With KissAnime gone, piracy is an ongoing conversation.
What’s funny is the
How is that even possible?
If piracy went away, would that figure double or triple or quadruple? That’s an answer for another day.
Let’s talk about how the
- Brings in profit
- Sustains itself
And still manages to grow, regardless of problems like piracy, animators being overworked and so on.
Anime Industry Makes Money:
1. Lots and lots of licensing
This is comparable to:
- TV Shows
And intellectual property in general.
The best way to make a point is with:
Naruto DBZ One Piece My Hero Academia
The reason why you see these
- The demand is ongoing
- They’re world famous
And of course – it allows studios and owners to consistently make millions of dollars.
Those “millions” are accumulated by reselling the licenses to:
And any company that wants the rights to distribute and stream these famous
That’s why they continue to be the bread makers of the
Outside of famous titles that have “paid their dues” and have paid off in the long term, many shows make
The Ambition Of Oda Nobuna is a good example of a show like this.
Made by Madhouse studios, the
When Madhouse (and whoever owns the rights) sold off the license to this show at the time, they would have made “fast
But since shows like this haven’t gone on to go mainstream or build a franchise, that
By selling an endless amount of licenses to shows like this and shows in general, the
Each license can last for a few years, 5 years, 10 years, or whatever number licensors decide to go with.
Manga and light novels
The biggest difference with
- Both make
moneydirectly through retail.
- Higher chance of recurring revenue (never stops selling).
- Different audience.
- Niche market.
Another difference is the authors of
They can sell directly to their audience, fanbase and customers.
Through things like:
- Own website
Or any other similar site, platform or method the author chooses. Even bookstores.
This isn’t common in Japan though.
Usually they work with companies to distribute their material, and sell it through platforms.
- Dedicated fanbase already built up.
- Cost LESS
- Higher potential of recurring profits.
- Cheaper long term investment.
In Japan there’s a massive audience for
3. Product sales (
In the modern day,
But compared to the other
This trend will continue in the years to come as
Affiliates are companies, influencers, publishers and websites that promote
Affiliates aren’t the biggest contributor to the industry. And even though I don’t have stats to back it up, this will be more relevant in the years to come.
It’s definitely gonna continue to grow.
Since it’s a retail product,
- That allows the retailer to make
- Then they can
buymore merch from Japan.
- Which then puts
moneyinto animemanufacturers pockets.
- And that lets them make more merch for
animecharacters and shows.
It’s a virtuous cycle.
Everyone wins and the
6. Live Events and conventions
Because of COVID-19 virtual events have become more of a thing now.
Besides that – live events, conventions, comicon’s and so on make A LOT of
When so many fans gather in one central place, and pay for the right to do it, it stands to reason those 1000’s of fans bring in some nice dough.
Multiple conventions are held every year, and even in the UK – every month or 2. And it’ll continue to make
Industry insiders, journalists, cosplayers, directors and plenty of people show up here.
Anime cinema tickets
Even so –
- Your Name
Sword Art OnlineOrdinal Scale
- Weathering With You
My Hero Academia
And plenty of anime movies air in the cinema for a short period of time. And have made 100’s of millions of dollars.
Cinema tickets is the industry’s version of “winning the lottery” because it makes so much
Not even licenses can compare in the short term.
Once COVID-19 dies down, this will become the norm again. The trend is going nowhere.
As we can clearly see, piracy doesn’t stop the
But if they manage to tone down piracy and improve the service, you can only imagine what that will do for the industry.
New revenue streams the industry could use:
- Outside investors
- Donations (not the most practical)