kingfisher production house

8/8/2019 Kingfisher Production House

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The UB Group is one of India's largest conglomerateswith annual sales of over US$ 4 billion and a marketcapitalization of approximately US$ 12 billion

Mission statementWe are focused on assuming leadership in all our target marketsWe seek to be the most preferred employer wherever we operate.We will always be the partner of choice for customers, suppliers and other creators of

innovative concepts


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Current Market Scenario

C urrent Market Scenario

Market Size

Value INR 143 billion

Volume 1000 film every year

Market growth Rate Expected to grow at 11.6% reaching INR 185 bn by 2013

The size of the film industry is estimated to be around Rs 10,000 crore, DomesticBox Office market: 75%Seasonality Weekend, public holiday and Festival season like Diwali , Eid etc


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Line of Business


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Segment

Entertainment Film

Documentary & Art Movie

3ds & 6ds

C artoon Movie

Mythological Movie

Regional Movies


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Current Market Scenario

C urrent Market Scenario

Market Size

Value INR 143 billion

Volume 1000 film every year

Market growth Rate Expected to grow at 11.6% reaching INR 185 bn by 2013

The size of the film industry is estimated to be around Rs 10,000 crore, DomesticBox Office market: 75%Seasonality Weekend, public holiday and Festival season like Diwali , Eid etc


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Distribution & Distribution Trends

Long way from celluloid prints to digital format

Satellite distribution eliminates logistic problem

Smart card

Optical Fibre cable

UFO Movies has a reach of over 1500 screens in India & Abroad

59 % of screens contribution from Southern part


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Market Potential

Achieve Industry status

Listing of companies

Banks Funding for Movie Making

100% Foreign direct investment (FDI) ispermitted (Vistaar Religare INR 50 MNFund Nomad Film 25 BN, Fund C inemaC apital Venture Fund)

Favourable tax exemptions

C orporate Venturing

Increasing organized retail space

Increasing disposable income


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Market Potential

Over 70% of the Indian population is below 30yearsof age

Preference of spending on entertainmenthas increased

Huge potential for corporate to capture theuntapped Industry


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P orter s Five Forces Model


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Threat of New Enterants

Entry of global players in India

Walt Disney, Warner Bros, Fox STAR Studios

No Entry Barrier like License Fees , gestation period

Favorable Technology changes solving distribution logistic problem .

HIGH


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Bargaining Power of Supplier

Dominate by few number of Production Houses

Big lobby of Writer , Singer , Actor & Actress Junior Artist etc

Absence of Industry regulator

Technology supply getting cheaper

LOW


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zzzz

Competitive Rivalry within Industry

HIGH


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T hreat of Substitute

Sporting event at prime time FIFA World cup , IPL

Drama & Play

Live C onsort

Night C lub

Realty Showa & Sitcom

Networking sites

Piracy

HIGH


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K ey Players


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Yash Raj

Y ash Raj Films

State-of-the-art fully integrated Studio with most coveted creative houses in thecountry.(P ost-production facilities, Television Division Internet & New Media Division,

Licensing & Merchandising Division )

January, 2010 marked the entry of Y RF T elevision , on Sony EntertainmentTelevision - India's leading television broadcaster, ushering a new wave of televisionviewing experience.

M usic Label Y RF M usic

Home Entertainment by marketing and distributing DVDs and V C Ds of classic inUK, USA, UAE and India


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Reliance Mediaworks

Market leader in film processing and printing, processing the largest number of Hindi films every year with a

Record-breaking number of prints.

Broadcast Equipment Rental business for providing quality equipment for liveshows, reality shows and game shows, among other segments

Big C inemas, largest in cinema chain 516 screens spread across India, US,

Malaysia and Netherlands and caters to over 35 million consumers

Accounts for 10 to 15% of box office contributions of large movies.

Malaysia 72 screens to cater 1.5 m Tamil Populations


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UTV M otion Pictures

No. 1 studio in South Asia today

UTV's portfolio includes Hindi Movies, Regional Movies, Animation Films,international productions and co productions

Exclusive distribution arrangement for India with The Walt Disney C ompany.

UTV Software C ommunications Limited is India's leading global integrated mediaand entertainment company, with business interests in Television, Movies,Broadcasting, Games C ontent and New Media and subsidiaries across the US, UKand Japan.

Successfully distributes its movies in more than 45 countries around the world onthe same day as their theatrical release in India.

International Production


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SWOT

SWOTStrength:

Vast customer reach & Large customer base.

2nd

in the world and the largest in terms of the films produced and tickets sold

Low cost of production and high revenues ensure a good return on investment

Weakness:

The Media And Entertainment sector in India is highly fragmented.

Lack of cohesive production & distribution infrastructure, especially in the case of music industry

The lack of efforts for media penetration in lower socio-economic classes, where

the media penetration is low


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SWO TOPPORTUNITIES:

C rossover movies, has helped open up new doors to the crossover audienceGlobal investorsMedia penetration

Viewership and advertising expenditure.Innovations like animations, multiplexes, etcNew distribution channels like mobiles and Internet have opened up the doors of new opportunities in the sector.

THREATS:PiracyLack of quality content the 'Quick- buck' route being followed in the industry.

Technological innovations taking place so rapidly, the media sector is facing

Uncertainty about success in the marketplace


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Amit Shrimankar 144

Venkat Raghavan 165

Anil Naik 173

Swapnali Nalavde 176

Shrawan Sureka 154


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Leading customersMovie DistributorMultiplexes, Theatre ownersTelevision Rights(Exclusive & Normal),Music RightsMobile Operators (Rightone, Caller Tune, Screen Savers)

MediaP

artners,Apprale Stores,Gaming Industry, Online DTH, Overseas distributors, Satellite distributors,P romotions (1/2 hour interview charges), Websites, adds


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Leading SuppliersP roduction House, P roducer, Executive P roducer, Co P roducer Arrange finance(banks, P rivate), Manges funds, Responsible for funds, Budgeting, Decision makingDirector Director: Co- Ordination with different Departments, Handle the completemovie, handle the free flow from all departmentsIdea generation,Working on Script, Dialouge, visulising the movie, get the workdone, handling the actors, Art Director, Camer men, script writer, Singers, Music

Director


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Customers OverviewThe size of the film industry is estimated to be around Rs 10,000 crore,

Domestic Box Office market: 75%Multiplex Screens:PV R Cinemas, Big Cinema and Fun Cinema,There are about 900 multiplex screens in the country60-65 % of their revenue from these multiplexesSingle-screen theatres: above 8500:Annual box-office collections 35%Music Industry: Market si ze estimated at around US$ 182 .9 million in 2010, up fromUS$ 160 .9 million in 2008, portraying a growth of 14 per cent during the reportingperiod . 90% contribution to the Indian Film musicIt is expected to grow at a CAGR of 16 per cent over 2010-14 to reach US$ 379 .1million .


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Latest trend in Film financingNorms for offering financial assistance to the film industry:

1. Institutions should extend finances only to corporate entities .

2. Besides negatives, music rights, satellite T V rights and overseasrights must also be considered as security .

3. Insurance companies must extend insurance cover for films anddevelop more products for the industry .

4. When financing a single film, the duration of advance may berestricted to between 6 and 18 months .

5. Banks and other financial institutions should work together withproducers to evolve standards for financing and insuring films .

6. Creating a film industry-rating agency by pooling people frombanks/FIs, eminent filmmakers and experts in the media sector to

judge a filmmaker's credentials .


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Latest trend in Film financingThe three major sources of funds for the film industry were

thedistributors, music companies and financiers .

It was comparatively easier to get finance from the distributors forproducers with a good track record .

The producers engaged in film production in India rely essentially onself-funding, advances from distributors against distributionagreements, advances from financiers against financing agreements,

sale of negative rights, sale of music rights, bank financing, venturecapital investments, equity markets, corporate sponsorships andmerchandising, co-production . The Film Federation of India is actively seeking to make film financinga viable proposition for banks and films are insured to offset possiblelosses for banks .


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Latest trend in Film financingNow the film producers have the necessary cover and impetus to

invest more in anticipation of greater returns . With increased foreign participation, the shape of film industry ischanging rapidly in India . Basically, it is working 2-ways as new producers/directors are coming

ahead and are exploiting the facilities available and also the foreignplayers are making headways by executing joint venture agreements . All these efforts are ultimately adding to the diversity of the Indianfilm industry and providing them the international character which itdeserved since long before . The government is also working with the institutions like NFDC andFilm & Television Institute of India towards developing acomprehensive legal structure for insuring all kinds of movies whichwill definitely give a great boost to the film industry, more

importantly to the film finance sector .


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Movie Marketing

o The publicity of a movie takes place at two levels:

At producer level .Large scale with a national or international scenario inconsideration .

o The budgets at this level are very bigo This publicity is aimed at all the target audience in the country for

creating a bu zz about the movie .

At distributor level .

At distributor level the publicity is mainly for making the targetaudience aware about the theatres where the movie is playing andthe timings of the movies . The budgets allocated for such publicityare comprehensive but smaller than the budgets at producer level . The media used at this level are posters, hoardings, localnewspapers etc .

kingfisher production house

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