Gamification of Indian Movies (both regional and hindi) and TV serials are explored in the report. Business models and strategies for gamification is presented here.

1. Browne & Mohan
Rajani Sir, King Khan, Idiots, Saas, Bahu and
…..: Business models and gamification
strategies of Indian Movies and TV Content
This report is based on internship report by Akash Mohan, PGDM IIM Shillong, under the guidance of
Usha Murthy, Asst Consultant (Strategy & Marketing)
Copyright Browne & Mohan, 2012

2. The Indian entertainment domain is an apt target for
gamification because the content is largely based on
Introduction particular themes which a community of users can
Among all the sources of entertainment gaming has the identify itself with. Rajanikanth movies or Amitabh
maximum impact on its users across age and groups Bachchan flickers have mass appeal and some of the
because it has the maximum user engagement and can action oriented ones like Dhoom are quite amenable for
enable multiple level of engagement (from basic digress action gaming. Bollywood with its national and
to starter to a professional embellishment for a serious international foot prints, regional movies with their own
pro). Games have moved from card and arcade to newer fan clubs and across the globe diaspora following offer
devices and the content has progressed from simple steps major markets.
to complex algorithms that can imbibe high dynamics. Movie based games might sound like a new concept in
The trend of integrating game mechanics and game-based India but this concept is tried, tested and very well
learning into more and more everyday applications is accepted in western countries especially for Hollywood
getting very well accepted across different industries. This movies. The need for new digital marketing tools and
concept has been adopted by a wide variety of industries exceptional success of Hollywood games like Harry Potter,
ranging from education to entertainment. Gamification is Max Payne, Avatar etc. in India; has inspired the industry
the transformation of passive low engagement activity to to use online gaming as a must promotional tool for
a dynamic high user engagement and involvement Bollywood. Big blockbusters like Dhoom 2, Ghajini, Drona,
activity. By gamification, static low consumer touch Tees Maar Khan, Delhi Belly, Bodyguard, Ra.One, and Don
content is extended and enabled to be dynamically 2 are all perfect examples of how Bollywood is marrying
consumed and experienced at various levels based on online gaming. Games, to a considerable extent, have
complexity and depth of engagement. succeeded in increase the shelf life of movies and
The objective is to improve the overall quality of the enhance top of mind recall. They are advantageous to
outcome of the consumption and increase consumer producers as they create excitement and buzz around
welfare. For example, by gamification of educational movies, and help connect with the moviegoer. Ra.One is a
content, the learner from a passive rote approach good example of how the theme of a film was adopted
embraces learning by doing and learning by into a game and gave the player a realistic experience of
experimentation which helps in better understanding and being a superhero. UTV Indiagames launched the cross-
improved application of the concept. Video games are platform social game on Ra.One, accessible on all social
widely used in a variety of disciplines such as behaviour networking platforms like Facebook and gaming
modification, autism therapy, leadership skill building, platforms like Nokia Ovi, Android, Apple, and DTH.
and strategic analysis by organizations etc. The process of Indian film industry enjoys both domestic and
integrating game mechanics into applications to make international markets. While conventional international
them fun and engaging for users is referred as markets of US, UK, Canada and Middle East, continue to
Gamification. account for the bulk of overseas revenues; markets in

3. South Korea, Western Europe, Taiwan and Africa are The industry is still growing at a rapid rate and since at
gearing up for Hindi films. 2011 observed a strong “Go- present only 60% of the country’s population has access
East” phenomenon with Indian films doing well in Taiwan, to a TV set; the scope of growth is also significant. The
South Korea and China. growing television industry, introduction of new
technologies like digitalization, LED’s , 3D television etc.
The concept of gamification has also been successfully are some of the very positive signs for the developers as
extended to other entertainment platforms the most well as the production houses to carry on the relationship
prominent one being TV. Lately the gaming industry between Television and gaming forward.
witnessed a lot of games based on sitcoms which not only
increased the content recall for producers but also did What Indian content can be gamified?
well as independent titles. Games based on AXN X-files,
Gamification works by making technology more engaging;
WWE Raw, CSI, gaming series based on Nickelodeon’s
this is essentially done by moulding the content in such a
content etc. not only performed exceptionally well in
way that it becomes more appealing for the user
their local markets but were also well known among
compared to the original content. While many believe any
gamers in other nations. This concept of TV content
content could be gamified, the success could be high, if
gamification can be very well extended to the Indian
the content is:
television industry as it also has key features like story,
character and theme. These are the essentials for relating Dynamic: Players seem intrigued by content that
any content to gameplay. Moreover when analysed responds to their decisions rather than standing in place
according to the characteristics of gamification (dynamic, and expecting imaginations to fill in the gap. Hence, the
extensibility, personalization and compatibility explained content should be so designed that players get to play an
in the next section) television score some extra points active role in the course of the game.
over movie-based games (a tested market) especially in
case of being extensible and dynamic. Furthermore, the Extensible: Extensibility means that the action itself may
television content is usually series based and more into be simple, but there is scope to expand or embellish it to
implementation of franchise based model (compared to have many uses. Not all actions are equally extendable,
movie industry) wherein sequels and continuation of which makes finding the right ones challenging. However
show are stressed upon more than a new independent finding great extensions is the best way to achieve an
titles and this makes them way more extensible and elegant game design.
dynamic as compared to any movie-based content where
Amenable for Personalization: Participation is one of the
it is the onus of the developer to add these features to
hallmarks of new media, and games are no exception.
the game and extend its as well as contents life.
With the ability to personalize the game content, the user
The Indian television industry is the most prominent involvement in game increases and hence retention of
source of entertainment among the various available the users.
digital entertainment platforms and constitutes 45.2% of
Compatibility: The game should be so designed that it
the total entertainment industry revenue.
connects the player to the original content and hence
increase content recall.

4. Gaming in itself has 20 genres but since Indian gaming
industry is not developed, the developers here offer
limited variety to the audience. The prominent offerings
which do well in India are
 Cricket: Although not a gaming genre(falls under
sports),according to industry experts, anything
related to cricket not only gets immediate
attention from the audience but also sustains for
a longer duration, hence resulting in good
revenue. E.g. IPL fever launched by Indiagames
not only got popular with the gamers but also
bagged big in-game advertising contracts from
brands like Parle G and Volkswagen.
 Racing: Tired of bad roads and traffic, our gamers
do like to enjoy a smooth ride in virtual world
through racing based games. Wherein bike racing
has more acceptance as compared to car racing
games. E.g. NFS a car-racing game, which is
popular across all the gaming platforms.
 Action: Action movie and games both do well
with the Indian audience. And lately action movie
based games have also successfully developed a
market for themselves. For instance, games like
Ghajini, Ra.One, Agent Vinod etc.
Classification of movie genres on their gamifiability Business Models for Gamification
Development of any content-based game would involve a
variety of stakeholders, each of them performing a
specified role in the development cycle.

5. Following are the key stakeholders in a Bollywood/TV App stores are a developer-friendly source of content
based game distribution because of the favourable revenue-sharing
terms that they offer. Their economic value is aggregation
 Producer: Producers are the rightful owners of
and platform to increase reach. The current shortcoming
the IP rights, required for developing and
is their limited reach, as they only cater to the very small
publishing a legalized game. The IP rights play an
Smartphone section. Finally advertising companies are
essential role in borrowing characters, theme,
intermediaries that allow in monetization. The gaming
game audio and other elements from the original
industry in India works primarily on the freemium model,
content to the game.
wherein the developers earn money from secondary
 Game Developer: Developers are the people who
revenue-sources.
bring the game into existence. The development
model may vary from a service model to a The development process is not only affected by the
licensing or a revenue sharing model. Models stakeholders but also by many factors which have an
deciding the ownership and the sources of indirect impact on the revenue-sharing stream,
revenues. ownership, approach of development etc.
Intermediaries of gaming industry are players that help in Some of the prominent factors which play an essential
distribution, availability (or market makers) and revenue role in entertainment based games are:
generators (Spulber, 1998). On the distribution side,
Telco’s because of their reach offer distributional • Licensing: The IP owners for movie or TV content
advantages over other distribution channels like are the producers who usually charge a handsome
hardware/software distributors, electronic stores and licensing fee for any commercial use of their content. The
others whose presence is limited to Tier 1 cities at best. magnitude of this licensing fee has a significant impact on
Telecom companies with their reach are undoubtedly the the economics of the game. Licensing also involves
most efficient channel for distribution, marketing and aspects of platform and publishing which are required to
revenue collection especially for the online and mobile be worked out prior launching a game.
platforms, where there is no established retail channel for
• Revenue Sharing: Developing a game around
distribution. Although the developers often complain
movie/TV content would involve a variety of stakeholders
about their high revenue sharing terms (i.e. 65% of the
each playing a crucial role in the development &
total revenue), but telecos with their reach enjoy an
distribution process and hence expecting some monetary
upper hand over them.
benefit in return.
App store are emerging as the market places wherein
Key stakeholders of the whole development cycle are
they allow uploading of games onto their site, allow
Developers, Producers, Distributors/Publishers
search, discovery and download of the games by users for
(telecos/App stores) and a proper contractual revenue
a fee. They thus help in updating of content, aggregation
sharing model is to be there in place for them. Trust and
demand and market making activities.
monitoring would play a key role here.
• 7Complementary Role: Releasing online games

6.  Complementary Role: Releasing online games Publishing
prior to a movie release started out as a way to
The onus of publishing the content lies with the
market the film and create hype around it. But,
producers; they may do it on their site or involve a third
this is not the case anymore. With a proper
party to do it for them
revenue sharing model in place, production
houses look to earn money through tie-ups with a Benefits
gaming company. So the purpose of game
development has shifted from attracting eyeballs Less risk for developers as they have an assured
to incremental revenues. development fees. Producers not only market their
product but also receive the gaming revenue
Based on the above factors following are the
dominant business models which emerge: Economics of the Model
 Outsourcing Model Investment by 5-15 Lakhs (based on the
 Licensing Model producers quality of game)
 Minimum guarantee Model Investment by the 5-15 Lakhs ( if developing from
 Revenue Sharing Model developer scratch)
3-10 Lakhs (if modifying some
 Alliance Model
existing content)
Outsourcing Model 3-8 Lakhs (if development is
solely for feature phones)
A service-based model wherein a developer delivers a
Expected Life of game 3-4 weeks (assumed that the
content-based game to the IP owners of that content and
game is only been used as a
in return charges a development fees. The ownership of marketing tool)
the game as well as the IP rights lie with the IP owners, Break-Even downloads 35,000-50,000 (assumed Avg
producers in our case. for game earning per download is Rs.
30)
Initiation Examples Agent Vinod, Ghajini
Producers/IP owners approach the developers to develop
a game, which is based on their content. Licensing Model
The developers seeks the licensing rights for a particular
Development
content in order to make a game around its characters,
Developers develop the desired content in return of theme etc. The IP owners usually charge a premium
development fees. The content is later delivered to the amount as licensing fees, which can be as high as 10
producers Lakhs INR for a single title.

7. This approach is not prevalent as off now because Publishing
producers are not easily ready to give off their content
The content is the property of the gaming company and
rights nor is it economically viable for the developers to
pay such a high licensing fees, as it almost doubles the they have the publishing rights
total development cost. Benefits
Economics of Licensing Model Game developers become the legal owners of the IP
rights and are also the rightful owners of the game.
Investment by Producers Nil Producers receive a licencing fee plus some free publicity
Investment by Developers 5-15 Lakhs (for game
for their content
development dependent
on factors like quality, Economics of (Minimum-Guarantee) MG Model
reusing of old content,
platform etc.)+ 7-10 lakhs(
as licensing fees) Investment by Producers Nil
Total Average Cost of 18.5 Lakhs Investment by Developers 5-15 Lakhs (for game
development development dependent
on factors like quality,
Shelf-life of game 3-4 Months (since the
reusing of old content,
games would be character
platform etc.)+5-7 Lakhs(
based game)
as MG)
Break-even downloads 1,00,000
Total Average Cost of 16Lakhs
Example Hungama owns licenses for
development
many movies which can be
Shelf-life of game 4-6 weeks( since the games
converted into games
would be character based
game which have a longer
shelf life)
Break-even downloads Less than 1,00,000
Initiation Example Recent games like Ra.One
etc.
Gaming companies approach the IP owners in order to
acquire rights for their content.
Minimum-Guarantee (MG) Model
Development The gaming company pays the production house a
minimum guarantee in order to use their content for
Developers acquire the content rights and develop a gamification. The guarantee amount depended on the
game around the theme, characters and story of the lead time given, type of movie, production house, and the
content cast.

8. The IP ownership is retained by the producers while the This model is the most prevalent model as it is a win-win
game ownership lies with the developers with certain venture for the producers as well as the developers,
platform limitations. These limitations inhibit the because of the following reasons:
developer from selling the game to a third party or
publish at places apart from those mentioned in the  The model is more economically viable for
contract. developers as they get the partial gaming rights
without paying a huge licensing fee.
Initiation  The producers readily agree to this model as the
MG is almost of the same magnitude as the
Gaming developers approach the film/Sitcom producers
licensing fees and they retain most of their rights,
and promise them a fixed amount in exchange of limited
plus they get free promotion through the game.
rights for their content
Development
Revenue-Sharing Model
Developers have the permission but not the license for The revenue sharing model can take the following forms
developing a game around the theme, characters and based on the involved parties:
other movie related content
1) Revenue-Sharing between Producers and
Publishing Publishers/Marketers:
o Developers develop the game for a
They publishing rights for the content would already be development fee and give the same to
mentioned in the MG contract between the producer and the producers (outsourcing model).
the developers. Restricting the developers from o The producer has an alliance with a third
publishing content apart from places mentioned in the party for publishing and promoting the
contract game content, these third parties are
usually telecom companies or some
Benefits
marketing agency.
Game developers get whole of the gaming revenue. o Revenue sharing is so that the
Producers get the MG amount plus promotion of their distributors (telecos) charges around 65-
content 70% of the game revenue and producers
get 30-35% of the same.

9. 2) MG-based Revenue sharing: As per mutual
agreement and the title's performance forecast, the Alliance Model
gaming company pays a part of the minimum guarantee This model involves minimal investment from both
initially, and the rest is paid based on the performance of producers as well as the developers. In this case the
the game. The model works in favor of the developers developers are not just responsible for gamification but
reducing their development risk. also for promotion of content across different digital
platforms. In return, the producers let go their licensing/
3) Revenue-Sharing for Developers: Developers get MG fees giving developers access to the content,
a part of development cost as development fees from the furthermore they also promote the developers with the
producers plus they also get the publishing rights of the promotion of the content.
gaming content for their website, the publishing rights In this model the developers monetize on the website
not only get them the publishing fees but also generate traffic and through advertising while the main motto for
more traffic for their websites. the IP owners is the extra digital promotion.
Advantages for Developers
At first the concept of alliance model doesn’t make much
Customer pays an
sense from a developer’s perspective because not only he
Avg price of Rs. 49
for a mobile game makes the full investment for the game development but
is also spending a huge amount for promoting somebody
65-70% as 30-35 % as
Gaming else’s content. The following points help us understand
distribution
fees Revenue the viability of this model for the developers
Telecom Companies Gaming Revenue  The promotion cost is much smaller compared to
(A) Rs. 31.85 (B) Rs.17.15 the licensing fees
 Usually the contract involves the promotion of
30% as 70% as
publishing the gaming company along with the movie which
developer’s fees
fees would mean more traffic for the developer’s
website, which can be easily encash through
Telecom Companies Telecom Companies
advertising.
(A) Rs. 31.85 (A) Rs. 31.85
 Developers while promoting the Movie/TV
Figure 1: Traditional Revenue-Sharing for a mobile game content for the producers also promote their
priced at Rs.49 gaming content, which again brings more traffic
to them.
(Assumed Game price as Rs. 49 and 65-35 sharing between distribution and
gaming revenue)
Lately such kind of media partnerships are picking up in
India especially for online games and proving good for

10. both the developers as well as the producers. For Conclusion
instance, Ibibo shared such a partnership with movies like
Teen Patti and Kahaani. Movie and TV content producers are interested in
maximizing returns on investment for their show.
Advantages for Producers Investments in games may help them in two ways: a)
 Free and extra publicity through digital media increase positive words of mouth because of game that
 The game would not only drive more audience to could draw the footfalls to the multiplex and theatres and
theatres but would also increase the shelf-life of b) additional revenues that may be generated by
their movies. extending the existing content to a game. The concept of
gamification can be used as an effective low-cost
Economics of Alliance Model
promotion tool. Block busters that have a natural
extension of their movie content to gaming can benefit by
Investment by Producers
Nil
extending the games as a tool for promotion but also
Investment by Developers
5-15 Lakhs (for game
development dependent on revenue-generation. If eye balls and marketing
factors like quality, reusing promotions is the requirement, producers should adopt
of old content, platform the Alliance business model. Furthermore, their
etc.)+ 5 Lakhs( as investment in this case would be as low as nil which
advertisement) makes it even more suitable for small/ medium budget
Total Average Cost of 15Lakhs movies as they have limited advertising budget and
development
plethora of platforms to advertise. On the other hand,
Shelf-life of game 4-6 weeks(since the
Minimum-guarantee (MG) model suits best in case of
developers have invested in
the game they would games developed as independent titles. These games not
ensure its extensibility) only promote the content but also increase the brand
Break-even downloads Less than 1,00,000 recall (in case of sequels), generate incremental revenues
Example Recent games like Teen and increase the shelf life of content. Although the
Patti, Kahaani. licensing model may sound more lucrative in this scenario
because of the huge fees which it will fetch, but retaining
the content rights is always more advisable and beneficial
for the IP owners (producers) plus a huge licensing
amount may deter the developers to adopt the legal way
and indulge in content-spoofing. With the recent
changes in the copyright law, places the developers in a
better negotiating position compared to their present
one.

11. As according to the new guidelines the rightful owners of  PriceWaterhouseCoopers, “Indian entertainment and
the content would be its creators, who would be receiving media outlook 2011”
royalties from a variety of sources and hence might be a  PriceWaterhouseCoopers , “Indian entertainment and
little easy on the game developers. Moreover, the media outlook 2010”
developers can now forgo rights like audio etc. (at present  A report by Tata Strategic management group for Italian
they have to pay for all the rights) and concentrate more trade commission , “Animation and Gaming industry in
on obtaining rights just for the content and characters. India Market Research 2010”, February 2010
Developers should exploit movie characters/ themes to  “Leading Retailers Use Gamification to Boost Customer
their advantage by employing replicas of Bollywood Engagement and Loyalty”, by Alicia Fiorletta
characters in normal games. The use of replicas without  “Media and Entertainment in India: Digital road ahead” ,
paying the royalties to the IP owners is termed as a report by Deloitte for ASSOCHAM Indian, September
spoofing. Spoofing works really well in cases where 2011
characters are the highlight of the game and if  “Annual Media and entertainment report 2010-11”,
implemented correctly (a relevant match is established Balaji Telefilms Limited
between the theme and the spoofed characters) it can  The Gamification of Television: is there life beyond
not only ensure immediate but prolonged attention for badges? ,Nitya Narasimhan , Silviu Chiricescu, Venu
the game. For instance, Hungama games launched a Vasudevan, May 2011
series of games titled ‘Bollyolympics’ wherein they used  “Electronic Arts : The blockbuster strategy” , Alan Jay
characters from hit movies like Sholay in sports games Lerner, playwright and lyricist, February 2004
and series performed really well. Spoofing is a good  David Spulber, 1998, Market Makers, Mcgraw Hill
alternative for start-ups that have ideas but are weaker  “ Bollywood movies and cultural identity construction
on investment; these start-ups can employ characters of among second generation Indian Americans” , Lakshmi
old Hindi classics, but this should not be made as a N. Tirumala , August, 2009
regular practice as that will have a negative impact on the
producer-developer relationship which in turn would Browne & Mohan insight are general in nature and does not
represent any specific individuals or entities. While all efforts
affect the industry.
are made to ensure the information and status of entities in the
insights is accurate, there can be no guarantee for freshness of
Bibliography information. Browne & Mohan insights are for information and
knowledge update purpose only. Information contained in the
report has been obtained from sources deemed reliable and no
 NASSCOM report with Ernst & Young, “The
representation is made as to the accuracy thereof. Neither
animation and gaming Industry in India” , August Browne & Mohan nor its affiliates, officers, directors,
2009 employees, owners, representatives nor any of its data or
 FICCI-KPMG, “Indian Media and Entertainment content providers shall be liable for any errors or for any actions
Industry Report 2012” . taken in reliance thereon.