(The) role of VFX technology for the success of a motion picture: an analysis of representative VFX pictures

Abstract

Technology plays an important role in leading industry’s economical growth and development. In the entertainment industry, technological development has been used as a tool of expression to provide more exciting experiences to the audience. In the movie industry, CGI (Computer Generated Imagery) enables unrestricted camera angles and vivid and artistic expressions of time or space. With the increase of average movie production budget, producers are currently investing heavily on VFX (visual effects) in preference to spending the money on famous stars. There have been various empirical studies on the motion picture industry, as well as investigations into the factors of a successful movie. Previous studies focused on features related to the success of movies, and not on technical issues. This paper focuses on VFX in movies as an indicating factor of the performance of a movie. It investigates the role of VFX in action, adventure and sci-fi genres, compared to star-power. As a result of empirical analysis, VFX was shown to not only breed WOM (Word-of Mouth) effect but also improve box office sales and rate or return. VFX was shown to have more significant explanatory power than stars for box office revenue and profitability. However, in terms of achievement in Academy Awards, while star-power plays an important role in securing nominations, VFX and the budget do not.