Crowdfunded Filmmaking

I had a random thought last night at 2am, at the time when all my best thoughts manifest: Why don't Hollywood studios use crowdfunding? This seems like a win-win situation for both filmmakers and audiences.

For audiences, it removes the gatekeeping nature of filmmaking. We as the audience wait around for a good film to be made... and then one day we hear about something interesting, buy a ticket if the trailer seems decent, and hope we actually enjoy it. What other product would we buy with so little information?

Crowdfunding films would solve this. A director could put together a synopsis, rough storyboards, character art, etc. and present it to the public. If audiences like it, they can contribute to it - maybe with varying tiers of rewards, like exclusive digital downloads, maybe a QR code for a free ticket, etc.

If the audience doesn't like it, then the crowdfunding campaign flops. They could leave comments on what they like/dislike, and the director could adjust based on the feedback, and try again later. Or maybe the studio scraps the movie altogether - but that's far cheaper than sinking millions of dollars and crossing your fingers, hoping people will like it in the end. If the crowdfunding doesn't make much money and there are mixed comments, then that's probably a good indicator the studio should refund the money and not invest anymore in the project.

It also gives audiences a sense of ownership and investment in the film before it's even released. Imagine being able to contribute to your favorite director's next project, and get exclusive behind-the-scenes access as a reward. That's the kind of engagement that builds a loyal fanbase, and guarantees a solid opening weekend (or opening few hours in the case of streaming).

As the audience, I already know the movie will be good, because I've been following along from the beginning. And as the studio, I already know roughly how good opening weekend is going to be, and I don't have to spend as much on marketing. Win win!

So why is Hollywood still relying on such a terrible, risky business model? Control? Lack of innovation?