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Tuesday, March 17, 2009

Producers, Multiplexes

When a film is released, profit sharing, among producers, multiplex owners and distributors, is always a problem. This difference may force to postpone the release of the film. So Indian Producers and Distributors Forum has decided put a hold on release of films which were to be released from Apr 04, 2009.

The production and distribution houses have proposed 50:50 profit sharing irrespective of the star cast or budget. Producers are of the opinion that so far they have provided content for the multiplexes without any revenue sharing pattern. The revenue sharing model is ad hoc and is dictated by the multiplexes on producers as well as distributors. Multiplexes only share the revenue generated from the sell of ticket.

The multiplexes are yet in developing stage and the owners have to invest in maintaining and providing better movie experience to the viewers. It should be noted that this has come when IPL matches are on card, so loss to the multiplexes will not be to that extent.

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