Multiplexes Offer Performance Based Revenue

The multiplexes are offering a performance based revenue model but its unlikely that this will be accepted by producers and distributors. The biggest problem is that this model will complicate things further and lead to more disputes after the release as to how a film performed as the yardstick for performance will be different from producers side and different from the multiplexes point of view.



This will also lead to money being blocked as it will take time to declare and agree on how a film performed over so many multiplex screens across the country.




The other big problem will be is that when multiplexes will give better returns for the more successful films, the distributors will also want to show their films in the performing multiplexes which will lead to weaker multiplexes being closed down due to lack of films. In a city like Ghaziabad which is already multiplex heavy if compared against its potential audience, the distributors will want to show films at the better performing multiplexes like Jam Shipra and Wave Kaushambi and keeping away from likes of SM World and M4U which gross lower amounts.



This system also favours the big star cast potboilers like Ghajini, Om Shanti Om, Singh Is Kinng etc as these films will perform better in this system as they bring in the huge capacities that the multiplexes are looking for while contemporary urban cinema which has come up over the last two years with the multiplex film like Rock On!, A Wednesday, Khosla Ka Ghosla, Dev D etc will suffer as they run to lower capacities.



The distributors/producers are basically saying if multiplexes want to pick and choose films as per their demands then they will pick and choose multiplexes as per their needs which leaves the situation in limbo and nowhere near an agreement then when talks started about four weeks ago