Continuing Its Challenge by Harnessing
Avex’s Synergy: The “Maverick” API of
the Anime and Video Industry (Part 2)

In 2024, Avex Pictures Inc. (API) celebrated its 10th anniversary. How has API navigated itself through the last 10 years, an era of turbulence known to the anime and video industry, while embracing new challenges? Previously, we featured a roundtable discussion with the three presidents who created API.

This is the second installment of a two-part series tracing the various obstacles API has faced in its two main fields: "Anime Business" and "Video Business."

In our previous article, we delivered API’s challenges in production in the "Anime Business," putting a spotlight on one of its original works, "Paradox Live."

In this article, we unravel the challenges that the "Video Business" has been facing to date, using examples from their works.

Expanding Knowledge and Experience
Chasing the Works
We are Destined to Create

Avex Film Labels Inc. (AFL), which handles the Video Business, consists of two groups: the "Video production group," which focuses on planning and producing national movies, dramas, and streaming content, as well as sponsoring and collaborating on productions planned by other companies; and the "Global Imaging Business Group," which creates works together with international partners.

Tsuyoshi Nishiyama, who leads the "Video production group," says that AFL’s strength lies in its comprehensive portfolio, which enables the diversity of IPs handled by the company.

"In order for AFL to continue developing on an upward trend, we have set a portfolio strategy to produce a wide range of live-action content throughout the year, including national movies, dramas, original streaming content, Korean dramas, documentary films of music artists, and live streaming."

Now let us take a closer look at the struggles and challenges of the "Video production group" by examining some examples from their diverse portfolio.

Nishiyama "We have a business partnership with PANPOCOPINA, the company to which Director Ueda belongs, and we act as a window to channel them with assignments outside of his main job as a director, such as requests for media appearances and commercial productions. We have established that relationship already, not to mention that he has credentials as a phenomenal creator, having succeeded with the movie "Popran." So, we decided to participate because Mr. Ueda was directing a new work, and, on top of that, we were attracted by the all-star cast."

Additionally, this work also expanded into a spin-off from the main movie as a streaming drama series.

Nishiyama "While we were involved in the main movie on the one hand, what we, as Avex, proposed was an extension into streaming original drama on Lemino. We had Mr. Ueda direct an original drama starring Mr. Masaki Okada that depicts the prequel to the main movie. I think it's one of our successful examples of how multi-development can have a positive effect on both the movie and the drama."

Nishiyama "Since this originated as a Korean manga, we had a lot of struggles localizing it for Japanese audiences. We worked closely with the original author from the script stage on how to adapt the story based in Korea into a Japanese context and culture."

The BL (Boys' Love) genre has a high chance of becoming a smash hit, says Nishiyama. It is gaining popularity not only in Japan but also overseas, and it is a genre he is paying close attention to.

Nishiyama "BL already had a passionate fanbase in Japan but after hits like "Ossan's Love,""My Beautiful Man," and "Cherry Magic! Thirty Years of Virginity Can Make You a Wizard?!," I feel like it's gaining even more fans. I feel like it's now growing into a genre that is accepted not only in Japan but also in Asia."

Nishiyama "Mr. Odagiri really poured his heart into this project. When you have a passionate person like him at the core of a work, it's only natural that he inspires those around him. I've witnessed how one person's passion can spread and lead to a hit in the past, and I believe this project definitely carries that same energy."

Nishiyama "We are handling the executive production, distribution, broadcasting, and overseas sales. With Manrui operating at the center, we are planning the promotion for the theatrical release in collaboration with our production committee partners. We are also grateful to have Mr. Odagiri actively involved in various aspects. While I can't share specifics yet, I anticipate an exciting development leading up to the release. As executive producers, we hope to drive the project forward together while also valuing Mr. Odagiri's goals and thoughts."

The production of each project, including the three mentioned above, begins by taking into account an assessment of market trends and an evaluation of whether it aligns with API’s production strategy. While box office revenue, distribution, and packaging prospects are key factors, API also carefully considers whether the content can be expanded across multiple ways, whether strong alliances can be formed with creators or companies, and whether it has potential for international markets. These evaluation criteria are reviewed and updated annually.

Nishiyama "When you take on a challenge, reflect on it carefully and use that experience for our next project or for the next marketing strategy. I believe that continuously accumulating knowledge and experience in this way is essential."

Aiming for
“When It Comes to Music Films, It’s Avex”
An Unprecedented Challenge

Next, let's take a look at the works of the "Global Imaging Business Group."

The group's strength lies in its strong collaboration with breakthrough partners and its continued delivery of innovative content while challenging domestic preconceived notions.

From the beginning, they have distributed foreign films and TV dramas. However, in 2016, during the distribution of the documentary film "BIGBANG MADE," this process became a turning point, leading to a deeper partnership with the Korean cinema company CJ 4DPLEX. This collaboration expanded beyond film distribution to include DVD/Blu-ray releases and streaming operations. Over time, the number of artists and partner companies gradually increased, and the group's business scope evolved to incorporate cutting-edge initiatives such as live viewing, shaping its current business domain.

Now we ask Masaho Kubota, who leads the "Global Imaging Business Group," about their progression so far and its future outlook, using examples from their productions.

This concert was broadcast live at the time of the event, but 14 cinema cameras were used to create a powerful film with footage that was not included in the live broadcast.

Kubota "At first, I was worried about whether people would come to the theater to watch the same concert they had already seen on TV or via live streaming. However, after hearing feedback from the audience who attended the theater, I realized that the cinema camera footage and new editing had created an entirely different experience from the broadcast or streamed version they had seen at home. They were really happy to be able to watch it together with other fans in the theater and share their excitement. I was also amazed at the high level of technology used by CJ Studio."

A fresh and exhilarating experience at the movie theater. This is what ignited the passion of not only BTS fans across the country but also many music lovers. The film went on to achieve great success, attracting 1.02 million viewers and earning over 2.5 billion yen in box office revenue.

Kubota "Avex is often seen as a music company, but this experience has given me confidence that we can compete in the film industry as well. As we expand our partnerships with external studios, agencies, and labels such as CJ 4DPLEX and HYBE, we look forward to further advancement." We aim to establish ourselves as the go-to name for music films, "When it comes to music films, it's Avex."

Kubota "Both CJ 4DPLEX and we shared a desire to create a movie about a Japanese group known for its outstanding live performances, one that could fully leverage the immersive appeal of theaters such as SCREENX and 4DX. So, we reached out to both male and female artist groups, leading to the production of these films. The works mentioned here mark the second film adaptation for both groups."

As mentioned earlier, API has collaborated with CJ 4DPLEX to capture Korean artists such as BTS on film. These two films represent an effort to apply the expertise gained from those projects to Japan's national artists.

Kubota "We act as coordinators between CJ 4DPLEX and the artists, not only at the production site but also in business negotiations. The three parties work together to advance the project. Since there were almost no precedents for this kind of collaboration between an overseas studio and Japanese music artists, we started by carefully communicating with the agencies and labels about the business structure, shooting schedules, camera placements on the day of the live shoot as well as other key details."

Pioneering a new business means establishing a trustworthy "first example." In that sense, they are beginning to feel a sense of accomplishment.

Kubota "When we first started working with domestic artists, even after we put together a plan, there were concerns from the artists' side, and at times, we couldn’t secure their approval. However, as we have accumulated success stories like these, more artists are now reaching out to us. Additionally, when we present proposals, I feel they are moving forward in a more optimistic way because our credentials speak for itself. I believe we have built a foundation where people think, 'When it comes to music films, it's Avex.'"

They create precedents themselves, and in doing so, they change the industry. Now, they take pride in knowing they are beginning to achieve that goal.

With Partners
Who Aim for the Same Vision
Avex’s Unique Challenge Continues

When asked why Avex has been able to develop its business in a way that is unique among the many film and distribution companies in Japan, the two guests reply that the key reasons are: "being a company that has worked in music" and "having a spirit of challenge."

Kubota "As a company that owns a music label and a music agency, we don’t want to view movies as one-off projects. We have a strong desire to contribute to artists’ branding through film. Additionally, as a business that presents powerful live performances and brings an artist’s way of life to the big screen, allowing those who couldn’t attend the concert in person to experience it as vividly as possible, we have a unique advantage over other film and video companies. This is because we have the advantage of being a "video department within a music company."

Nishiyama "Creating IPs and producing hits have always been at the core of Avex’s work. The same applies to film. We can develop IPs ourselves through movies and dramas and turn them into hits. That mindset is always with us. If possible, I also want to explore how Avex's assets; music, talent, and video, could be combined in a way that creates a positive impact."

Kubota "The film industry has a long history, with many well-established companies, but I think we are a "maverick" in a good way. The spirit of challenge, which is deeply rooted in Avex, along with the mindset to break away from conventional thinking, is part of the DNA of those of us working in video production."

Nishiyama "One advantage of having a spirit of challenge is the speed at which we try new things. For example, during the rapid growth of the digital comic market during the pandemic, we began developing digital comic IPs, despite being primarily a live-action film production team. That kind of flexibility, and the company's willingness to support such challenges, I think makes Avex an exciting and rewarding environment for producers."

By continuously taking on challenges with a flexible and open-minded approach, new possibilities emerge one after another.

What remains crucial is to achieve success through strong collaborative relationships with partners.

Nishiyama "We don’t just step into new fields, but we have a firm belief that when we do, we want to ensure our IPs succeed there. To achieve that, our company policy is to build strong alliances with external producers and partner companies, both in Japan and overseas."

Kubota "Our business is something we can never accomplish alone. We want to continue valuing the idea of working together with Avex Group companies and external partners toward the same goal."

By cultivating relationships with partners who share the same vision, they will continue to create new possibilities for entertainment both nationally and internationally. What lies ahead is an experience of excitement and emotion unlike anything audiences have seen before.