In one breath, Douglas presented three options, followed by a slew of numbers. If your brain's analysis speed lagged slightly, you'd lose the rhythm.
Which option was more suitable? Which option was more favorable for the crew? A chaotic jumble of numbers flooded in within less than thirty seconds, leaving Drake momentarily stumped. Americans might not excel with numbers, and considering the complexity of copyrights and box office calculations, it was easy to get overwhelmed.
For most outsiders, the third option seemed the best. The reason was simple: a copyright fee of $4M was impressive, not far behind the $5M for an outright purchase, and there was also a fifteen percent box office revenue share. This was undoubtedly a fantastic deal.
Of course, some might directly opt for the outright purchase—a swift $5M, an instant ticket out of poverty. Such a temptation was difficult to resist.
Yet, Renly knew this was a trap, an incredibly clever trap.
On the surface, Focus Features appeared more generous, offering Drake three choices, brimming with diverse possibilities, seemingly sincere in contrast to Harvey Weinstein's scheming and suppression—a clear distinction.
However, in reality, the alternate meaning behind these three choices was that the negotiation's bargaining chips wouldn't change.
In other words, all three options were meticulously calculated, and Focus Features always maintained control. They wouldn't be at a disadvantage. Drake had lost the initiative in negotiations and could only choose the most suitable among these three options.
Though it appeared there were many options, in truth, the negotiation space, the room for debate, and the space for profit had all been compressed to the utmost. Indeed, whether Focus Features or The Weinstein Company, neither was a pushover.
Douglas had just presented three options, but the difference between the first and second was minimal.
If the North American box office of "Like Crazy" reached $10M, the results of both options were nearly the same. Below $10M, the second option incurred a slightly smaller loss, but the loss remained within a minor range; exceeding $10M, the second option became slightly more advantageous, yet the profit margin wasn't substantial.
The issue lay in the fact that the second option involved a portion of the promotional expenses being covered by the crew themselves. Which part exactly? Makeup? Transportation? Wardrobe? The intricacies couldn't be summarized in a sentence or two.
Focus Features' stance was clear. Choose the second option to distribute the risk and also distribute part of the promotional burden. However, should they choose a single option, Focus Features would shoulder the entire promotional expense and subsequently bear all the risks. Naturally, the profit would belong to them.
One could imagine Focus Features would need to tackle all the problems and risks to protect their own interests. For their benefit, they would naturally allocate the highest resources for promotion. However, if the crew members shared a portion of the risk, Focus Features could exert less effort, while the crew would promote diligently, sinking their teeth into the task.
In simple summary, between the first and second options, Focus Features leaned toward Drake's choice of outright purchase.
However, amidst the comparison of the previous two options, the third option immediately stood out.
A $4M copyright fee, fifteen percent box office revenue share—even though the crew needed to shoulder part of the promotional expenses—on the whole, this not only met the anticipated Andy estimation of the share copyright fee, around $4M; it could also mean a collaboration with Focus Features. Not to mention the awards season prospects, the exposure in the box office market would skyrocket.
Even more importantly, Focus Features had agreed to the revenue sharing option.
Initially, when Renly decided on a $25,000 salary and agreed to star in "Like Crazy", Andy commitment to Drake's share was overlooked. He knew that it would be difficult for both distributors and producers to accept such terms. Andy had given up on the idea of a share, treating "Like Crazy" purely as an unprofitable art film.
However, it turned out that "Like Crazy" had been funded by Indian Paintbrush and Drake himself, and once the producer agreed, the distributor also relented.
For distributors, if they were confident in the box office potential, an outright purchase was preferred, revenue sharing was the second choice, as it would maximize their profit. If they were pessimistic about the film's box office prospects, then revenue sharing would reduce the copyright fee, distributing the box office risk to the producer and theaters.
For the producers, it was the reverse.
The reason Focus Features was willing to choose revenue sharing was essentially that they weren't optimistic about the box office potential of "Like Crazy".
This wasn't belittling; rather, it was an objective judgment. "Blue Valentine" had only earned $9M in the North American box office. Such art films had difficulty gaining an edge in theaters, relying on the awards season for recognition and subsequently depending on television broadcasts, video rentals, and art theater replays.
So, compared to an outright purchase, revenue sharing was more advantageous for Focus Features.
Focus Features had been squeezing the box office revenue share of "Like Crazy", reducing it from forty-five percent to twenty-five percent, even down to fifteen percent. This increased their revenue share and minimized the possibility of loss. Coupled with future peripheral profits, Focus Features would emerge unscathed.
Despite this, the third option remained an irresistible choice for Drake and the crew.
This was where Focus Features' cunning lay. On the surface, they opened up various possibilities for selection, seemingly leaving it to anyone's choice. However, under that sequence of numerical attacks, Douglas subtly guided Drake to choose the third option, an undeniable fact, followed by the first option, and finally the second.
Especially when compared to the first two options, the third option's advantages were quite evident. Drake's decision wasn't difficult.
But, were these truly the only three options?
This was akin to a multiple-choice question asking, "Should you go left or right?"
The answer seemed clear—left or right. Almost everyone would make a choice. Yet, in truth, there were other options—go straight, turn back, ask other pedestrians, and so on. This was the enigma of multiple-choice questions.
Countless numbers surged through Drake's mind, leaving him somewhat dazed. Compared to Harvey, Douglas's offered choices were clearer, but this ironically left Drake even more indecisive, caught in the grip of decision paralysis.
So, Drake turned to Renly, casting him an inquiring gaze. Or perhaps, it was a gaze of seeking assistance.
Dealing with numbers wasn't Renly's forte; that was Matthew Dunlop's domain. However, dealing with people was something Renly was familiar with. He knew that Douglas had presented three options, and regardless of which one they chose, Focus Features would readily agree—there was no negotiation, only selection.
So, Renly chose the simplest and most direct approach.
"Why don't you listen to the proposals our crew has devised?" Renly's words left Drake puzzled, filled with question marks. Did they have proposals?
Sitting across from him, Douglas smiled. "Oh? You have proposals too?"
"Two, we have two proposals." When facing Harvey, Renly had consistently refrained from revealing his trump card. That was because he didn't have a clear concept of the copyright fee. He couldn't just recklessly demand an unreasonable sum.
But now, after going through Andy, Harvey, and Douglas, he had a rough number in mind. He decided to aim for the highest point within that vague range, just to see what would happen.
Whether it was Harvey or Douglas, Renly genuinely disliked this kind of cunning numerical calculation. Instead of haggling for trivial gains, he'd rather cut to the chase, handling things swiftly and decisively.
"First, an outright purchase." As soon as Renly's voice fell, a worried call from Drake came from beside him. Renly felt a bit helpless, but he remained unruffled on the surface and continued, "$8.5M. We entrust the North American distribution rights of "Like Crazy" to Focus Features entirely."
$8.5M—Drake was taken aback.
"Second, revenue sharing." Renly's voice, however, remained steady and calm. That composed and collected demeanor earned Douglas's admiration. "Copyright fee of $5M, and the crew's share of box office revenue is thirty-five percent."
The situation Douglas had thrown at Drake just now was now returned to him by Renly. In less than thirty seconds, the initiative shifted hands.
Douglas found it quite amusing.
This wasn't Focus Features' first time dealing with Renly. "Buried" had genuinely impressed Douglas. He hadn't personally negotiated the Toronto distribution rights back then, but he had heard about it. Renly's agent, Andy Rogers, was no pushover. He'd displayed remarkable confidence in "Buried" and was unwavering in negotiations regarding box office shares.
And the results proved Andy's wisdom. "Buried" had earned $25M in North America, and even before peripheral distribution had started, Focus Features had already made a small profit of $12M. After video releases and television broadcasts began, their earnings would continue flowing. What was more crucial was that the film was still a contender during awards season, maintaining a strong competitive edge—truly remarkable.
Focus Features also had high hopes for "Like Crazy", especially for Renly's future. Even if "Like Crazy" couldn't secure a final nomination in the 2011 awards season, Douglas believed Renly would maintain a potent impact, potentially even stronger than Ryan Gosling four years prior.
Putting aside competition from The Weinstein Company, Paramount Vantage, and others, Focus Features was resolute in its endeavor.
Yet, Renly's calm, wisdom, confidence—he displayed these traits with unexpected aplomb.
"It seems you're quite confident in the North American box office of "Like Crazy"." Douglas didn't answer directly, opting for a playful remark instead.
A gentle lift graced Renly's lips, like the sunrise perching on treetops. "Don't you have confidence?"