In 2020, the Indian film industry witnessed a significant rift between producers and exhibitors (cinema owners and multiplex chains) when the producers of the highly anticipated film Gulabo Sitabo opted for a direct digital premiere of the film on Amazon Prime Video, thereby bypassing a theatrical release. The decision angered exhibitors, who viewed over-the-top (OTT) platforms as threats to traditional cinema distribution. Concerns arose that other studios would soon follow suit, jeopardizing their businesses. Although the producers cited COVID-19-related challenges and the increased popularity of streaming services as reasons for their decision, exhibitors accused them of being selfish. Exhibitors emphasized their investments in world-class screens and urged co-operation, threatening retaliatory measures. The rising tension brought up a number of questions: How much of a threat were OTT platforms to traditional film distribution? How could disagreements between producers and traditional distributors be resolved? Might OTT platforms and traditional distribution methods coexist, and if so, how?
Gulabo Sitabo's OTT Debut: Disrupting Traditional Film Distribution
Amit Anand Tiwari, Samrat Gupta, Rohit Kumar Singh
Product #:W33832
Supplier:Ivey
Discipline:General Management, Marketing
Setting:India, 2020
Your Price:$9.71
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Learning Objectives
This case study presents pertinent material for undergraduate and postgraduate courses as well as executive programs focusing on marketing distribution, digital business models, entertainment, media, and value chain management within the entertainment industry. It is ideal for courses on introductory marketing, strategic marketing, digital marketing, sales, distribution, and information systems electives. After working through the case and assignment questions, students will be able to do the following:
- Understand how the advent of digital media platforms has shaken up traditional distribution.
- Evaluate the experiential differences between watching a film on an OTT platform versus in a theatre or cinema using the convenience framework.
- Detect the channel conflicts between emerging and traditional channels and corresponding resolution strategies.
- Evaluate and comprehend the shifts in film distribution approach using the tentpole strategy.
- Assess how well the two film distribution models—physical and online—could coexist in the future.