Small-town cinemas see a boom from blockbusters, but can Bollywood deliver enough hits to sustain the momentum?

Lata Jha
2 min read26 Feb 2026, 12:18 PM IST
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With Dhurandhar and Border 2, it has been a better time for tier-two and tier-three town cinemas than was the case in many months.
Summary
Dhurandhar and Border 2 have revitalized box office performance in tier-two and tier-three towns. Yet challenges remain in consistently providing suitable content for smaller markets even as infrastructure improves.

Two recent blockbusters—Dhurandhar and Border 2, which earned 894 crore and 354 crore at the box office, respectively—helped boost business for tier-two and tier-three town cinemas by at least 20 percent over last year. However, the big challenge for theatre owners in the smaller markets is whether Bollywood can supply mass-market movies that can sustain this momentum through the year. Hopes are pinned on Dhurandhar 2 and Salman Khan-starrer Battle of Galwan.

“Films like Dhurandhar and Border 2 have done better in tier-two and tier-three towns than metros, where the crowd is slightly more upmarket and sophisticated and may not take as well to action and violence,” said Satwik Lele, chief operating officer at MuktaA2 Cinemas.

Smaller town audiences are now receptive to all kinds of films, which Lele said gives hope to exhibitors. Last year, romantic drama Saiyaara ( 337.78 crore) and the dubbed Hindi version of mythological epic Mahavatar Narsimha ( 182.83 crore) found favour with small-town audiences, making the past few months particularly lucrative for these markets.

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Experts, though, have often lamented the lack of stories that speak to tier-two and tier-three audiences, particularly families and older viewers. Recent hits have resonated only with metro audiences. Sports drama F1: The Movie, starring Brad Pitt, was a big draw in the bigger multiplexes last year, with its theatrical run bolstered by showcasing in premium formats such as Imax that took box office collections to 102.22 crore. However, this was not true of markets beyond these premium properties.

The nationalist narrative typically works well in small towns, exhibitors said. Hits like Dhurandhar and Border 2 benefited from impressive production values, slick storytelling and strong music—boosting theatrical footfalls and setting cash registers ringing.

Regional cinema

The other big push is from regional cinema, where small-budget titles have broken out. In Gujarati cinema, Laalo: Krishna Sada Sahaayate made 114 crore recently, becoming the highest-grossing Gujarati film of all time.

“A lot depends on the star cast and the music,” said Ashutosh Agarwal, owner of Star World Cinemas in Uttar Pradesh.

Agarwal is hopeful of the next few months. Shah Rukh Khan’s King, Salman Khan’s Battle of Galwan, the two-part mythological epic Ramayana, and ensemble comedy Dhamaal 4 are scheduled for release as is Marvel’s superhero flick Avengers: Doomsday, which belongs to a cinematic universe that’s well established in the smaller towns.

Increasingly better infrastructure in the smaller markets has helped business, too, experts including Lele said. Over the past few months, multiplex chains PVR Inox and Cinepolis have expanded their presence in Hubbali, Faridabad and Patna.

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However, even after the expansion of multiplexes, several cities in the interiors are still bereft of cinemas, necessitating travel to neighbouring towns if people want to catch films. Yusuf Shaikh, founder and chief executive officer of Janta Cinema, a low-cost theatre chain, said 2026 holds much potential with big Bollywood films and regional titles slated for release but adequate infrastructure is still missing.

“People in small towns also don’t mind spending and taking the whole family along but the big challenge is still that there aren’t enough theatres in the interiors, and not everyone can afford to travel all the time,” Shaikh added.

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About the Author

Lata writes about the media and entertainment industry for Mint, focusing on everything from traditional film and TV to newer areas like video and audio streaming, including the business and regulatory aspects of both. A journalist for nearly a decade, she spends a lot of time watching content, particularly the old-school way in movie theatres, to make sure her writing is embedded in on-ground experience, given the challenges of covering entertainment news in a country that often just talks about the glamorous side of things. Lata tries to find and report on themes and trends in the entertainment world that most people don't notice, even though a lot of people in India and beyond are really into movies. A graduate of the Columbia School of Journalism, she has also authored a book on the business of entertainment.

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