XLRI ENTERTAINMENT YASH RAJ FILMS

CASESTUDY
LESSONSINMARKETINGEXCELLENCE
YashRajFilmsPvt.Ltd.
June2011
Whataninsanebusinesslm-makingis!

Ittakesaslongtomakealmasitdoestomakeababy,
Itsmoreexpensivethanmaintainingawife,
Andlastsshorterthanaone-nightstand.

-VindiBanga,formerChairman&CEO,Unilever
ThiscasestudyisaboutgeLngthemostincrediblerstdate!
THEWORLDSYOUNGESTNATION
50%of1.2billionstrongpopulaConisunder35*.So
youthisnolongeraniche.Itsamassniche!Notonly
thesheersize,butalsoitsinuenceishumongous.
YouthdriveprePymucheverypurchasedecision
acrosscategories.NotjustconvenConalyouth
categorieslikeapparel,butalsoconsumerdurables,
automobiles,hell,evenhealthinsurance.

THESINGLELARGESTMOVIEGOINGAUDIENCEIN
THEWORLD
83%ofcinemagoingaudienceacrosstheyearis
between15-34**.Sounlesswecangetyouth
audiencesexcitedaboutalm,chancesareitwont
evenopen!

NOYOUTHFILMS
Inthewest,theteenickisagenrebyitself.Doa
Wikipediasearch,youllhaveover300Ctles.Butthat
genredoesntexistinIndia.Thereareveryfew
focusedyouthlms.Yes,severallmsmaystaryoung
actors,butspecicallypickingsubjects/themes/
storylinesandprotagoniststhatareyoungdont
reallyexist.Especially,inthemainstream,commercial
cinema.Youcancounttheselmsonthengersof
yourhand.JoJeetaWohiSikandar,WakeUpSid
*IndianCensusReport,2011esCmate **FICCIFramesIndianMedia&EntertainmentReport2011
YASHRAJFILMS
Indiasleadinglmstudio.360degreelm-
makingwithproducCon,stateoftheart
infrastructure,shootoors,soundstudios,mix
rooms,postproducConfaciliCes,oneofthe
bestdistribuCon[presencein12outof13
IndianterritoriesbesidesUS,UK,UAE],home
video,music,markeCng,design,talent
management,licensing&merchandisingand
more.Firsttobreaknewgenresofstorytelling
beitromance,capers,animaCon,disaster
movies,bikermoviesormore.

Y-FILMS
Astudiolaserfocusedonmakinglmsof,for&
bytheyouth.Plaiormforfreshtalent,waiCng
toexplodebothinfrontofandbehindthe
camera.Projectsgreen-litbasedonstrong
youthinsightsandasenseoffreshnessand
madnesscoveringgenresrangingfromchick-
icks,capers,rom-coms,gadgets,musicals,
buddy-lms,thrillers.Anaggressiveslateof3
lmsperyearonaverage.ThegoalistoturnY-
Filmsalsointoastrongyouthbrand.Recently
alsolaunchedalineofmerchandisingunderthe
brandnameY-Stu.
Y-FILMSTARGETAUDIENCE
CORE-Content:18-24,SECA,Mumbai-Delhi

PRIMARY-CommunicaCon:15-24,SECAB,Top10ciCes

SECONDARY-Deliveries:15-34,SECAB,Top40ciCes

Y-FILMSRELEASE/DISTRIBUTIONSTRATEGY
Top40-50ciCes
400oddscreens
Acrossallplexesandkey/premiumsinglescreens

COSTMODELFORY-FILMSPROJECTS
CostofproducCon:INR5crores
DistribuCon&MarkeCng:INR4crores[1+3]
Total:INR9crores

TARGETBASEREVENUES
DomesCcbox-oce:INR12-15crores
Cable&Satellite:INR6-8crores
Ancillary[homevideo,digital,merchandising,in-lm,etc.]:INR2crores
Total:INR20-25crores[grossnetaboutINR10-15crores]

OpeningweekcollecConsaccountforasmuchas50%oftherevenues
ofbox-ocecollecConsforamovieatamulCplex****hencethebig
opening/frontloadingofrevenuesisveryessenCal.
****IndustrydatafromInvestorpresentaConsofPVR,Inox,Bigcinemas,Fame,Cinemax
MUJHSEFRAAANDSHIPKAROGE
Y-FilmsproducCon#2
Arom-comsetagainstthebackdropof
socialnetworking
Vishal[lukkhastudentwriter]&Preity
[khadoosstudentphotographer]studyin
thesamecollege,buttodealwiththeir
owninsecuriCes,takeononlineFB
idenCCesofRahul[Universityrockstar,
VishalsBF]&Malvika[Hotfashion
designer,Preitysroomie],towoothe
other...
Theyhateeachotherinreallifebutfallin
loveonline!
Introduces4hotnewfacesandoneof
IndiastopIndiemusicians,RaghuDixit
withaDesi-Rocksoundtrack[5songs]
DirectedbyNupurAsthana
MFKCAMPAIGNTIME-LINES
Pre-release:4-6weeks
Musicrelease:3-4weeksbeforelm
release
Postrelease:2weeks
Theatricaltrailer:hPp://bit.ly/jxwZwg
POSSIBLEDOMESTICBOXOFFICEREVENUEPERDAY
AssumpCons
Totalnumberofscreens:400
Averagenumberofshows/day:5
Averagenumberofseats/show/screen:200
Totalnumberofpeoplewhocanwatchthelminoneday:400*5*200=4L
AveragerateperCcket:INR100
Calculatedthesameby%capacityllperdayintablebelow,e.g.:
Totalfooialls=100%capll=4Lfooialls/75%=3L/etc.
Grossbox-oce=4LxINR100[rateperCcket]=400L/75%,etc.[andless25%isnetboxoce]
!
!"##$%$ &''%$ ()%$ )'%$ *'%$ ++%$ ,)%$ ,'%$ &)%$ &'%$ )%$
"#$%%!&$'!
$(()*+!*$,,-.!
/00! 100! 200! 340! 312! 300! 50! 40! /0! 20!
6+7!8.9.!!
:,+%%!2;<=!
100! 22;! 3;0! 320! >>! ?;! 40! /;! 10! 3;!
@$7A,!
($$7(A,,%!
/B! 1B! 2B! 3.4B! 3.12B! 3B! 50C! 40C! /0C! 20C!
D)EF#+%!)-!G6H!,ACI%!
!
KEYTASKS
DesignaMar-Commstrategytodeliverakick-assrstdate[forMujhseFraaandshipKaroge]
A1-2-3openingweekend
INR1-2-3croreFri-Sat-Sun=INR6croreweekend
DesignapromoConcampaignforthelm
CoveringposiConing,coreideaforadverCsingcampaign
IdeasforacCvaCon,drivingfooialls
Specicfocusfordigitalmedium
Anyideasforstunts/promoCons
Recommendedbyphase[pre-release,post-release]
INR3croresisthebudgetavailable
KEYGROWTHDRIVERS
GrowingacceptanceofnichemovieswhichdontnecessarilyhaveA-liststarsfronCngthembutaremoreconceptdriven
Digitalformathelpingbringdownoverallcosts
MulCplexeswhicharealsoopentoshowcasingdierentcontentandcanbeusedtotargetaudiences
AlternaCvemeansofdistribuCondigital,payperview,etc.growing
Ancillaryrevenuestreamsopeningup,reducingdependenceontradiConalbox-oce/satellite
Smarter,cheapermarkeCngsourceslikesocialmedia,etc.helpingyoureachaudiencesmorecost-eecCvely
ExhibiConwithnumberofscreenslikelytodoubleanddigitalscreensbringingcostofprint/distribuCondownsubstanCally

KEYCHALLENGESFORFILMSINGENERAL,YOUTH-FILMSINPARTICULAR
Non-starvehiclesfacechallengeforopening/aPracCngaudiences
HighdependenceonfewerrevenuesourcesdomesCcbox-oce+satellite
OverseasmarketholdsminimalpotenCalfornon-starvehicles
Homevideo/musicprePymuchdeadorhasshownsubstanCalde-growthduetopiracyandshivtodigitalsales
CompeCngentertainmentformats
CompeCConfromsporCngevents,parCcularlycricket&IPL
Televisionandlargeformatshows,mulCpleopConsofchannels,programsandpresenceoflmstarsalsoonTV
Hollywoodlmsnowalsoworkingwellwithdubsbesidestheoriginals[recentsuccessincludeFast&theFurious5andPirates4
whichtookinopeningweekendbox-ocecollecConsofINR12.5and14.5croresrespecCvely***]
Piracy
EsCmatedtoaccountfor600-700mnunitsalesforDVDeachyear,spreadacross10,000vendorsacrossIndia.Thenumberof
onlinepiratedcontentdistribuConupfromunder5,0003-4yearsbacktoalmost20,000now**
Limitedwindowsforrelease/limitedshelflifeforlms
Aggravatedbyshraadhperiod/ramzaan/cricket-IPL/exams
HigherquantumoflmsreleasingandlimitedsupplyofexhibiCons[weareahugelyunder-screenedmarketcomparedtoglobal
benchmarks],theresalimitedshelflifeforlmsandtheneedtoperform/collectthebulkofrevenueswithintherst2weeks
itself[aspressuresonmarginsincrease,thereslikelytobearenegoCaConinrevenuesharingpaPerwithmulCplexes]
MounCngcostofmarkeCng
MediabuyshavebecomethatmuchmoreexpensiveacrossTV,print,outdoorandseveralnewconsumertouchpointsandits
becomethatmuchhardertoreachtheconsumeralsowithmorepeopleshouCngforaPenCon
Developmentofnewtalent
Toomuchdependenceontoofewpeople[limitednumberofA-liststarsall45+,theirmounCngfees/successfuldirectors]
Notenoughformallm-makingtrainingasadisciplinetoinduct,introducefreshtalentbothon&o-screen
***Box-oceIndia **FICCIFramesIndianMedia&EntertainmentReport2011
PRIORITYMARKETSFORDOMESTICBOX-OFFICEREVENUES*****
*****YRFdistribuCon
!"#$%"&' !()&(#*' +,)-'
8ombay ClLy 8ombay ClLy 1
uelhl-u.. uelhl ClLy 2
Cu[araL Ahmedabad 3
un[ab Curgaon 4
uelhl-u.. nolda 3
Cu[araL 8aroda 6
Cu[araL SuraL 7
1hane 1hane 8
uelhl-u.. Lucknow 9
un[ab Chandlgarh 10
8a[asLhan !alpur 11
nlzam Pyderabad 12
Mysore 8angalore 13
C.l. lndore 14
uelhl-u.. kanpur 13
8engal kolkaLa 16
MaharashLra oona 17
un[ab Ludhlana 18
un[ab !alandhar 19
C.. nagpur 20
Mysore 8angalore 21
!
MaharashLra naslk 22
uelhl-u.. uehradun 23
un[ab !ammu 24
8a[asLhan A[mer 23
8a[asLhan 8lkaner 26
8a[asLhan !odhpur 27
SaurashLra 8a[koL 28
nlzam vlshakhapaLnam 29
uelhl-u.. Agra 30
C.l. 8hopal 31
1amll nadu Chennal 32
Assam CuwahaLl 33
Mysore Mangalore 34
C.. 8alpur 33
Cochln Lrnakulam 36
nlzam LaLur 37
uelhl-u.. MeeruL 38
un[ab larldabad 39
nlzam Aurangabad 40
8lhar aLna 41
8lhar 8anchl 42
C.l. Cwallor 43
!
MOVIEPREFERENCEACROSSAGE-GROUPS
!"#$"%&'()* +,*-*
.#/&0*
+1$+2* 34$3,* 31$5,* 51$,,* ,1$1,* 11*-*
6.&7#*
8*6'9:#;<#*
<&=(&):>:&;*
58* 3+8* 5+8* 5+8* +48* 58* +8*
AcLlon ++ +++ +++ ++ ++ ++ ++
Anlmn/ klds +++ + + + + + +
Comedy ++++ +++++ +++++ ++++++ +++++ +++++ +++++
uocu/ ShorLs - - - - + + -
Lplc/PlsLorlcal - - + - + + +
lamlly drama + + + + ++ ++ +++
Scl-fl/ lanLasy + + + - - - -
Porror + + + + + + +
ollLlcal/
Soclal cause
- + + + + + +
8omance ++ ++ ++ ++ ++ ++ ++
Suspense/
1hrlller
+ + + + + + +
Source: uaLa complled by 8eLall AnalyLlcs Croup - 8lg Clnemas, across 33 clLles wlLh a
sample of 12,300+
!
Levelofpopularity[lowtohigh]/%preferenceofcine-goers
Below1%:-
1-10%:+
10-20%:++
20-30%:+++
30-40%:++++
40-50%:+++++
50%:++++++
MENTOR@Y-FILMS
AshishPaCl,Business&CreaCveHead,Y-Films:
ashishpaCl@yashrajlms.com