Big-budget iGirl tests waters in online film market

According to Yang, a feature-length online film in China typically cost 500,000 to 800,000 yuan in 2014, but about 20 percent of films made last year cost more than 1 million yuan.

"Undoubtedly, it will keep rising in 2016," he says.

Li Yansong, head of iQiyi Pictures, which runs the group's film business, says: "Many previous online films were not careful with details. They usually restricted themselves to certain genres."

Some cult film-like productions, such as those featuring ghosts and evil themes and even soft-core sex, once dominated the market. But both Yang and Li think an influx of investment will diversify the genres and breed more mainstream products.

"For example, more special effects will be introduced," Li says. "That will allow genres like sci-fi to become popular."

Wong believes the new platform will give filmmakers more opportunity for creative expression.

"When people stay in a private space to enjoy these online films, those that demand more thought and a slower pace will have chance to get an audience, while a film in today's cinema needs to get people hooked from the very beginning," he says.

In spite of a promising future, Yang still prefers steadier steps. He says only about one-third of the company's online films in 2016 will be self-made like iGirl, and iQiyi will still stick to its business model as a broadcaster.

All in all, in 2015, from among 612 feature-length films released on the site, only 35 earned more than 1 million yuan for their producers, which basically covered production costs.

However, as the market's direction has switched, Yang sees opportunities in the future.

"There will certainly be a Steven Spielberg-level director who is bred online," he predicts.