Winning an Academy Award is not just about recognition and fame—but also money. Various studies show that a nomination or win virtually guarantees a boost in income—for the artist and the studio.
The television broadcaster is always a winner, regardless of which film gets the pick.
“We love the Oscars,” Steve Shannon, vice president of marketing for Costa Mesa-based Hyundai Motor America, told the Los Angeles Times. “The Oscars, at the end of the day, are about style and sophistication, and we have made great progress with our luxury lines and so we use this event to show that side of our company.”
What this means, is that Hyundai is going to pay Disney’s ABC, which broadcasts the Feb. 24 event, $1.7 million to $1.85 million for a 30-second advertising spot. For good measure, Hyundai decided to book seven slots—after all, it is the exclusive automobile advertiser during the awards, according to the Times. The company hopes to get the attention of the affluent audience who will watch the show. Last year, the telecast had 39 million viewers.
While the television broadcaster is an automatic winner, studios and actors also benefit from the event. Business Insider cites Hollywood agents and managers estimating that their clients get a 20-percent boost in pay for their next movie after winning Best Actor or Actress.
Of course, the studio producing the movie also benefits. Business Insider reports that producers spend millions on marketing their movie in order to better their chances of winning an award. It is said that brothers Harvey and Bob Weinstein, who produced “The King’s Speech,” spent $15 million to increase the chances of their movie winning the Best Picture award.
The film did indeed win, and it generated U.S. box office revenues of $138 million, a multiple of the $38 million that were first projected. The film went on to generate $427 million in worldwide box office sales.
After also winning the 2012 Academy Award for Best Picture with French silent film “The Artist”—the only silent film to win Best Picture since “Wings” at the first awards in 1929—the Weinstein brothers do not have a nomination for this Sunday.
