Sankranti releases lead to lower OTT offers: Here’s why
During the COVID-19 pandemic, OTT platforms became a dominant form of entertainment as theaters shut down. With increased demand, many filmmakers turned to OTT platforms, which were willing to pay high prices for new releases. This allowed producers to sell films at a profit, with some even skipping theatrical releases altogether in favor of OTT.
However, the landscape has shifted post-pandemic. OTT platforms are no longer offering the high rates they once did for digital rights. Not all films are being bought, and those that are sold often fetch lower prices than before. Additionally, OTT platforms now impose more conditions on producers, which has led to frustration, especially for those who raised production budgets in anticipation of higher returns from digital sales.
Release dates have become a significant factor affecting the rates offered by OTT platforms. For example, films scheduled for release during festive periods like Sankranti often see lower offers. This is because audiences tend to prefer watching movies in theaters during these times. As a result, films like Game Changer and Thandel that were moved from Christmas to Sankranti faced reduced digital rights rates.
Despite this, many producers continue to target festive releases, hoping that strong theater earnings during these peak seasons will offset the lower digital rights deals offered by OTT platforms.
