Fact Finder - Movies

Fact
Star Wars and the Merchandising Revolution
Category
Movies
Subcategory
Blockbuster Movies
Country
United States
Description
When George Lucas was negotiating his contract for 'Star Wars,' he made a decision that would make him a billionaire: he opted for a lower directing fee in exchange for ownership of the merchandising rights. At the time, 20th Century Fox believed movie-related toys were a dead market. However, the film's explosive popularity led to a massive demand for action figures, lunchboxes, and bedding. The demand was so high for Christmas 1977 that Kenner Toys had to sell 'Early Bird Certificate Packages'—empty boxes that promised figures once they were manufactured. This proved that blockbuster films could generate as much, if not more, revenue from toys and apparel as they did from ticket sales.