Written by The Location Guide on Feb 12, 2025. Posted in General Interest

Scaring up a Success

Companies like A24, Neon and Blumhouse are taking the horror genre to new heights. TLG unlocks the secrets of their success.

The horror genre is proving more popular than ever, doubling its market share from 4.87% in 2013 to 10.08% in 2023, according to movie industry data service The Numbers.

Producers and distributors A24, Neon and Blumhouse have set a new standard for the independent horror filmmakers, taking the genre to new heights, reinventing franchises and welcoming a new era of spooky and sinister storytelling.

LOW BUDGETS AND HIGH RETURNS

Once a small budget up-and-comer, A24 kick-started its rise with Jonathan Glazer’s sci-fi Under the Skin in 2013 and has since produced a string of successful projects with bigger budgets and box office figures, right up to the terrifying trio of Ti West’s X series. But the A24 vibe remains the same.

“A24’s ability to market their films with distinct, memorable campaigns while still allowing the director’s voice to come through is something I respect,” says Chris Cronin, award-winning filmmaker and director of horror The Moor.

Independent horror has not only become a profitable niche but also a creative haven where filmmakers can experiment with bold ideas that may not be embraced by larger studios. Several factors have contributed to the rise of indie horror, from the genre's inherent flexibility and low production costs to its deep psychological connection with audiences.

“Independent filmmakers often work with limited resources, which forces us to be highly creative in building tension and fear without relying on massive budgets or special effects,” adds Cronin.

“These constraints push us to focus on storytelling, atmosphere, and character-essential elements in creating effective horror. I also like to believe that we take more risks and explore unconventional ideas, which keeps the genre fresh and evolving. Not having a budget forces us to present horrors in ways other than expensive visual effects. Our budget for The Moor was tight, so we had to be sparing with VFX and rely on storytelling techniques to be scary.”

 

Blumhouse Productions revolutionised the horror industry with its micro-budget model. Founded by Jason Blum, the company has produced many successful projects on a shoestring, including Paranormal Activity (2007), made for just USD15,000, and more recently Get Out (2017), with a budget of USD4.5 million. Both films grossed hundreds of millions of dollars worldwide, proving that horror does not require big budgets to make a big impact.

“We borrowed the French auteur system and applied it to very commercial filmmaking. We give them more control than they typically get in Hollywood, but they have to give us something as well: a commitment to make movies inexpensively,” Blum commented on a panel at the Locarno Film Festival.

The immense profitability of the Blumhouse films has inspired other independent production companies to follow their lead, demonstrating that horror can be a low-risk, high-reward venture.

CREATIVE FREEDOMAND RISK-TAKING

A recent good example of this is Neon’s film Longlegs, directed by Osgood Perkins and starring Nicolas Cage, with a budget of less than USD10 million, which thrived on suspense-filled marketing campaigns and chilling testimonials of audience members. The film set a new box office record for Neon, raking in USD22.6 million in it’s opening weekend, and has since gone on to take more than USD100 million.

The company used clever marketing, pushing cryptic messages on billboards, eerie images and mini clips across social media, and one frightful poster that simply read: ‘The birthday girl. 8 years old. Police report: January 13, 1974. So lucky to celebrate.’

Neon’s founder and CEO Tom Quinn has often touched on the company’s “agnostic mantra”, regarding “great cinema as great cinema” regardless of the genre of their projects. This inclusive approach to all their films has established a consistent quality from drama to horror.

“I view our entire slate as equally valuable, regardless of whether a movie is subtitled or belongs to a certain genre,” Quinn commented at the Marché du Film in Cannes last year.

Independent horror has not only become a profitable niche but also a creative haven where filmmakers can experiment with bold ideas that may not be embraced by larger studios.

Horror films produced by indies often embrace creative risk-taking in ways that mainstream studio films may not. The freedom to explore unconventional ideas has allowed independent horror films to delve into subject matter that may be seen as too risky or niche for mainstream audiences.

For instance, Ari Aster’s Hereditary (2018) and Robert Eggers’ The Witch (2015), both produced by A24, are examples of horror films that defy conventional expectations. These films do not rely solely on jump scares or traditional horror tropes, but instead focus on psychological tension, character development, and unsettling atmospheres.

Hereditary, in particular, explores themes of family trauma and grief in a way that is both emotionally resonant and terrifying, creating a nuanced horror experience that mainstream studios might have been reluctant to embrace.

 

“The market is quite heavily saturated at the moment, but that’s not necessarily a bad thing,” says Ryan Hendrick, filmmaker and founder of Magic Monkey Films, whose credits include The Bench and Mercy Falls. “When companies like A24, Neon and others come out with more rated horror it legitimises the genre. I think audiences are bored of the studios pumping out nothing but the big tent pole IPs. People want originality.”

Hendrick and Magic Monkey co-founder David Newman hopped on the Scottish horror The Bench after a 17 year stand still on the production due to logistical and financial issues. Inspired by classics of the genre such as Halloween, The Hills and Texas Chainsaw Massacre, Sam Wilkie’s grisly slasher exemplifies technology’s contribution to the longevity and development of the Indie horror. With continuity issues, Hendrick was able to cut around the character’s differing appearances from 17 years ago to now, leaning into its 1970’s 16mm film aesthetic.

In addition to thematic and technological risks, independent horror often defies audience expectations by rejecting genre conventions. While mainstream horror films tend to rely on predictable formulas and recycled tropes once reserved for the C-list actor, independent filmmakers frequently subvert these conventions to surprise or challenge their audiences.

FLEXIBLE GENRE

One of the key reasons horror has thrived in the independent sector is the genre's remarkable flexibility. Horror films can span a wide range of subgenres, from psychological thrillers to slasher flicks, supernatural terror, body horror, and even comedy-horror hybrids.

This adaptability allows filmmakers to create stories that resonate with diverse audience segments without adhering to the rigid formulas often found in mainstream films. Indie filmmakers are able to craft stories that reflect their unique visions, exploring taboo subjects or unconventional narratives.

Horror has long been a staple in the film industry, doubling its market share from 2013 to 2023, spurred on by the success of the indie filmmaker.

“I tend to focus on the psychological aspects of horror, creating tension through unsettling atmospheres rather than jump scares,” says Cronin. “That’s not to say I don’t enjoy a good jump scare – I made a short film, Oscar’s Bell, that totally played into that vibe – but I think the ending of that film struck the strongest chord with me. How long can you hold a shot without losing the horror feeling? I like to blur the lines between reality and paranoia, making the audience question what’s real and what’s in the characters’ heads. It’s also important for me to ground the horror in the human experience, using relatable fears rather than relying on gore.”

Horror as a genre also tends to rely less on high-end special effects and large-scale production values, focusing instead on tension, atmosphere, and character-driven storytelling. This makes it an ideal playground for independent producers who can work within limited budgets while still delivering compelling films.

 

The stripped-down nature of many horror films allows for greater creative freedom, as filmmakers are not constrained by the need to appease mainstream expectations for glossy production values. Iconic films like The Blair Witch Project (1999), made on a shoestring budget, prove that horror can succeed when stripped down to its essential elements of suspense and fear.

PSYCHOLOGICAL AND SOCIETAL RELEVANCE

Horror, more than perhaps any other genre, is capable of tapping into the deep-seated fears and anxieties of its audience. Filmmakers have capitalised on this by crafting stories that reflect societal concerns, from political unrest to economic instability, environmental crises, and cultural divides. These films often resonate deeply with viewers, as they tap into real-world fears that extend beyond the supernatural or fantastical.

“I think we’ve leaned into a wave of horror that focuses more explicitly on commentary around society, identity, and trauma,” says Cronin. “There’s a much greater emphasis on psychological horror, tapping into deeper fears and anxieties. Not that horror hasn’t always done that metaphorically, but it feels like these themes are more on the surface now.

I think audiences are bored of the studios pumping out nothing but the big tent pole IPs. People want originality.

“It’s suspense of disbelief, the imagination, and the plethora of concepts and stories that you can tell in that genre that makes it so enticing for audiences,” says Hendricks. “You can tell an incredible number of stories, but you can also be quite clever and actually tell a cultural significance under the guise of an entertaining horror film. You can talk about serious issues without preaching to the audience.”

Jordan Peele’s Get Out is a prime example of a film that uses its genre trappings to explore broader societal issues. The film’s depiction of racism and cultural appropriation within the framework of a psychological horror thriller elevated it beyond the genre's traditional confines, earning it widespread critical acclaim and an Academy Award for Best Original Screenplay.

“What I also see emerging is a renewed appreciation for the stripped-down, visceral style of classic horror,” adds Cronin. “I believe the 70s style of horror will make a comeback, and archetypal monster movies can feel fresh again, much like in the Hammer horror days. The genre keeps reinventing itself. Every few years, it breaks into the mainstream, but there’s always that constant horror base keeping these stories alive and relevant.”

Indie horror’s success is based on its separation from the mainstream, adapting to different subgenres and exploring new means of storytelling.

Independent horror films have often thrived because they operate outside of the constraints of the mainstream, which may shy away from political or controversial content in order to avoid alienating certain demographics. The smaller, more niche audiences targeted by independent horror films are often more receptive to challenging or provocative themes. This allows independent filmmakers to engage with issues such as mental health, gender, race, and identity in ways that feel authentic
and unfiltered.

Even as technology evolves and audience tastes shift, indie filmmakers have adapted to remain at the forefront of the genre, pushing boundaries and exploring new ways to terrify and engage their audiences.

This article was first published in the FOCUS 2024 issue of makers.

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