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AKANKSHA MALL
  ROLL NO : A-29
BATCH : 2012-2014
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
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
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.
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
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

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Brand ambassador program assignment

  • 1. AKANKSHA MALL ROLL NO : A-29 BATCH : 2012-2014
  • 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