Netflix’s KPop Demon Hunters: Following George Lucas’ Playbook on Merchandise Success

Netflix is following a strategy similar to George Lucas, taking a chance on a project others rejected. Their film, KPop Demon Hunters, was initially turned down by Sony, but it’s now becoming one of Netflix’s most successful franchises.

The series KPop Demon Hunters boasts an incredible soundtrack that’s become popular worldwide. Now, Netflix is taking things to the next level with a unique partnership with toy companies Mattel and Hasbro, promising even greater success for Huntr/x in the coming year. Plus, an animated short has been rated, hinting at more exciting adventures on the way.

Looking at the bigger picture, I think KPop Demon Hunters is a really important show for Netflix. It feels like a totally natural next step for them, and it’s fascinating to me that it actually takes cues from someone like George Lucas! It’s like all the pieces are falling into place.

Merchandise Matters More Than You Think For Hollywood Blockbusters

To figure out what Netflix is up to, it’s important to realize how valuable merchandise rights are for popular movies. There’s been some discussion about whether Disney’s Star Wars films are truly profitable, but that’s usually based only on how much money they make in theaters. If you look beyond the box office, merchandise is actually what drives Star Wars‘ success.

That deal was key to George Lucas becoming incredibly wealthy. In the 1970s, 20th Century Fox made a surprising decision: they allowed Lucas to forgo a $500,000 directing salary in exchange for the rights to sell merchandise. He began by releasing comics to build excitement before Star Wars came out in 1977, and quickly expanded into action figures and other products.

Even George Lucas didn’t anticipate how incredibly popular Star Wars would become. He’d made a deal with Kenner to sell them the rights to create toys for a one-time payment of $100,000 – a decision he later regretted – and Kenner couldn’t produce enough toys to keep up with demand. To manage the frenzy, Kenner offered a “Early Bird Certificate Package” for Christmas 1977, which promised customers four action figures and other items at a later date.

Even though it’s been six years since the last Star Wars movie came out in theaters, the franchise still generates $1 billion annually from merchandise sales – and reselling those items adds another $3.3 billion worldwide. Star Wars first proved this, and continues to be the prime example, that selling merchandise can be even more profitable for studios than ticket sales.

Netflix Has Been Getting Into The Merch Game For A While Now

Considering its popular shows, Netflix has been expanding into selling merchandise for its biggest hits. They successfully partnered with around 75 brands for season 3 of Stranger Things, marking a significant first effort. However, when Wednesday season 1 became popular in 2022, Netflix wasn’t able to sell merchandise because the rights were still held by MGM.

Following the success of Wednesday, Netflix is now acting faster and taking more risks. They confidently invested in One Piece merchandise even before the show premiered. However, like with Star Wars, the huge popularity of KPop Demon Hunters was a complete surprise. This animated movie is captivating audiences worldwide and has quickly become a global hit.

What’s really impressive is how quickly Netflix has responded to the recent trend. They’ve already released a singalong version in cinemas and started licensing songs for popular TV shows, like the UK’s Strictly Come Dancing (the British version of Dancing With The Stars). It’s rare to see Netflix licenses become available so soon after something becomes popular.

Netflix is taking a page from George Lucas’s successful Hollywood strategy. This approach makes a lot of sense for a streaming service, because making a profit is tough – you’re primarily investing in content to keep people watching, so you need additional ways to generate income.

There’s a funny connection between this Netflix animated short and the infamous Star Wars Holiday Special. Both were made to keep fans excited while a new movie was in production. However, this KPop Demon Hunters short is likely to be much better made.

KPop Demon Hunters Shows The Future Of Netflix

Netflix hasn’t revealed exactly how much money it’s making from merchandise and licensing deals, but it’s clearly investing more in these areas. The collaborations with Mattel and Hasbro are a big part of this growth. Think of pre-ordering items now like getting those classic Kenner Early Bird packages back in the day – a way to secure something before it’s widely available.

Netflix can occasionally foresee a hit, as they did with One Piece by making deals even before the show launched. However, surprises are inevitable, and Netflix needs to quickly capitalize on unexpected successes like KPop Demon Hunters. This pattern – identifying and leveraging promising content like that from Lucas – is likely to continue shaping their strategy.

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2025-10-22 16:24