Sharing System Vs Hiring System: Ustaad Will Make A Point

Recently, the South India Exhibitors Association has decided to release films from March 15th only on a percentage basis, but not on a hiring system. And the first biggie to arrive under this system will be “Ustaad Bhagat Singh”; however, as the makers made some agreements prior to March 15th, only a part of the release will be on a percentage basis. Here’s an interesting talk amidst this happening.

All the leading exhibitors, mostly single-screen owners, are now proposing a ‘percentage’ system of sharing the revenues, rather than giving the theatres on a rental basis. Giving on a rental basis will bring fixed incomes to exhibitors, but a hit film would make more revenue for the producers, while exhibitors never get any single penny extra. However, in the percentage model, if the footfalls are high, exhibitors will get more income. As Mythri Movie Makers has their own theatres in Nizam, surely the percentage/hiring system won’t be applicable in this region, but in other regions, the distributors might get a taste of the reality of the new system.

Reports are coming that they are now going to calculate the numbers in his way for “Ustaad Bhagat Singh,” though the film is releasing on the previous pre-sale model. After looking at how much they would have earned on Ustaad through the ‘percentage’ model, like how YouTube earns its money by taking a cut from advertiser money when it comes to giving content creators, these exhibitors will decide what percentage they would want from big films.