Was Gangs of Wasseypur a good investment ? Mayank Gupta E-19 Batch 2012 - 2014
Generic Business Model in Bollywood“Movies, in fact entertainment in general, are based on a business model which works because one must exceed the expectations of customers and/or bring new elements, experiences and content” Market the film Recover money by Recover money Raise Capital selling satellite •TV shows from other • Private rights and music Recover money •Cinema Halls rights sources Funding (real •Posters by releasing estate •Satellite rights and movie and •Audio CD (songs) •Teasers in other businessmen, j Make the movies subsidies, together with audio rights showing them •Video CD/DVD ewellery •Advertisements in various industry, etc.) film •Create could help a producer of a star- cinema halls Controversies • Loan from related to the cast film recover up across the Banks to 60-70% of his movie entire country cost, sometimes even up to 80-85%!
Business/Industry Metrics for BollywoodNo. of ViewersNo. of screenings in a dayFirst day collectionCritic’s RatingActors starred in movie reputation
Business/Industry Metrics for BollywoodCost of productionCost of distributionTarget market SegmentMarketing costLoyal Fan base
Comparative Analysis - Gangs of Wasseypur Business Model Business Metrics• Low Budget Film • Less known Actors• Part 2 was announced as • Powerful Script soon as First was released • Targeted Towns and Villages• Recovered most capital of India from screening • Less Screening in a day compared to Dabangg • Targeted to recover most capital through customers who would love the script and acting
Comparative Analysis - Dabangg Business Model Business Metrics• High Budget Film • Highly Popular Actors• Released on Eid to cater to • Average Script loyal Fan Base • Targeted Towns and Villages• Recovered most capital of India from screening and songs • More Screening in a day• Aggressive Marketing compared to Gangs of Wasseypur • Targeted to recover most capital through Loyal Fan Base