‘Ramayana’ Advance Bookings Yet to Open at Single Screens Amid Dharma’s 60:40 Demand
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“Ramayana,” headlined by Ranbir Kapoor, Yash and Sai Pallavi, has seen strong advance bookings in domestic and international markets ahead of its global release during the Diwali weekend.
While Dharma Productions has reportedly agreed to standard industry revenue-sharing terms with national cinema chains for “Ramayana,” it has demanded a 60:40 revenue share from non-national chains and single-screen theatres. Since single-screen exhibitors didn’t accept this demand, advance booking there hasn’t opened yet, affecting the overall pre-sales of the upcoming release.
G. Dhananjheyan, the prominent distributor from South India, explains the core issue of the dispute and why single screens can’t accept the 60:40 revenue share. “The main point of contention is the revenue-sharing arrangement. Given that ‘Ramayana’ has roughly a three-hour, 15-minute runtime, along with a 30-minute interval, single-screen theatres will be able to accommodate only four shows a day instead of the usual five. This directly affects our business, as we lose one show and the revenue that comes with it. There are also electricity costs to consider, so we are not in a position to offer the higher revenue share being demanded.”
Sharing the negotiation between the Dharma and single-screen exhibitors, he adds, “The distributor initially demanded 65% and has now brought it down to 60%, while single-screen exhibitors have offered to go up to 55% from their initial offer of 50%. So, the difference is now just five percentage points. Exhibitors feel that the film's length affects their ability to generate revenue, and they cannot afford to offer a higher share under these circumstances.”
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G. Dhananjheyan reveals that local distributors are currently negotiating the deal and the dispute is expected to be resolved by the end of the day. “There is no such dispute with the national multiplex chains. A national-level agreement with PVR and other chains exists, under which the standard terms of 55% and 52.5% apply. This is not a regional agreement. Local distributors are negotiating separately with single screens and local multiplexes. The local multiplexes are also asking for the same terms as the national chains, while single-screen exhibitors are unwilling to agree to a 60–65% share. Discussions are still ongoing, but the trade expects the matter to be resolved by today.”
If advance bookings in the single screens open today, it won’t only give relief to the trade circle but will also give a significant boost to the film’s collections at the box office.
Read More About: Dharma Productions, Ramayana, Ranbir Kapoor, Sai Pallavi, Yash
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