TV Channels play wise and bank on Satellite Rights of Movies

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Visiting the theatres is a costly affair; people spend a lot of money to watch recently released movies. Plus, the additional cost of food in theatres is making life really difficult for some people. However, there is some relief for these people that comes from the Idiot Box that is the only source to watch newly released movies that have spent their time in the theatres. TV channels have realized that there are many people who don’t wish to waste their money by visiting theatres; they prefer watching movies from the comfort of their home. Therefore, they have churned out an easy way by purchasing satellite rights of Bollywood movies.

Types of Satellite Rights

Firstly, let’s understand the term satellite rights. Satellite rights are the right a movie producer gives to a TV channel to broadcast the film. Now, there are two types of satellite rights, one is pay TV and the other is Free TV. Pay TV is the channels for which the consumer needs to pay and Free TV is for which the consumers don’t have to pay as it’s free. When it comes to talking about benefits, the producer earns very good revenue once he sells film satellite rights of movies. Therefore, the producer has the upper hand always.

TV channels see a lot of wise money making tactics when they approach a film producer. However, it’s a win-win situation for both the parties because the broadcaster gets viewership on his channel and the movie producers earns quite a hefty amount by allowing a channel to show the movie. The deal is then set for a period of time, after which the channel can’t show the movie, but most of the time, they extend the contract.

Cracking that Perfect Deal

Coming to making the right moves at the right time, TV channels know the future. They know that if a particular movie has amazing star power, then it will definitely click with the audience. Therefore, they leave no stone unturned in grabbing a successful deal. A movie such asM.S Dhoni: The Untold Story‘ would have a more powerful impact on the audience, then ‘A Gentleman that might have limited viewership.

With digitization coming into the limelight, TV channels are gaining a sort of a new strength that makes their position in the industry stronger than before. With HD quality movies being displayed at home, who would want to spend extra money in theatres. And therefore, even PAY TV market has risen to quite an extent.  According to market estimates, TV penetration is going to reach an all time high of 80 percent in the next few years. Therefore, TV channels will buy more film satellite rights that have something unique to offer to the viewers.

Also, there is a growing audience for dubbed movies and the TV channels have capitalized on it. They have scanned the behavior of the consumers, who like watching these dubbed movies because there is a lot of action attached to such movies. Hence, channels have bought the rights of such films because they have a wider audience.

Competing with New-Age VOD

Although, the demand for VOD is ever increasing, TV will not be majorly affected by it. TV Channels have got the trump card of pay TV which the audience will never be able to give up as these are not available anywhere on other platforms. With the emergence of digital technology, things are looking really good for satellite TV. However, it’s very important for TV channels to ensure they don’t lose their audience and that’s why innovative and creative content needs to be pushed.

For now, movie producers and TV channels are getting along just fine as they have mutual benefits from each other.

We are experts and researchers from the domain of film distribution, content acquisition, copyrights acquisition and content rights. We keep up with the changing trends in the industry to present insights and information pertaining to a wide array of interesting topics from this domain.

Team Ultra

We are experts and researchers from the domain of film distribution, content acquisition, copyrights acquisition and content rights. We keep up with the changing trends in the industry to present insights and information pertaining to a wide array of interesting topics from this domain.