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Jason Blum: How Horror Movies Became a Money Making Machine (Blumhouse)

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You’ve got an idea for a movie, right? Everyone does: some story you’d like to capture on film. But if you looked at movies as a pure investment, where the only thing you cared about was making money, then what kind of movie would you make?

Well, it turns out there is only one sensible answer: horror.

Today, we’re going to look at an American production house called Blumhouse, who have produced some of the highest grossing horror films of all time. We’ll compare their model to that of other, non-horror studios and see why their genre has such a shocking return on investment.

Wanna learn more about business theory and history? Be sure to like and subscribe to be notified of our next segment.

Rotten Tomatoes video: https://www.youtube.com/watch?v=w2p8NWYxUvg


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50 Comments

    Popular Comments:

movie trivia . 2018-03-31
Blumhouse is best studio since miramax in 90s. Maybe lionsgates peak.
121 2 . Reply
Ry Man . 2017-12-21
OK Alex, you've convinced me. Let's make a movie... :)
121 2 . Reply
cheezeninja . 2017-12-21
Marvel movies sell toys, horror movies don't. When was the last time you saw an 'IT" branded Lego set? The toys, video game, and merchandising rights for Marvel movies bring in more money than the movies themselves by an order of magnitude.
121 2 . Reply
Hope Hurteau . 2017-12-21
best horror movie was the 2008 french unrated version of martyrs
121 2 . Reply
SilkSatin Paradise . 2017-12-20
The scariest thing about most horror films for me is being surrounded by a theater full of people who enjoy watching someone get tortured.
121 2 . Reply
Manu Barrio Linares . 2017-12-20
02:03 Money shown is Pesos Argentinos, why??
121 2 . Reply
Jim Bob . 2017-11-13
What do you do when horror movies no longer make you scared? I love em but the resentment towards them is also growing, fast.
121 2 . Reply
Malice1111 . 2017-11-13
The thing is that the Disney machine could care less how much money their movie makes past a billion dollars. They'll make their cash in all the things that come out of the brand like toys merch and soon their streaming platform.
121 2 . Reply
Zia Lari . 2017-11-13
Great, Totally agree
121 2 . Reply
Timefliesbye . 2017-11-13
Horror needs people, make up and good camera work. That's all. The budgets are under the 10 million dollars meaning profits are astronomical.
121 2 . Reply
Dan C . 2017-11-13
I really like your video, the editing was really well done, try investing in a better microphone if you can.
121 2 . Reply
Brick Tamland . 2017-11-13
what if blumhouse is just cooking their books.
121 2 . Reply
Thibault Serlet . 2017-11-13
You lied and never linked to your video about rotten tomatoes
121 2 . Reply
Jimby Sisto . 2017-11-13
You pronounce 'George' and 'Mcavoy' oddly. That's all.
121 2 . Reply
poorboy1225 . 2017-11-13
I'd like to see the profits from merch, toys and products licensed by Marvel added to those numbers.
121 2 . Reply
Nick Arroyo . 2017-11-13
lol it's just "George" Melies, not "Jorge"- he was an early French director/actor/auteur
121 2 . Reply
John Helf . 2017-11-13
The mass audiences typically want to go the theater to turn off their brains and experience something with a group of people. For horror movies, they only have one main expectation, which is to be scared, which gives a creative freedom to the directors and screenwriters. Also, typically, being scared does not require a huge budget, so its easy for inexpensive movies to make a big profit.
121 2 . Reply
Kannan Chandra . 2017-11-13
Great video!
Small feedback about the visuals: The constant changing visuals that literally represent each word you're saying got a bit distracting. As an example, the 30 seconds following the 4 minute mark had a lot of really short clips that didn't do much more than literally show "rule of thumb" or "small market". Would have been better to have a more relevant clip that was shown longer (a budget breakdown, or something like that). Just a small nit. Really useful video!
121 2 . Reply
Kasper Bøttger . 2017-11-13
Nice video. What tune plays in the end?
121 2 . Reply
Michael James Slattery . 2017-11-10
So should we look for a horror movie coming soon from Alex?
121 2 . Reply
aquul . 2017-11-10
Great insights here. I also feel like I'd be more likely to see a horror in the movie theatre than any other genre too.

Watching a horror movie on a small laptop screen from home just isn't the same. Though for a comedy or action it often suffices.
121 2 . Reply
CleverSmart123 . 2017-11-10
I really like this type of segment! Well done!!
121 2 . Reply