Until recently, whopping budgets and skyrocketing star prices were the order of the day. There have been a record 157 releases this year, and 95 per cent of them have bombed. Last Thursday, for Bakrid, six small-budget movies were released, including the critically acclaimed Kuttram Kadithal and Kirumi , but all of them flopped.
This has sent shock waves across the industry, and filmmakers have tightened the screws. Television channels have stopped buying new films, which I have discussed in detail in this column earlier. At the moment, they are buying selectively, at throwaway prices. In fact, most producers have realised that they have to make films bearing in mind that return on investment is only from Tamil Nadu theatricals.
The lucrative overseas and rest-of-India market is only for star films. A film like Kuttram Kadithal or Kirumi does not get a theatrical release outside of Tamil Nadu. For the first time ever, the producers of Kuttram Kadithal are releasing their film online merely three days after its theatrical release — on Herotalkies.com, a website that provides a legal viewing option for audiences living outside India.
The market feels that the latest Tamil films will soon be legally available in India online or in the DVD format 72 hours after its theatrical release. So far, DVD and online rights for Tamil films were procured by television channels when they purchased the satellite rights. The channels did not allow DVD or online release in India before the television premiere of the film.
Meanwhile, there has been a marked shift in the way films are being made. Many mid-level heroes have cut their salaries or have started working on a profit-sharing basis. Producers who have been making offbeatcinema (like Elred Kumar who made Yaamirukka Bayamey ) are now more open to working with new actors and technicians who are just looking for a break. Three films made on a shoestring budget — Strawberry , Maya and Trisha Illana Nayanthara — will recover their production costs from Tamil Nadu theatricals alone.
Budget is the keyword as producers are trying to keep the production costs low. A producer like C. V. Kumar who has made critically acclaimed films which were also box office hits is turning director, so that he will be in a position to keep the budget of the film on a tight leash. With the revenue from the sale of satellite rights looking bleak, more and more producers are echoing the mantra that actors’ salaries and producers’ share will have to come from the profits accrued from the sale of theatrical and other rights.
Ace director Selvaraghavan, star Silambarasan and producer Siddharth Rao are making their new action film, Kaan , on a profit-sharing basis. Rao is funding the cost of production and at the time of release, he will sell the film area-wise and share profits with the director and hero. It is the way forward, as seen by the phenomenal growth of the Telugu film industry, where all top stars are working on profit sharing. If top Tamil actors are reined in and agree to work on a profit-sharing basis, it will be a big boost to the financial stability of the industry.
Producer Elred Kumar has made Ko 2 on a very reasonable budget. Reportedly, he has made the film at one-third the cost of his previous big-budget film, Yaan , which bombed at the box office. Ko 2 features Bobby Simhaa, Nikki Galrani and Prakash Raj, and is directed by debutant Sarath. The music of the film by debutant Leon James was promoted in a unique, cost-effective manner. The songs were released online and a music preview was hosted for select online and social-media writers, without going for a regular big-budget audio launch.
A spokesperson of Sony Music said: “Leon James has provided some foot-tapping numbers which will reach the target audience. From now, we are also looking at encouraging fresh talent and acquiring music labels at a reasonable price.”
Meanwhile, keeping in mind the rapidly falling profits, several production houses have decided to cut down on the budget for marketing and promotion. Recently, at a closed-door meeting, some members of the producers’ council wanted action to be taken against the production company AGS for aggressively promoting and going over-budget in promoting their super hit, Thani Oruvan . Archana Kalpathi, CEO of AGS, tweeted: “Hearing reports that AGS has been banned from producing movies for overspending on promotions for Thani Oruvan . Shocked!” The latest we hear is that the council and the producer are trying to sort out the issue.
Producer P. Madan of Escape Artists maintains that these tough times will initiate smart spending. Madan says: “Spiralling star fees and astronomical movie budgets are hurting the industry. This will come down. The financial crisis could also bring back good sense and respect for the craft of filmmaking, in which budget is as important as content.”
