2. Generic Business Model In Bollywood
PRODUCTION DISTRIBUTION EXHIBITION
• Idea and concept • Theatrical - • Gives assured audiences for
• Script and its breakdown • Domestic distribution in six in-house productions
• Crew identification -casting territories i.e. Bombay , Delhi UP • Provides deeper
• Budgeting and scheduling , Eastern circuits , MP and understanding of the
Rajasthan , East Punjab , South audience preferences aiding
• Market Analysis
• Overseas distribution – Movies production
• Funding and Insurance
being sold to different
• Contracts- cast and crew distributors for different nations • Helps diversify revenue
• Shooting and related activities • Non Theatrical –
streams
• Post shooting engagements like • Domestic and Overseas • Arrangements with various
Editing, music, dubbing,
• Distribution via Satellite , Music
theatres for exhibition of their
Printing, Publicity , Distribution films
, video ,cable
and release • Plans to tie up with single
, DVD, VCD, Internet
screen theatres and
multiplexes
3. Business Metrics for Bollywood
1. Theatrical exhibition rights
2. Overseas rights
3. Satellite telecast rights
4. In Film endorsements & corporate sponsorships
5. In cinema advertising
6. Internet rights and merchandising
7. Video CD and DVD rental rights
8. Ring tone rights , downloading rights
9. Music rights
10. Ancillary revenues
Total cost of film : Film Revenue :
Total production cost Net Box office collection
Print Cost Net collection to distributors
Publicity cost Net collection –India
Satellite revenue
Music and home video revenue
Overseas revenue
4. Box Office Collection
Film Revenue Streams
100 Total = US$ 1.4
Ancillary
Overseas 11%
Revenues billion
15%
Home 80
Video, 6%
Overseas
60
Domestic
Domestic 89%
40
Box Office
Collection, 20
79%
0
Main revenue stream for new films released in India - box office collection,
contributing about 80% of the revenues .
Home video segment a low contribution to the overall revenues impacted by a
combination of factors like availability of pirated versions of music and films ,
broadcasters showing television premieres within 4-5 weeks of their release ,
technological advancements such as digitalization ,availability of more
sophisticated devices to access media - ancillary revenues that comprise around
15% of the total film revenues in India.
This includes broadcast syndication, internet, mobile and other new media
revenue streams.
5. Comparative Analysis
Box Office : Box Office :
The film set box office Gangs of Wasseypur collected 12.25 cr in
record, grossing 80.87 crore in its first first four days and collected 10Cr net
week, thus becoming the highest opening approx over its first weekend
week grossing Bollywood film of 2010
Gangs Of
Dabangg Wasseypur
6. Dabangg Gangs of Wasseypur
Cost v/s Revenues : Cost v/s Revenues :
Print and Publicity – 12 Crores Cost of Production: Rs.18Cr for Part I & II
Remuneration of Salman Khan – 15 Crores Prints & Advertisement: Rs.11Cr for Part I
Satellite Rights selling price – 10 Cr. Total Cost to Producer for Part I: Rs.20Cr
Music Rights selling price – 9.5 Cr. Satellite not yet sold
DVD and DTH Rights selling price – 7 Cr. Total Revenue: Rs.8Cr (India Theatrical for
Total Investment 57.00 Cr first week only)
Total Cost for Part I: Rs.20Cr
Total Revenue 118.50 Cr
Profit 61.50 Cr
Marketing strategies:
Gamucha, a thin traditional north Indian
Marketing Strategies : towel was taken to Cannes
Celebrity ambassadors and item numbers Music launch : in second largest city in
featured in the movie eastern India which is Patna
General entertainment TV and radio channels Wasseypur Patrika : fictitious newspaper
Reliance Home Video has released the movie was made available online
online on youtube.com/dabanggthefilm Wall paintings instead of posters,
GOW mementos : bullets of different era