The flow of product in the distribution industry is as follows: a film property is produced by the production company, which then sells the distribution rights to the distributor. These rights are often bid for by distributors through film markets or through sales agents. Often, the distributor will bid for the distribution rights before production is finished and the distributor pays an advance to the production company. The rights to show the film property are then bid for by exhibitors.
In the initial stages of a distribution deal, sometimes even before production has started, the distributor will assign a project director to the film to determine promotional materials required and to develop marketing ideas and events. A unit publicist (who is responsible for the promotional campaign during production and for preparation of publicity materials and press coverage during the production) and unit photographer (responsible for publicity stills) will be selected. Promotional materials developed by the distributor during the production phase include the press kit (which contains a synopsis of the film, production information, production stills, interviews with cast and crew, advertising copy, etc.-- this kit is sent to all major media to provide background and 'clips' for reporting), trailers (short advertisements to build interest and awareness of the film in both the theatres and television), advertising copy (for hardcopy advertisements in printed media), product reels and samples (to promote sales to exhibitors), bid brochures (also to promote sales to exhibitors), and press mailings.
During pre-release, the distributor would commit to producing all advertising materials for the mass media, buying the advertising space, and conducting test marketing if necessary. A media plan would be generated, usually by the advertising agency representing the distributor, outlining the objectives/strategies of the advertising campaign, the release pattern (click here for more information on types of release patterns), the target audience, the media mix, reach and frequency objectives, the costs associated with it, the activities of the media plan, and schedules of all media advertising.