The recent box-office success of the movie Warcraft in China has helped the country's merchandising business to grow. The Beijing-based company Mtime has reported that it was able to sell at least $10 million worth of Warcraft merchandise.
Mtime was picked by Warcraft distributor Legendary Entertainment as its exclusive merchandising partner in China. As part of the marketing strategy, Mtime opened 20 large scale interactive exhibitions with a Warcraft theme. All these exhibitions were staged in some of China's biggest shopping malls.
Mtime is also in the business of creating custom-designed Warcraft products. These products are being distributed through the company's several mobile e-commerce platforms, as well as its 130 movie specialty stores that are stationed in various Chinese cinemas and shopping centers in the country.
Despite its subpar reception in the United States, Warcraft has become one of the biggest releases in China with a record-setting $46 million haul last week Wednesday. This record represents the biggest non-weekend release of all time and also set a record for the biggest movie release on a Wednesday.
As part of its merchandising role, Mtime set up more than 150 pop-up stores in selected Chinese theaters. Moviegoers, who presented a Warcraft ticket stub at these centers, are given a 15 percent discount on any merchandise they choose to purchase. During its opening night, Mtime reportedly sold more than $1 million worth of merchandise.
In terms of movie box office, many market analysts are convinced that China will overtake North America in 2017. In 2015, statistics revealed that China's box office record increased by up to 50 percent and reached $6.8 billion. However, only about 10 percent of the revenue of movie came from licensing and derivatives.
In a statement acquired by Hollywood Reporter, Mtime founder and chief executive officer Kelvin Hou said, "Merchandising is finally happening. We're witnessing what happened in the U.S. in the late 1970s and 80s after Star Wars - that's taking place in China as we speak."
