Mukesh Ambani is now planning to release one movie per week under First Day First Show service (FDFS) offer of Reliance JioFiber. Jio Studios, the content generation arm of Reliance Industries would be responsible for the production and release of 52 movies per year. Reliance Jio would be releasing the movies in 6 to 11 languages. Jyoti Deshpande, President, Chairman’s Office, Media and Entertainment Business, Reliance Industries (RIL) gave a glimpse of the implementation plan and strategies for the First Day First show offer in an exclusive interview to Business Today.
Jio Plans to operationalise First Day First Show service within 2-3 years of time
Jio initially plans to scale up the First Day First Show service in an incremental fashion within two to three years of time. As mentioned earlier, Jio Studios would play a major role by scaling up the in-house movie production. The FDFS service would be rolled out completely once Reliance Jio achieves a20 million broadband interconnected homes and after producing about 10-15 movies. Deshpande outlined three strategies and sources for the production of movies. The first one involves developing their own script and producing the movie. The second source is to co-produce the movie along with other production houses, and finally, the third source involves the acquisition of movies from third parties.
Success stories of movies “Stree” and “Luka Chuppi” paves the way for new distribution strategy
Deshpande also cited the critical shortage of movie screens in India that are pivotal to the expansion of box office revenue. As compared to China with 35000 screens, India has a total of 5000 screens. So, Reliance Jio now plans to expand the industry by digitally connecting homes through optical fiber. She also quoted the example of two movies Stree and Luka Chuppi, which tasted success at the Box office. The two movies are produced by Jio Studios, and Stree raked in a whopping collection of Rs 150 crore revenue compared to the production investment of Rs 15 crore.
Reliance Jio followed techno analytical approach instead of following a conventional distributional strategy of marketing the movies in areas with more screens. Initially, Reliance Jio marketed the movie among a broad base of Jio customers and later released the movie in locations that received a maximum response for its trailer. It has also leveraged one of its platform Book my Show to sell tickets. The reverse strategy worked well and is the sole reason for the success of the movie Stree.