Skip to content
What's After the Movie?
Industry Studios, festivals, awards, release strategies and box office vocabulary.

Location Incentive: Meaning & Definition in Film

A location incentive is a financial benefit offered by a government (country, state, or city) to encourage film and television productions to shoot in their specific jurisdiction, with the goal of stimulating the local economy.

  • 3 sections
  • 2 min read
  • Updated
On this page 3 sections

The Core Concept

A location incentive is a broad term for any program a government establishes to make its jurisdiction—be it a country, a state/province, or even a city—a financially attractive place to make a movie or television show. In the highly mobile global film industry, producers can choose to shoot almost anywhere in the world. Incentives are the primary tool governments use to compete for the immense economic benefits that a major production can bring.

The Goal: Economic Development

The underlying purpose of a location incentive is to stimulate the local economy. When a large production comes to town, it spends millions of dollars on:

  • Local Jobs: Hiring hundreds of local crew members, from electricians and carpenters to drivers and production assistants.
  • Local Businesses: Spending money at hotels, restaurants, rental car agencies, lumber yards, and equipment rental facilities.
  • Infrastructure Growth: Encouraging the development of a permanent film industry infrastructure, such as soundstages and post-production houses.
  • Film Tourism: Showcasing the location’s scenery on a global stage, which can attract tourists for years to come (like New Zealand after The Lord of the Rings).

The Main Types of Location Incentives

Governments use several financial mechanisms to deliver these benefits, each with its own set of rules and advantages:

Incentive TypeHow It WorksCommon Example
Tax CreditReduces the production’s tax bill. Often transferable or refundable to provide cash.Georgia, New York
Cash RebateThe government gives the production a direct cash refund based on its local spending.Louisiana, United Kingdom
GrantA direct, upfront payment of funds to the production. Less common and often for smaller projects.Various regional film funds
Fee WaiversExemption from fees for filming on public property, such as parks or government buildings.Many city film offices

These programs have become a determining factor in where the majority of large-scale film and television shows are produced today.

See the vocabulary at work in real films

Look up any movie for its ratings, cast and crew, box office run and where to watch, or read the full plot with the ending explained.

Browse movies
Industry

Entries filed on the same shelf as Location Incentive, each with the one-line answer first. They are the words that usually come up in the same conversation.

All 835 terms
  • Craft Services

    The on‑set department providing food, beverages, and light support to cast and crew.

  • Bounce Pass

    A 'bounce pass' in the film industry is the act of a producer or executive unofficially sharing a script with a peer at another company to get their opinion.

  • Sundance

    The largest independent film festival in the United States, spotlighting low-budget and innovative cinema.

  • Watch Time

    Watch time is a critical performance metric for streaming services that measures the aggregate amount of time viewers spend consuming a piece of content, serving as a key indicator of engagement.

  • 6K Scan

    High-resolution film scanning at roughly 6000 horizontal pixels to future-proof restorations and VFX pulls.