Streaming has transformed Nollywood, giving Nigerian filmmakers a direct line to global audiences.
With Netflix leading the charge, the question most producers and fans keep asking is simple — how much does Netflix really pay for a Nigerian movie? Let’s uncover the truth.
How Much Does Netflix Pay for a Nigerian Movie?
Netflix typically pays between $10,000 and $90,000 (₦11 million to ₦99 million) to license a Nigerian movie for streaming on its platform.
For Netflix Originals — projects the company directly funds or commissions — budgets can range from $1 million to $5 million, depending on production scale, cast, and international appeal.
The difference lies in the deal type: most Nigerian films on Netflix are licensed, not produced, meaning Netflix buys the streaming rights for a limited period rather than funding the project from scratch.
Netflix’s Investment in Nollywood
Netflix has already invested over $23 million in Nigerian content and licensed more than 280 films and series since 2016. The company also injected around ₦9 billion into Nigerian productions to boost quality and infrastructure.
Despite these big numbers, the bulk of deals still fall within the $10K–$90K range per film, showing that most transactions are small to mid-scale acquisitions, not major studio-level investments.
Why Netflix Pays That Range
Several factors determine the payment:
Audience Reach: Nigerian films perform strongest in Africa and diaspora communities but remain niche globally.
Production Quality: Higher visual and technical standards justify higher fees.
Negotiation Power: Established producers with a proven Netflix record can negotiate better terms.
Deal Type: Licensing is a one-time payment; Netflix Originals get higher budgets but no further royalties.
When Netflix Pays More
Netflix offers bigger budgets for films it directly commissions. For example:
Anikulapo (2022) reportedly had a budget close to $1 million.
King of Boys: The Return of the King was produced under Netflix’s original content initiative.
The Black Book (2023) reportedly crossed $1 million in production value, largely supported through Netflix partnership.
These higher-end deals are exceptions that reflect global-level production quality.
What Nollywood Filmmakers Are Saying
Top Nollywood names have opened up about their experiences:
Richard Mofe-Damijo (RMD) revealed that Netflix doesn’t pay royalties — it’s a flat fee system.
Basketmouth criticized poor fund management, alleging some producers misuse Netflix payments meant for production.
Industry insiders argue that Netflix’s payouts in Africa are far lower than in Europe or Asia, where single films sometimes attract millions in licensing fees.
What This Means for Nollywood
For Producers: Negotiate smarter. Understand licensing vs. production deals before signing.
For Actors: Exposure is valuable, but ensure fair compensation upfront.
For the Industry: To attract bigger deals, Nollywood must invest more in storytelling, equipment, and marketing to match global standards.
Key Facts to Remember
Netflix licensing fee: $10,000 – $90,000 per film.
Netflix Original budgets: $1 million – $5 million for select projects.
Total Nigerian investment: Over ₦9 billion since 2016.
Conclusion
Netflix has put Nollywood on the global map, but the money behind the scenes tells a humbler story. While licensing deals bring visibility, the real financial growth will come when Nigerian films compete globally in quality, storytelling, and production value.