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HomeK-Pop[In-depth Report] Relying on Netflix to make money? The cruel reality unveiled in the Korean drama industry: it will eventually be strangled!
K-PopK-Biz

[In-depth Report] Relying on Netflix to make money? The cruel reality unveiled in the Korean drama industry: it will eventually be strangled!

阿咩李卡諾7/23/20238 views 1 min read

News broke last month that the Korean Original creation team of Disney + is suspected of disbanding, with not only the members of the team leaving Disney +, but also rumors that it is related to Disney's global layoffs.

Image Source l disneypluskr
Image Source l disneypluskr

According to a report by the Korean media outlet Chosum, industry insiders have revealed that 15 members of the Korean original content development team at the international OTT platform, Disney+, have left the company, but the original content they produced is currently being retained.

Image Source l disneypluskr
Image Source l disneypluskr

There has been no official statement regarding the disbandment of the South Korean Disney+ original content development team. However, external analysis suggests that the reason for the team's dissolution is due to its failure to achieve significant growth within South Korea.

Image Source l disneypluskr
Image Source l disneypluskr

In fact, Disney+ began its services in South Korea on November 12, 2021. However, as of May this year, the number of active users of Disney+ in Korea is approximately 1.79 million, which is less than the same period's membership numbers of local OTT platforms such as tving (5.15 million), Coupang Play (4.31 million), and Wavve (3.92 million).

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阿咩李卡諾

阿咩李卡諾

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【韓娛熱議】D社翻孫勝妍昔日訴訟質疑「FIFTY FIFTY製作人」是慣犯!曾稱呼安聖日為歐巴!

近日,FIFTY FIFTY事件鬧得熱洪洪,安聖日製作人被指曾經用相同手法搶孫勝妍,韓媒Dispatch就翻出2017年孫勝妍的假處分判決書,不少網友也指安聖日是慣犯。 2017年2月首爾中央地方法院駁回所有該案件的申請,訴訟費用由孫勝妍承擔。據知,孫勝妍於2012年與Fortune公司簽訂專屬合約,4年後通過郵件通知解除合約。 當時,孫勝妍要求解除合約的理由是指前經紀公司Fortune ① 沒有履行新專輯唱片的製作、② 沒有從Fortune得到收益、③ 不支持或妨礙演藝活動、④ Fortune不履行清算義務、⑤ 拒絕或妨礙參加音樂劇的支援、⑥ 強迫孫勝妍公開家庭環境等。 法院指出經紀公司雖然沒有每年製作1張新專輯,但是年均製作了3次以上的單曲,很難看作是不履行合約,而其他理由也被法院認為是無理取鬧的主張,所以無法接受、駁回案件申請。 直至2018年4月,孫勝妍與Fortune解約兩個月後,孫勝妍與24th Street簽訂了專屬合約,而公司的代表正是安聖日。而安聖日曾於2014年,為孫勝妍的翻唱曲《The First Snow's Falling》進行編曲後,就發生了孫勝妍要求解除合約的事件,讓不少網友聯想到近日FIFTY FIFTY的事件。 D社也翻出孫勝妍曾經在IG上傳貼文感謝安聖日製作人,還稱他為「歐巴代表」,不少網友看到相關事件也回應指:「竟然稱代表做歐巴⋯⋯」、「歐巴代表⋯⋯不想再看她的舞台劇」。 其他網友也指:「當時還以為是孫勝妍前經紀公司有錯,原來是背後有安聖日」、「真的是小混混的終結者啊」、「那個經紀公司好可憐啊!還倒閉了⋯⋯」、「如果想和自己想要的人簽約的話,就要等到合同到期為止啊,責怪沒有問題的經紀公司,還要過分地撕毀合約」、「安聖日是慣犯」。 小編:前東家還倒閉了!網友都說好可憐⋯⋯😢

Caridee小編3 years ago2
【深度报道】OH买买买!卖偶像周边有赚吗?业界证实:只有这些团体才有赚头
Image Source l  netflixkr
Image Source l  netflixkr

However, if we look at Netflix, which is also an international OTT platform, it not only continues to lead the development of original content in Korea, but has even released many acclaimed and popular works. But recently, Korean media has conducted an in-depth analysis that the current development of Korean drama is facing a pressing crisis.

Image Source l  netflixkr
Image Source l netflixkr

According to a report by Korean media "Herald Economy," although K-Content (cultural content) has been very active internationally in recent years, Korean dramas, which are considered a major influence, are facing significant crises. The report points out current issues such as the escalating production costs of Korean dramas, over-reliance on Netflix, threats to domestic OTT platforms, and overall reduction in Korean drama production.

Image Source l  netflixkr
Image Source l netflixkr

Reports indicate that due to the recent linear rise in television production costs, from about 700 million Korean won per episode a few years ago to 1 billion or even 1.5 billion won per episode, not every production company can afford such large numbers under this kind of competition.

Image Source l  netflixkr
Image Source l netflixkr

Even after investing a significant amount of funds, no matter how successful the drama might be or how well-known the work becomes, it is still impossible to recoup the production costs. Thus, if one truly wants to gain abundant resources and break into Netflix, it seems that one will still have to line up and wait for now.

Image Source l  wavve.official
Image Source l wavve.official

There aren't many platforms that can bear such huge production costs, which has caused an imbalance in the entire industry. Although there are now many local OTTs rising in South Korea, the majority of the situation still relies on a single model, which is quite dangerous for the industry.

Image Source l tving.officia
Image Source l tving.officia

A representative from a certain TV production company said, "The trend of Korean dramas constantly entering the global OTT platform, Netflix, is inevitable, and it is only a matter of time before this kills the circulation and diversity of the market and platform."

Image Source l netflixkr
Image Source l netflixkr

Due to the issues that arose from the initial production costs, it was possible to produce TV dramas in the past without investing a high amount of production cost. However, it is feared that we have now reached the limit, creating a market cycle of "over-betting large amounts of money to gain substantial returns".

Image Source l netflixkr
Image Source l netflixkr

For instance, the annual production of dramas used to be around 100-150, but due to a surge in production costs, it has reduced by at least half, leaving only about 70. According to statistics by the Korean media《Herald Economy》, even the 'mini-series' produced by the three major TV stations have deficits of several hundreds of millions or even billions.

Image Source l mbcdrama_pre
Image Source l mbcdrama_pre

This phenomenon is also happening on broadcast television, such as the recent production of many popular shows by JTBC and tvN, two cable TV stations. Even if all advertisements are sold out during the drama broadcast time, they still face deficit.

Image Source l jtbcdrama
Image Source l jtbcdrama

Therefore, many TV stations have started to fill in the gaps left by the dramas they could not recover by adding variety shows. As even large-scale variety shows do not cost as much to produce as dramas, channels like tvN have begun producing a range of variety shows, primarily those that can be exported overseas.

Image Source l tvn_drama
Image Source l tvn_drama

Even though the industry behind Korean dramas may seem far removed from the audience, it's hard to imagine the many connections behind each successful work, from 8-episode mini series to regular 16-episode dramas, each having different impacts. (To be continued)

Image Source l jtbcdrama
Image Source l jtbcdrama
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【深度报道】出道没几年也在拍纪录片?业界曝OTT疯狂拍偶像纪录片的真正原因

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