iWorld

Focus shifts to online streaming for Eros

https://www.indiantelevision.com/sites/default/files/styles/smartcrop_800x800/public/images/tv-images/2017/12/11/eros.jpg?itok=fjYQluSk

Mumbai: Production and distribution company Eros International no longer wants to be a film studio but a digital content company.

Listed on the BSE as well as the NYSE, Eros is reducing its dependence on box office and is focussing on its online video streaming platform Eros Now instead. “Over the last two and a half years, Eros Now has tripled in growth. About 25% of our overall revenue comes from digital platform and in three years, digital will be three quarters of our revenue. We are moving on from being a film studio to a digital company,” said Jyoti Deshpande, group chief executive officer at Eros, which aims $260-270 million revenue this financial year.

Launched in 2014, Eros Now has 3.7 million paying subscribers, which the company expects to touch 6-8 million by March. Eros Now charges Rs 50 a month for streaming content and Rs 100 a month for downloading and watching the content offline. The company has commissioned six films which will be released directly on Eros Now.

As part of its strategy, Eros, which produced movies such as comedy drama Shubh Mangal Saavdhan, Rajkumar Rao-starrer Newton and Amole Gupte-directed Sniff in 2017, is now only investing in films which are low cost, have a high return on investment and are suitable for digital platforms.

Although the platform is film-heavy with Eros’s library, the company is working on launching one or two digital series every month. “We are doing a series on human trafficking starring Radhika Apte. We are also working on a comedy one,” said Deshpande.

Revenue from domestic theatrical releases saw a 1.6% decline in 2016 to Rs9,980 crore, down from Rs10,140 crore in 2015, according to the Indian Media and Entertainment Report 2017 released by lobby group Ficci and consulting firm KPMG, in March. The number of movies that were able to record a positive return on investment also declined from 27 in 2014 to 18 in 2016.

“On an industry level, the charm of big budget films with star cast appeal is going away as no such project is making money. Even the films which have been declared hit, there is nothing in the profit and loss accounts, when you actually look there. We were one of the first companies to call the trend,” added Deshpande.

Earlier this year, Eros suffered a brief liquidity crisis ahead of the maturing of its $85 million revolving credit facility (RCF) on 31 March. Standard and Poor’s (S&P) had lowered its long-term corporate credit rating on Eros International to “B-” from “B+” and placed it on credit watch with negative implications. The company, however, won a last-minute reprieve from creditors by executing documentation to extend the maturity of the RCF by six months.

Latest Reads

https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/24/par.jpg?itok=pVTu3lbO
Parliament panel issues summons to Google, Paytm on data privacy

MUMBAI: Google and Paytm have been directed to appear before a joint parliamentary committee on 29 October on the issue of data protection and privacy. Social media platforms Facebook and Twitter have also been called in to provide oral evidence. Meanwhile, e-commerce giant Amazon has refused to...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/23/zee5.jpg?itok=KZ1qgJSx
ZEE5 Global named ‘Digital Content and Streaming Service of the Year’ at the 2020 Telecoms World Middle East Awards for 2nd consecutive year

ZEE5 Global, the largest and most comprehensive digital entertainment platform for Indian content, has won the ‘Digital Content and Streaming Service of the Year’ award for 2020 at the Telecoms World Middle East Awards for the second consecutive year.

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/23/queen.jpg?itok=QwPHHznt
MX Player wins big at 2020 Asian Academy Creative Awards

MUMBAI: Streaming platform MX Player has won big at the 2020 Asian Academy Creative Awards. Its original web series Queen, starring Ramya Krishnan, bagged the best original program by OTT, while Times of Music brought home the trophy for best music/dance program.

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/23/v.jpg?itok=uH6xibtV
Tom Ryan takes charge as ViacomCBS Streaming president & CEO

MUMBAI: ViacomCBS has restructured its global leadership, with the biggest change-up coming in the form of Pluto TV CEO Tom Ryan being appointed president and CEO of Streaming. In his new role, Ryan will overlook CBS All Access, which will relaunch as Paramount+ in early 2021. He will continue to...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/23/bimal.jpg?itok=GpeMIGDo
FIFS names Bimal Julka as new chairman

MUMBAI: The Federation of Indian Fantasy Sports (FIFS) has appointed Bimal Julka as chairman. In his new role, Julka will work closely with all stakeholders to further strengthen the operating standards of the Indian fantasy sports industry. Julka takes over from John Loffhagen, who served as...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/23/eros.jpg?itok=100GnU2Y
ErosNow gets into a mess with provocative social media posts

These are sensitive times. Brands and influencers have to tread carefully, almost as if they are walking on egg shells. Streaming service Eros Now learnt it the hard way over the past couple of days.

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/22/paul.jpg?itok=3i-HPdL5
Synamedia appoints Paul Segre as CEO to spearhead next growth phase

MUMBAI: Video software provider Synamedia has brought in Paul Segre as CEO, with immediate effect. Segre takes over from departing CEO Yves Padrines, who has overseen the company since its inception in 2018.

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/22/watcho.jpg?itok=3pUPViZI
Watcho launches interactive Quiz contest ‘Watcho Aur Jeeto’ for its subscribers

Committed to delivering an innovative and engaging content experience to its users, Watcho, Dish TV India’s OTT platform has announced the launch of ‘Watcho Aur Jeeto‘- an engaging quiz contest. The contest will be running daily with additional bonanza offers on weekends. Each quiz will have a...

iWorld Over The Top Services
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/22/zee5_800_new_1.jpg?itok=yln0_PLz
Zee5 partners with Meghbela Broadband to strengthen ISP distribution

MUMBAI: The Covid2019 pandemic has changed consumers’ viewing habits, with a lot of people migrating to the OTT space for at-home entertainment in the last few months. Zee5 has seen over 3X growth in its consumer base and it is now looking to expand beyond the traditional DTH and Cable TV. To this...

iWorld Over The Top Services

Sign up for our Newsletter

subscribe for latest stories

* indicates required