- 1 Definition / Scope
- 2 Market Overview
- 3 Key Metrics
- 4 Market Risks
- 5 Top Market Opportunities
- 6 Market Drivers
- 7 Market Restraints
- 8 Industry Challenges
- 9 Technology Trends
- 10 Pricing Trends
- 11 Regulatory Trends
- 12 Other Key Market Trends
- 13 Market Size and Forecast
- 14 Market Outlook
- 15 Technology Roadmap
- 16 Distribution Chain Analysis
- 17 Competitive Landscape
- 18 Competitive Factors
- 19 Key Market Players
- 20 Strategic Conclusion
- 21 Further Reading
Definition / Scope
Bollywood industry is one of the famous industry in the world. Bollywood industry has reached all parts of the world. Fan following are found across the globe. Indian movies are also released in different parts of the world. Actors of Bollywood industry have become icons of the people.
Cinema -- not bound by the constraints of mobility or literacy -- reached and satisfied the Indian public in a way no prior medium had. From that time to today, cinema has been the most popular platform of mass media in the country. Bollywood is famous for fame. There are over 2000 movies released in the country in the national and international market. Indian movies are liked by all the audience in the world. The reputation of famous actors like Priyanka Chopra, Shahrukh Khan, Amitabh Bachhan are few names who have impacted the people across the globe. International actors are willing to get associated with the Bollywood industry.
|Base Year||2017||Researched through internet|
- Low entry Barrier
- Pricing by the distributor
Top Market Opportunities
Bollywood's film production centre is a government-owned studio facility known as "Film City" in the northern suburbs of Mumbai. Bollywood traces its start to 1911 when the first silent Indian feature film was released by D.P. Phalke. The industry boomed and today there are over 250 theatres in Mumbai alone.
Mumbai has long been one of India's foremost centres for arts and culture, being one of the biggest sites of the country's theatre scene in the 19th and early-20th centuries. However, the reach of theatre was limited in India during that era, and is slowly reducing. The limited mobility of the performers -- and their acts with them -- ensured theatre was never a mass phenomenon. Literature was handicapped in trying to penetrate the populace too; the high rate of illiteracy combined with segmentation of the few literates into different languages meant it was hard for a book or novel to serve as a binding fabric.
Music plays a very important role of the films made in the industry. Music has been a part of Indian cinema since the first audio movie. “Alam Ara” included seven songs. The movie “Indra Sabha” from the 1932 included 69 songs. While 10 musical numbers in a film wasn’t unusual in the past, four to six are more typical today. Music composers in the Indian movie industry are as important as directors and producers. The songs played in movies have been influencing the music business and pop culture for decades. An interesting fact about the songs in Indian movies is that they are played as a background sound, rather than part of the dialogue. They are sung by professional singers and lip-synced by the actors. But since the lyrics and choreography are carefully synchronized, the viewers are left with the impression that the song is a part of the act, as it would be in a traditional theatre musical. The style of Bollywood movies has made an impact even on Hollywood productions. Various internationally successful Hollywood movies, like “Moulin Rouge” and “Slumdog Millionaire” have been inspired by the style and structure or the stories in Indian movies.
Piracy of films is one of the important and trickier challenges faced by the industry. Filmmaking is one of the most creative collaborative efforts. However, distribution of films was a major issue. The lack of film viewing options and high pricing in multiplexes are reducing their existence outside the metropolis and thus the viewer’s fall for pirated versions of films. The government is finding difficult in piracy of the movies. The government suffers crores of money from piracy.
- • The need of good writers is also of great importance. There is a need to find and preserve good writers from around the country to tell the countless tales through cinema.
- • The need to give importance to local film industry and producers. The big budget production houses acquire the local firms and there is little space for them to flourish in this ever increasing and competitive environment as most importance is given to profits above all.
- • Most production houses are only focused on earning profits, thus not providing opportunities to new directors and writers to try out new content.
There has been a lot of improvement on the technology forefront while making a film in terms of quality, realism and visual effects.
In comparison to the hand painted backdrops which were used earlier, now seeing entire sets recreated using only computer-generated imagery is something that is fascinating.
The quality of movies, the quality of action sequences and introduction of superhero films in India is only possible because of technological developments Bollywood has adapted.
Way back in the 1930s, film sets were minimal but looked extravagant; set pieces were visibly flimsy, polystyrene-like constructions, windows had views that were painted onto solid walls or large sheets of paper.
Distributor are one of the key players for deciding the prices of the movies. The marketing and promotion of the movies also adds up to the cost of the movie.
India's Central Board of Film Certification (CBFC) commonly known as the Censor Board is primarily meant to previews films, including trailers, short films and documentaries that play at cinemas. • U – Universal: Everybody can watch it without supervision. • UA – Universal with Adult Supervision: Kids can go see it, but they need to be with a parent or adult. In these movies, there could be some sexual innuendo, some tame sex scenes, some blood, etc. • A – Adults only: One needs to be 18 years of age to see this. Disturbing themes lie ahead, so does brutal violence, blood and gore, intimacy as well as drugs. • S – Specialized: This movie is not for the public. An S-Rated movie might be something like a documentary for doctors that shows an autopsy.
In order for a movie to get any kind of public screening, it must have been approved by the CBFC.
Other common rules include and is similar to most of the other industries; somewhat
• Don’t harm any children, don’t beat them or kill them.
• Don’t harm any animals.
• No racism, derogatory terms or bullying of minorities.
• Don’t glorify smoking, drinking or drugs
• No gratuitous violence, blood or gore.
• Showing abuse or ridicule of physically and mentally handicapped persons.
• No sexual innuendo. Innuendo is everywhere. Not to mention that the song-and-dance numbers are often a placeholder for “Now they’re having sex” complete with seductive dance moves. And everyone’s fully aware of it, from what research has shown.
• No rape, no fetishes, no sex unless absolutely necessary and vital to the plot.
• Inappropriate dialogues will be muted in the film instead of being beeped.
Other Key Market Trends
Bollywood industry is moving towards animations and high resolution graphics. This movies are getting high demand with the audience. People are attracted towards science and fiction movies as well as historical concept.
Market Size and Forecast
In 2012 India was by far the largest movie producer worldwide. With more than 1.6 thousand films, the output was larger than that of China and Japan (ranked second and third, respectively) counted together. To compare, North America (the United States and Canada) produced 476 movies in 2012. According to India's censor board, more than 1600 films were produced in the country in 2012. Even in India, Bollywood is not the biggest industry in terms of output. Last year, more films were produced in Tamil (262) and Telugu (256) than in Hindi (221). In 2013, the Indian film industry generated 1.68 billion U.S. dollars out of its total revenue of 2.07 billion from overseas and domestic box office collections. As India’s population amounted to 1.24 billion inhabitants in 2013, an average person went to the movies 2.18 times that year. By 2016, revenue is expected to reach $4.5 billion. Bollywood gross receipts have almost tripled since 2004.
Mumbai, India’s entertainment capital and a ticket to Bollywood, is one of the most prolific and major centres of film production in the world.
Bollywood is not a name for the Indian filmmaking industry; it is a name for the country's Hindi film industry situated in Mumbai. Films are made in various other languages in India, and each language's industry carries its own name (such as "Tollywood" - the name that was used to refer to the cinema of West Bengal.)
Bombay (Mumbai’s old name) became the centre of India’s Hindi cinema industry when the Lumiere brothers, who came there for the first time in 1896 to introduce their creation- the cinematograph. It was followed by six short films by these cinematic pioneers.
The Indian mind was put into the industry by portrait photographer called Harischandra Sakharam Bhatavdekar who made Indian ‘motion picture' history. His short ‘reality’ film screened in 1899 was called The Wrestlers and was a simple recording of a local wrestling match.
Now Bollywood has begun to fully grasp the capabilities of visual effects in feature releases.
Special Visual Effects (VFX)
In filmmaking, visual effects are the processes by which imagery is created and/or manipulated outside the context of a live action shot.
Showing something extraordinary, blasting a train, blasting a whole building have been possible only because of visual effects technologies.
Computer Generated Images (CGI)
CGI is a subset of VFX and is used to generate image out of thin air and get pasted or imposed in the scene. Computer graphics software is used to make computer-generated imagery for films, etc.
It is almost impossible to show a thousand people in a crowd or in a war. Indian filmmakers used to give Rs.100 to villagers to play crowd but now a huge crowd can be made with computer imagery.
Using new technology to create music can also be beneficial; can simulate classical as well as modern pieces.
Distribution Chain Analysis
The chain of people included while making a film are the production houses, distributors and the exhibitors. The producers put in their money in the films, after that distribution rights are given by the producer to the distributors and from them it is send to the respective exhibitors for showcasing it to the people. Producers also give the cable and satellite television rights to local channels and it also forms a part of their revenue.
Hollywood has and will remain the biggest competitor of Bollywood. There are many film industries in India of which “Bollywood,” is the most well-known globally; however, Hindi films comprise about 20% of the total number of films produced in India, with an equal number [and sometimes more] of films being made in Telugu and Tamil every year. When all of the films made in all of the languages are tallied up, that is what makes India the largest feature film producing country in the world; Bollywood doesn’t make 800-1000 films a year, it makes approximately 200 or so a year.
However the local film industries are also giving Bollywood a tough run for their money such as Telugu cinema, also known by its sobriquet Tollywood, is a part of Indian cinema producing films in the Telugu language, centered around the southern Indian states of Andhra Pradesh and Telangana, based in the Hyderabad.
For instance the southern industry produces more films than Bollywood. It can be said as a competition in an industry within an industry.
The neighboring Pakistan film industry is also flourishing.
Key Market Players
The key players of the Bollywood industry are the distributors of films or production houses. Distribution is the integral part of the Movie Business, it is the way a financier or a film producer gets back their returns.
These are the front runner production houses of Bollywood - Yash Raj Films, Rajshri Productions, Eros International, Vinod Chopra Films, Phantom Films, Reliance BigPictures, Dharma Productions.
Despite odds, the film industry has been constantly growing. The budgets, the scale of operations and the skillsets needed are constantly expanding. For now there is no looking back for Bollywood. The industry will keep on thriving with increased investments in the future and will keep entertaining people.
Cinema in India remains the single largest entertainer to date. And despite technology such as Direct-to-Home TV bringing the movies straight into the living room, the marquee still rules.