Viacom 18 CEO Ajit Andhare Explains Why Theatres Will Be Back In Vogue Soon

Films like went for simultaneous releases on digital platforms and theaters. Is such an option viable for a market like India? Will digital platform become bigger than theatres? Are single screens under threat, given the shift to digital platforms over the past one year? Viacom 18 COO Ajit Andhare believes the shift to digital platform is a mere response to the current situation.

“It is not like everybody abandoned the traditional theatrical release. The idea is a response to a critical situation, it is like making an opportunity of a crisis. We also need to understand who opted for such simultaneous release. Mostly, these are companies that also own, and have the task of building content for OTT. These media companies are chasing the target of building their digital platforms. Theaters are not widely open. So, whatever titles these companies have, bringing them additionally to their OTT platforms gives a massive reach to the content and adds to the platform as well,” he says.

Mr Andhare reminds us that most of the major releases have been held back and postponed by studios. It is the second category of films chosen for release during the pandemic, he adds.

In a world where you have multiplex chains like INOX and PVR that offer premium luxurious experience, and, on the other hand, the cost-effective option of watching films in the comfort of your own home, why would a consumer choose single screen movie theaters? Asked if single screens face a bigger threat in the context of such a shift, Mr Andhare says they have been under pressure even before the pandemic struck the industry.

“The premium, experience-seeking consumer will opt for a multiplex and those looking for value will prefer digital. In fact, they also have the option of satellite TV, which we tend to forget these day,” he says. “The penetration of satellite TV far outstrips that of single screens. I think multiplexes need to find growth avenues in tier two and three cities in India to lure the premium customers. The value chasing customer is harder to please. It is a game of convenience versus experience and convenience is catered by piracy, cable and OTT.”

He also expressed hopes that bigger films may see theatrical release in two months, giving single screens a much-needed boost.

Meanwhile the Indian government has allowed cinema theaters to operate with 100% capacity and issued guidelines to ensure social distancing in wake of the ongoing pandemic.