Improving Box Office Result Predictions for Movies Using Consumer-Centric Models
Rui Paulo Ruhrländer, Martin Boissier, Matthias Uflacker
Recent progress in machine learning and related fields like recommender systems open up new possibilities for data-driven approaches. One example is the prediction of a movie’s box office revenue, which is highly relevant for optimizing production and marketing. We use individual recommendations and user-based forecast models in a system that forecasts revenue and additionally provides actionable insights for industry professionals. In contrast to most existing models that completely neglect user preferences, our approach allows us to model the most important source for movie success: moviegoer taste and behavior. We divide the problem into three distinct stages: (i) we use matrix factorization recommenders to model each user’s taste, (ii) we then predict the individual consumption behavior, and (iii) eventually aggregate users to predict the box office result. We compare our approach to the current industry standard and show that the inclusion of user rating data reduces the error by a factor of 2x and outperforms recently published research.