Early OTT release of Tamil, Malayalam films hurts theatres' revenues

The gap between a film's theatre release and OTT premiere was usually 8 weeks in India, before Covid struck in 2020, when movies began to be released on streaming platforms first as cinemas remained shuttered for months.

Exhibitors had expected the old equilibrium to return once the pandemic ended, but that has not happened uniformly across Indian language films, with many filmmakers opting for a shorter than 8-week OTT release window, potentially hurting the revenue of multiplexes.

Tamil, Malayalam films opt for shorter window periods  

While Hindi filmmakers are, in general, sticking to the eight-week window, Tamil movies are streaming online within four weeks of the theatre release, and sometimes even sooner. Malayalam, on the other hand, opts for anything between a four and a six-week window, depending on the box-office performance of the film and the specific deal struck with a streaming service.

This inconsistency is rampant, fuelling tensions between producers and theatre owners, experts said.

While producers emphasise the need to monetise a film on other platforms soon after the theatre release, cinemas are keen that the release gap between the two platforms --theatres and OTT platforms—is considered sacrosanct.

“The conversation between producers and exhibitors regarding the window between theatre and OTT releases is evolving dynamically, especially in light of recent trends. For Hindi films, the standard practice has settled around an eight-week gap before transitioning to OTT platforms. However, in the Tamil and Malayalam film industries, this window is more varied, ranging from four to eight weeks," Devang Sampat, managing director, Cinepolis India, said. "We believe that maintaining a proper window is essential for preserving the value of the theatrical experience and ensuring that both producers and exhibitors benefit from a well-balanced release strategy.” 

Not a hard-and-fast rule

The concept of theatre release windows is increasingly viewed as a perception rather than a hard-and-fast rule, Mr Sampat added. “In our perspective, every movie, regardless of its performance at the box office, should adhere to the same window. This uniformity ensures fairness and predictability across the industry, maintaining the integrity of the theatrical experience. By keeping the window consistent, we uphold the value of the cinematic release, allowing each film the opportunity to reach its full potential in theatres before moving to digital platforms,” Mr Sampat said.

Recent southern films like Dhanush’s Raayan and Vikram’s Thangalaan that opted for a quicker release on OTT were not screened by multiplex chains in North India. Amit Sharma, managing director of Miraj Entertainment, a company that operates multiplex theatres, admitted the company has let go of the dubbed versions of southern films that did not adhere to the eight-week window. “It is the producer’s call in this case. Conversations are on but nothing concrete has materialised,” Mr Sharma said.

A film producer said that during Covid filmmakers had shrunk the window period for the OTT premiere to four weeks since cinemas were running at limited occupancies.

It's a mess now 

“It’s a mess right now (with all languages operating differently). Producer associations are far stronger in the south and aren’t agreeing to the eight-week window, given their deep-rooted connections with single-screen cinemas. Obviously, all OTT platforms have a certain release calendar and need to bring out a specific number of new titles every quarter, so the pressure from them is also high,” the producer said, requesting not to be identified. 

                                                (By arrangement with livemint.com)