That the worst is over is what industry players in Indian cinema anticipate for 2010. After a nightmarish 2009, experts feel that this year will bring some sunshine to the industry as the success of â€˜3 Idiotsâ€™ and â€˜Paaâ€™ in the transition of 2009-10 kept the box-office rolling.
The same sentiment is reflected in our Pitch-Madison Media Advertising Outlook for cinema in the year 2010. The advertising market in cinema, according to our projections, will gain a little momentum but may lag behind other mediums. With a growth rate of nearly five percent, the total ad revenue for the medium is expected to go up by around five crore rupees to Rs 108 crore during the year.
But, the slow pace of growth of the medium will push down its share in the ad pie by 16-17 per cent. The medium is expected to lose its share in the ad pie (projected worth Rs 21,145 crore for 2010) and clock only 0.5 per cent.
But, Devang Sampat, VP, Cinemax, feels that the outlook for multiplex industry in 2010 is positive, with at least two big-ticket releases every month.
Also, according to industry sources, different multiplexes have expansion plans and they are likely to make an investment to the tune of Rs 400 crore for setting up new properties and bringing up more 3D screens. At present, there are about 250 multiplexes in India and close to 900 screens. The industry is expected to see an addition of 40-50 new properties and 150-200 new screens in 2010.
â€œThe increasing number of digital screens will lead the growth in the year 2010. The 3D movies will pick up and the growth of regional cinema will make a good contribution in the overall growth. Advertising revenue on cinema will eventually be benefited,â€ Sampat adds.
Film critic Rajeev Masand says, â€œWell begun is half doneâ€. â€œThe year has began on a good note for the industry. Now, a lot will depend as to how the industry capitalizes on the positive market sentiment,â€ says film critic Rajeev Masand.
But he stresses on quality product and reasonable prices as the key for revival of the ad market on cinema. â€œOnly quality product with reasonable budget can bring the big push. The budgets for the films need to be kept as tight as possible,â€ he says.
Recognising the challenge that the IPL holds for the industry, (it pushed down the number of footfalls in the theatres in 2009), PVR is planning to screen all IPL match in PVR. â€œThere is always a possibility of telecasting the matches live on one screen and screening movies side-by-side on other screens,â€ says Gautam Dutta, CEO, Cinemedia, PVR Cinemas.