The European Audiovisual Observatory Set up in December 1992, the European Audiovisual Observa­ tory’s mission is to gather and distribute information on the THE audiovisual industry in Europe. The Observatory is a European public service body comprised of 40 member states and the European Union, represented by FILM INDUSTRY the European Commission. It operates within the legal frame­ December 2014 work of the Council of Europe and works alongside a number of - partner and professional organizations from within the industry and with a network of correspondents. In addition to contribu­ IN THE tions to conferences, other major activities are the publication of a Yearbook, newsletters and reports, the compilation and management of databases and the provision of information RUSSIAN through the Observatory’s Internet site. 76 Allée de la Robertsau – 67000 Strasbourg, France FEDERATION Tel.: +33(0)3 90 21 60 00, Fax: +33(0)3 90 21 60 19 E­mail: [email protected], Website: http://www.obs.coe.int Contient une synthèse en français Enthält eine Zusammenfassung auf Deutsch Nevafilm A report for the Nevafilm was founded in 1992 and has a wide range of expe­ European Audiovisual Observatory rience in the film industry. The group has modern sound and dub­ bing studios in Moscow and St. Petersburg (Nevafilm Studios); by Nevafilm is a Russian market leader in cinema design, film and digital cinema equipment supply and installation (Nevafilm Cinemas); with contributions of became Russia’s first digital cinema laboratory for digital mas­ tering and comprehensive DCP creation (Nevafilm Digital); Movie Reseach (Univers-Consulting) distributes alternative content for digital screens (Nevafilm and Emotion); has undertaken independent monitoring of the Rus­ iKS-Consulting sian cinema market in the cinema exhibition domain since 2003; and is a regular partner of international research organizations IN THE RUSSIAN FEDERATION THE FILM INDUSTRY providing data on the development of the Russian cinema mar­ ket (Nevafilm Research). December 2014 33­2B Korablestroiteley Street, St. Petersburg, 199397, Russia Phone: +7 812 449 70 70, Fax: +7 812 352 69 69 “Tsvetnoy, 30” Business Center, office 307, bld.1 30, Tsvetnoy Boulevard, 127051, Moscow, Russian Federation Phone / Fax: +7 495 694 26 15 Email: [email protected], Website: http://www.nevafilm.com THE FILM INDUSTRY IN THE RUSSIAN FEDERATION A report for the European Audiovisual Observatory by Nevafilm, with contributions from Movie Research (Univers- Consulting) and iKS-Consulting December 2014 The Film Industry in the Russian Federation Research by Nevafilm with contributions from Movie Research (Univers- Consulting) and iKS-Consulting for the European Audiovisual Observatory. Director of Publication: Dr Susanne Nikoltchev, Executive Director of the European Audiovisual Observatory Supervising Editor: Dr André Lange (European Audiovisual Observatory) Chief Editors: Oleg Berezin, Xenia Leontyeva Chapters authors: Executive summary Xenia Leontyeva Chapter 1 Maria Mukhina Chapter 2 Alexander Luzhin, Alyena Goncharenko, Katerina Nazarova, Julia Triphonova Chapter 3 Alexander Luzhin, Katerina Nazarova, Julia Triphonova Chapter 4 Valery Kustov, Xenia Leontyeva Chapter 5 Valery Kustov, Xenia Leontyeva Chapter 6 Tatyana Gorskaya, Xenia Leontyeva, Kirill Tabachenko Chapter 7 Ekaterina Makarevitch Chapter 8 Xenia Leontyeva Translation, editing and proofreading of the English text: Eclectic Translations, [email protected] Publisher: European Audiovisual Observatory The reference version of the report is the English version, published on the European Audiovisual Observatory website – www.obs.coe.int. The analyses presented in these articles are the authors’ own opinions and cannot in any way be considered as representing the point of view of the European Audiovisual Observatory, its members or of the Council of Europe. Data compiled by external sources are quoted for the purpose of information. The authors of this report are unable to verify either their means of compilation or their pertinence. © European Audiovisual Observatory, December 2014. 2 Nevafilm Nevafilm was founded in 1992 and has a wide range of experience in the film industry. The group has modern sound and dubbing studios in Moscow and St. Petersburg (Nevafilm Studios); is a Russian market leader in cinema design, film and digital cinema equipment supply and installation (Nevafilm Cinemas); became Russia’s first digital cinema laboratory for digital mastering and comprehensive DCP creation (Nevafilm Digital); distributes alternative content for digital screens (Nevafilm Emotion); has undertaken independent monitoring of the Russian cinema market in the cinema exhibition domain since 2003; and is a regular partner of international research organizations providing data on the development of the Russian cinema market (Nevafilm Research). 33-2B Korablestroiteley Street, St. Petersburg, 199397, Russia Phone: +7 812 449 70 70, Fax: +7 812 352 69 69 “Tsvetnoy, 30” Business Center, office 307, bld.1 30, Tsvetnoy Boulevard, 127051, Moscow, Russian Federation Phone / Fax: +7 495 694 26 15 Email: [email protected] Website: http://www.nevafilm.com Univers-Consulting Univers-Consulting was founded in Moscow in 2001. The company currently provides management consulting services, including for the film industry, film industry research (the Movie Research Project), and neuromarketing (the Neurotrend Project). The company has conducted over 130 research projects as part of its Movie Research Project, including more than 15 studies across all sectors of the industry. Every year since 2008, Univers-Consulting has published a digest titled KinoStatistics, which systematizes annual information on the Russian film industry. For the past few years, Univers-Consulting has been conducting strategic analysis and offering forecasts on developments in the film industry. The company has been working to develop mechanisms and measures by which government policy can support the Russian film industry and provides information and analytical support to government agencies and major market players. 8а 1st Mozhaysky Tupik St. #1, Moscow, 121059, Russia Phone/Fax: +7 495 661 03 55 Email: [email protected], [email protected] Website: http://www.movieresearch.ru iKS-Consulting iKS Consulting is an international consulting firm providing management consulting services, research, and market analysis for the telecommunications, information technology, and media sectors. With iKS Consulting, you get: Detailed knowledge of the ICT market in Russia, the CIS, and around the world. Four permanent offices in Moscow, Kiev, Almaty, and London. A wide range of services, from analysing the competitive environment in a particular region to developing a strategy to launch a new business. A full-service company, carrying out all projects using proprietary databases and our own market monitoring as a foundation: we conduct continuous monitoring of market developments in all 83 regions of the Russian Federation, 27 regions of Ukraine, and 14 provinces of Kazakhstan. An in-house field research team: we survey private and corporate segments in all regions of the countries where we have a presence. A team of experts with experience in the ICT sector, who know the market and the companies inside and out, each with access to an extensive network of personal contacts among key market players. 39 Gilyarovskogo St. #3, Moscow, 129110, Russia Phone: +7 495 505 10 50 Email: [email protected] Website: http://www.iks-consulting.ru/ 3 The European Audiovisual Observatory Set up in December 1992, the European Audiovisual Observatory's mission is to gather and distribute information on the audiovisual industry in Europe. The Observatory is a European public service body comprised of 40 member states and the European Union, represented by the European Commission. It operates within the legal framework of the Council of Europe and works alongside a number of partner and professional organizations from within the industry and with a network of correspondents. In addition to contributions to conferences, other major activities are the publication of a Yearbook, newsletters and reports, the compilation and management of databases and the provision of information through the Observatory’s Internet site (http://www.obs.coe.int). 76 Allée de la Robertsau – F – 67000 Strasbourg, France Tel.: +33(0)3 90 21 60 00, Fax: +33(0)3 90 21 60 19 E-mail: [email protected] Web: http://www.obs.coe.int 4 TABLE OF CONTENTS EXECUTIVE SUMMARY ................................................................... 9 Legislative framework 9 State support of filmmaking 10 Film Production 11 Technical framework for film production 11 Cinema Exhibition 12 Distribution 13 Home video 14 Video on demand 15 Television distribution 15 Conclusions 16 SYNTHÈSE DE L’ÉTUDE ................................................................ 19 Cadre législatif 19 Aides d’État au cinéma 20 Production cinématographique 21 Cadre technique de la production cinématographique 22 Exploitation en salles 22 Distribution 23 Vidéo 25 Vidéo à la demande 26 Distribution télévisuelle 26 Conclusions 27 ZUSAMMENFASSUNG ................................................................... 29 Rechtsrahmen 29 Staatliche Förderung der Filmproduktion 30 Filmproduktion 31 Technischer Rahmen für die Filmproduktion 32 Filmtheater 33 Filmverleih 34 Home-Video 35 Video on Demand 36 Fernsehen 36 Schlussfolgerungen 38 CHAPTER 1. THE FILM INDUSTRY IN RUSSIA: INSTITUTIONAL