SnagFilms Raises $7 Million In Funding
Just last year SnagFilms was able to raise $10 million in funding to further its business in the entertainment industry. Recently they got another $7 million in funding to continue their success and business. Snagfilms is a company that works with more popular and big name companies such as Hulu & Netflix. It helps out these movie companies by shooting videos to their platforms from its over 3,000 indie movies base which it has distribution rights to. It is easy to find popular movies such as The Notebook or Titanic, etc, but SnagFilms allows Netflix and Hulu to offer a variety of classic films, educational films, documentaries, or just films that are not as well known, to be available to their customers and viewers.
Here’s some more information about SnagFilms and how it works:
“SnagFilms started out by asking bloggers and other Web site operators to embed its films on their sites for free. It made money by selling ads against the films and sharing revenue with the movie owners.
It still does that, but it has expanded to offer free movies on other platforms, like the iPad and Android tablets. It has also started making its movies available on pay-per-view outlets like Apple, Amazon and Comcast’s video-on-demand channels. CEO Rick Allen says that by the end of the year, revenue from transactions will eclipse the company’s ad dollars.
The interesting question for SnagFilms — and a whole lot of digital video companies right now — is whether there’s a way to get consumers to identify and value what distributors do. If they do, then these guys can build lots of value, as consumers learn to trust them as a good source for small, quirky films the big guys missed.”
It will be interesting to see what SnagFilms does with this new amount of funding money and if it will continue to grow and work with major companies such as Netflix and Hulu.