Industry
Producers partner big studios to revive popular franchises amid box office slump
Summary
In response to box office uncertainty, local producers are collaborating with larger studios on iconic franchises. Deals like Rakesh Roshan's Krrish partnership with Yash Raj Films aim to minimize risks and costs while enhancing project viability in a changing entertainment landscape.
Cash-strapped film producers battling extreme uncertainty at the box office are now turning to big studios to partner on their old, popular IPs (intellectual properties) and take these franchises forward.
Filmmaker Rakesh Roshan, for instance, has agreed to co-produce the next installment of the Hrithik Roshan-starrer Krrish franchise with Yash Raj Films after holding on to the IP for years. Entertainment industry experts say such deals minimize risks and lower actor costs, while managing the unpredictability of the box office.
Director J.P. Dutta, too, is bringing back his war franchise Border that was released in 1997, in partnership with T-Series.
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Such collaborations make for a smart business sense given that few producers today have the financial bandwidth to mount big projects on their own.
“The commerce of cinema, having changed so much, is driving these collaborations. On one hand, there is the risk of the box office where there is no assurance of returns even on budgets of ₹400-500 crore, and on the other, there is great pullback on OTT rights. It only makes smart business sense to bring collaborators, especially on big franchises and movies that are part of a cinematic universe which require a certain amount of cash flow and financial appetite," said Priyanka Khimani, a legal expert in entertainment and music rights.
Co-productions: Smart way to share costs, risks
Khimani pointed out that such deals can be quite nuanced, with the original producer holding on to the rights of the foundational characters featured in the film while the studio can participate in revenues from remakes or spin-offs. In the long run, local producers often have to choose between making and selling projects for a limited margin or raising own money and holding on to IP alone, she added.
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A senior executive at a film studio pointed out that unlike a Zee Studios or Sony Pictures, local producers often find it easy to partner on established IPs that they want to take forward, with homegrown studios like YRF. This is beacuse, large corporates like Zee and Sony would never part with their IPs. "Here, it’s a case of working within the ecosystem," the executive said.
The person added that these are innovative ways of controlling costs, given that Roshan’s son and actor Hrithik Roshan is already working with YRF on separate projects, besides directing the new Krrish film. This would mean an obvious reduction in his remuneration for the movie and the budget can then account only for visual effects and production costs. Even on projects like Border, actor fees can be negotiated since T-Series is working with several names across movies.
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“It’s an intelligent move that can help them add value to each other. Nobody wants to risk money on their own and, besides, OTT and other sales will be easy when top names come together and the franchise gets a new lease of life," film producer and distributor Yusuf Shaikh said. He added that such collaborations instantly create awareness for the new film and make for intelligent packaging. Plus, even the bigger studios are looking to bolster their slates with new titles.
