Indian Films Unlock New Revenue Streams Beyond Box Office
Overview
Indian filmmakers are moving beyond traditional box-office and streaming revenue. New strategies like audio series, merchandise, and digital collaborations extend film IP lifecycles, boost fan engagement, and provide crucial audience data. While individual streams offer less revenue than major OTT deals, they build living IP universes and create sustained income.
Film IP Extends Reach Beyond Theatrical Runs
The traditional revenue model for Indian films, once dominated by box-office collections and rights sales for television and streaming, is undergoing a significant evolution. Filmmakers are increasingly exploring new monetization avenues to prolong the commercial viability of their projects well beyond their initial theatrical and Over-The-Top (OTT) release windows.
Last month, Pocket FM, an audio series platform, announced a major collaboration with Arka Mediaworks. This partnership will launch an original audio series based on the popular Baahubali franchise, featuring over 250 episodes available in Hindi, Tamil, and Telugu. This follows similar fan engagement initiatives, such as Yash Raj Films' tie-up with District for the action-drama War 2 and Hrithik Roshan-starrer Fighter's merchandise collection.
Niche Revenue Streams Grow IP Value
While these newer revenue streams, like spin-offs or merchandise, may not match the scale of blockbuster box-office figures or major OTT deals—generating an estimated ₹20-30 crore compared to over ₹200 crore for OTT rights—industry experts highlight their strategic importance. They effectively extend the earning cycle of a film, foster deeper fan engagement, and align Indian production houses with global operational standards amidst a crowded content market.
Vineet Singh, senior vice-president at Pocket FM, noted that spin-offs and digital-first collaborations transform films into expanding intellectual property (IP) universes. This provides fans with deeper access to beloved worlds and characters across various formats, moving beyond a two-hour cinema experience. Audio content, in particular, offers a cost-effective and time-efficient way to expand a film's universe while delivering immersive narratives.
Data Insights Fuel Future Projects
These new monetization models offer more than just supplementary income. They provide critical data on audience preferences, listening habits, and geographical engagement. This insight allows producers to make smarter decisions regarding future greenlighting, localization, and franchise development. Experts suggest this shift signifies a move from "one-time consumption" to viewing "IP as an ecosystem," where continuous engagement and data capture are paramount.
Harikrishnan Pillai, CEO of TheSmallBigIdea, attributes this trend to the corporatization of Indian cinema, emphasizing the power of franchises over standalone films. The key lies in selectivity; such extensions are most effective for content that has already made a significant cultural impact or features characters that resonate deeply with audiences, reducing promotional costs and increasing uptake.
