by using the copyright of online songs for free to have a change of heart and can only slowly file lawsuits.

However, by fighting for the rights of online singers, and with Shen Santong's personal brand, he has gained huge appeal among online singers.

It is very easy to get the agency of popular online songs.

Shen Santong initially started the ringback tone business with the intention of suing for online singers and making money from music companies.

I never expected that I hadn’t seen any money from the original business, but the SP agency business made a ton of money.

The ringtone companies are doing a really good job and have withstood the suppression from traditional record companies.

Traditional record companies have a killer weapon against online singers.

Physical singers release albums, but online singers do not.

This has created a chain of contempt in which singers who have released albums are superior to those who have not.

In response to this, ringtone companies created the concept of "music purity".

What marketing singers pursue is pure music, not harvesting their own fans over and over again.

Music comes first, not money.

Then package the concept of online singers with the Internet and trends.

Then they spent money on buying space, and for a while they competed with traditional record companies.

Shen Santong only gave instructions throughout the process, and the specific marketing methods were entirely thought out by the branch company itself.

Ringtone companies have even explored a way to monetize online songs by turning them into ringtones.

The profit is much higher than that of physical records.

There are too many links in the physical record industry, including record recording and offline distribution, which are heavy assets.

The monetization of online song ringtones is completely asset-light.

Shen Santong expressed his concerns about the ringback tone service.

Song agency will not last long. Operators will do it themselves in the future, and SPs will be swept away by then.

The ringback tone company provides a solution.

Plan to establish an online music platform and build a platform.

I will continue to sell song licenses, but I will make less money, but I will still make some money.

"Dongtian.com can also provide real money incentives like the ringback tone service. Dongtian.com's users are in first-, second- and third-tier cities and have a certain level of economic ability. They are very high-quality users."

Inspired by the ringback tone business, Shen Santong had some ideas about the future of Dongtian.com.

Before he knew it, Shen Santong already had six or seven companies under his control and his energy was limited.

He basically only focuses on two things in the branch: the first is finance, and the second is personnel.

Why not try out the successful experience of the ringback tone business and link the company's profits with all employees.

The ringtone branch company proved that under the incentive of real money, everyone's enthusiasm is really high.

It also shows that most employees are normal.

If a job can improve the quality of life and realize personal value, people are willing to work hard. The abnormal ones are often the bosses.

"We will also design a prize pool for Dongtian.com's revenue, and share 50% of it with everyone. The secretariat will discuss it and try it out after the new year."

Dongtian.com is different from the ringback tone service. Shen Santong can understand the ringback tone service and even has certain ideas about some nodes.

In addition to the lawsuit costs, public relations costs, travel expenses, labor costs, etc. in the ringback tone business, the employee is only an executor and he is the brain, so naturally he takes the biggest share.

Shen Santong really didn't know what to do with Dongtian business.

Douban is not doing very well, it's almost becoming a cesspool.

Dangdang.com already has a platform for selling books.

If Dangdang.com really wanted to sell books, it would probably be strangled and even lose its income from attracting customers.

Dadongzi is doing a good job selling discs.

Shen Santong of Dongtian.com had no idea what to do.

He established Dongtian.com mainly for the right to speak in the film industry, and Dongtian.com has become a base for film and television enthusiasts.

The supermarket’s good box office performance was also helped by Dongtian.com.

As an Internet platform, it breaks the original evaluation system.

With the first-mover advantage and Shen Santong's grasp of the general direction, Dongtian.com should be difficult to destroy.

Just promise some benefits and see what ideas people come up with.

“I think I have a small goal now.”

The company conducted a year-end inventory of its business, and Shen Santong also conducted a year-end inventory himself.

All the films in supermarket film cinemas have been downloaded, and some films have also been downloaded in digital cinemas.

But the box office still remains at the million level, which is unbelievably strong.

However, in two days, the Hollywood blockbuster "Anaconda 2" will be released.

To make way for the digital canvas, it’s time for supermarkets to paint.

The total box office is about 150 million, it may exceed 150 million, or it may be a little less.

Cinemas must first pay 5% of their box office revenue as a special fund for the film industry and 3.3% as business tax.

After deducting fixed taxes, 91.7% of the box office revenue is the share of the box office revenue that can be distributed among the parties.

Cinemas and theaters take 59%, and film producers get 41%.

We can get 41% thanks to Zhang Weiping and Zhang Yimou. "Hero" increased the producer's share to 40%, and "House of Flying Daggers" increased the proportion to 41%.

Forefathers planted trees for future generations to enjoy the shade.

The remaining 41% has to be shared with the distributor. China Film Corporation is responsible for the distribution, and the digital agency fee is waived because the box office has exceeded 7 million yuan. Deductions will be made for film distribution, and all in all, points will be taken.

Shen Santong can get 34%, which is 91.7% of 34% of the total box office, which is about million.

The box office is only part of the revenue of the film Supermarket.

In-film advertising and DVD copyrights are sold before the film is released at a very low price, and the bulk of the profits go to others.

But adding one piece together would still add up to five million.

There are also television broadcasting rights, distribution authorizations in Hong Kong Island, Japan, South Korea, and Southeast Asia, and trademark authorizations, and Lingling’s total revenue is close to eight million.

Ringback tone company business.

The business of the ringtone branch, after deducting the singer's share, operating costs and employee dividends, had a net profit of approximately 38 million.

This includes unpaid accounts receivable and time costs. For the sake of convenience in calculation, we will simply count it as income.

Revenue from single ringtones.

The total download volume of the three ringtones "Dimple", "Thousand Miles Away" and "The Way of Justice" has reached nearly 100 million.

After all, it is a promotional song for a supermarket. The more popular the supermarket becomes, the more popular the song will become.

This is a huge income, with total revenue exceeding that of ringtone companies.

The first two songs accounted for the bulk of the income, with personal income of more than 30 million yuan. The copyright income from the last song was more than 7 million yuan, for a total of more than 40 million yuan.

Of course, the majority of the profits from the above three songs were earned by operators and SPs. At the time of authorization, Shen Santong had not yet acquired the SP and did not have its own ringback tone business.

"My Sky" is operated by my own ringback tone company.

The number of downloads reached tens of millions, providing more than five million in personal income and more than six million in licensing income to the company.

In this era, ringtones are really making money, it's simply a money grab.

Shen Santong calculated that the company account and personal account added together far exceeded the small target.

"Spend it. Spend it."

Shen Santong needs to think carefully about how to spend the money.

(End of this chapter)