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Re-Releases, Affordable Pricing and Tentpole Films: How Indian Cinemas Are Surviving the Post-Pandemic Identity Crisis
As audiences become more selective and single screens continue to shut down, Indian cinema is at a crossroads.
Once upon a time, before algorithms dictated our every choice and streaming turned homes into miniature multiplexes, there was a ritual: buying a ticket, settling into a theatre seat, and surrendering to the magic of the big screen. That magic, however, is flickering.
Theatres today stand like grand old palaces in a kingdom that has lost its faith. The faithful few return for the spectacle of Jawan or Pushpa 2, but what about everything in between? The industry is still grappling with that question.
The COVID-19 pandemic fundamentally altered consumer behaviour, and the film exhibition industry continues to deal with its long-term impact. While sectors like travel and hospitality rebounded due to the quality of experiences they offered, the return of theatrical audiences has been more challenging.
“Theatrical experiences became a bigger challenge because audiences grew accustomed to watching content at home," says. Akkshay Rathie, film exhibitor and distributor.
"Unfortunately, many films that were made pre-pandemic but released later lacked the firepower to compel audiences to return to theatres. These were often dialogue-heavy or intimate films that did not significantly benefit from the big-screen experience. As a result, we saw a wave of flops until movies like Pathaan, Animal, Gadar 2, and Jawan arrived— true theatrical experiences that could not be replicated at home," Rathi adds.
The data supports this shift.
"There's been a noticeable change, evident in the numbers we are seeing now," Sanjeev Kumar Bijli, Executive Director of PVR INOX Limited, says. "Admissions are down by almost 10 to 15% compared to pre-pandemic levels. The major change in consumer behaviour is that people are being more selective. They’re primarily coming for big films... the blockbusters."
The pre-pandemic normal is never coming back; getting people to theatres is now a higher ask.
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The Tentpole Phenomenon and the Struggle for Consistency
Before the pandemic, a ₹300 crore grosser was a blockbuster. That number has now jumped between ₹500 to 800 crores, with Pushpa 2 crossing ₹1,000 crores in India alone. These figures highlight an important trend. "People are watching fewer films, but the ones they do watch are performing phenomenally well,” adds Bijli.
However, theatres cannot sustain themselves on tentpoles alone. “Pre-pandemic, a smaller film with potential might have reached ₹80 crores at the box office. Now, those same films are capping at ₹40 to 50 crores. The audience for them is still there, but it’s smaller,” notes Bijli.
The industry is also grappling with the phenomenon of “revenge consumption”— people engaging aggressively in outdoor activities after two years of restrictions.
While restaurants, airlines, and hotels have seen unprecedented demand, audiences expect their expenditures on entertainment to be worthwhile. “Many films released in the last couple of years have failed to deliver the kind of entertainment that justifies ticket prices,” says Rathie.
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What is Working?
In response to declining footfalls, theatres have experimented with alternative revenue streams — expanding food offerings, hosting sports screenings, and even organising concerts. PVR Inox is even screening most of the 2025 Oscar-nominated films to draw audiences to niche cinema. “The reality is that movie-watching in India, outside of weekends, isn’t an all-day affair," notes Gautam Thakker, Chief Executive Officer at Everymedia Technologies Pvt. Ltd.
"Theatres, especially those in low-footfall areas, often sit empty during mornings and afternoons. So it makes sense to experiment with multiple revenue streams and see what sticks," Thakker adds.
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Despite these efforts, the core business of theatres remains movie screenings. “If you look at the last few years, certain films have essentially been the saviours for the box office. Jawan, Pathaan, Animal and Gadar 2 pulled in audiences. From a box-office perspective, only a handful of films have really kept the exhibition sector afloat, but that’s not sustainable,” Thakker says.
The world has changed and theatres need to change, too. But have experiments with alternative content actually impacted footfalls?
“Right now, alternative content makes up about 3 to 5% of total footfalls, which is quite small. But it’s still early—we only started this about eight or nine months ago,” says Bijli. “That said, it is sustainable. We’ve seen great success with re-releasing old Hindi films. Rockstar, Sanam Teri Kasam, Laila Majnu, and Tumbbad have all performed well. There’s definitely a case for continuing this strategy.”
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Re-releases are proving to be a profitable venture. “The cost structure revolves around what we call film hire — the revenue split between the theatre and the producer. For a new release, the producer gets about 46% of the net box office; with re-releases, that share drops to 30%, meaning theatres retain a larger portion,” explains Bijli.
Pricing has also played a crucial role. Rathie observes how the re-released films that did well often had capped ticket prices, making them more accessible.
"Indian audiences are highly value-conscious — whether it’s entertainment or a luxury car, they always consider the cost-benefit ratio. Lowering ticket prices and making theatrical experiences more cost-effective is essential to increasing footfalls,” adds Rathie.
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For a chain as big as PVR INOX—which has 1658 screens in India—things are not entirely bleak.
Bijli is happy to report that the financial year 2023-24 recorded 150 million people visiting their cinemas and the projection for 2024-25 is around 140 million.
"While there has been a 10 to 15% dip in admissions post-pandemic, it’s a manageable decline, not an existential crisis. The primary factor behind this year’s dip was the Hollywood strikes, which disrupted major studio releases. Looking at our analysis, we saw a 40% drop in business because there were no major Hollywood tentpoles like Barbie, Oppenheimer, Avatar, Mission Impossible, etc.,” says Bijli.
However, single-screen cinemas are in a far worse predicament.
“It’s a bit of a Catch-22. PVR INOX has a major market share because they keep investing, expanding, and refining their offerings. If other chains did the same, the market would be less concentrated. India is far from a saturated market when it comes to exhibition. Unlike China, which has around 1,000 screens per 10 million people, India still hasn’t crossed 10,000 total screens. But single screens are shutting down daily due to lack of financial support,” says Thakker.
One key area where the government could intervene, Thakker says, is taxation. "Movies are one of the few things that unite the country. No matter where you travel, people connect over their favourite actors, directors, and films. The Indian film industry is a major soft power, and the government should recognise that. Instead, they’ve categorised it alongside gambling and alcohol in terms of taxation. That makes no sense."
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“One thing that should have happened post-pandemic is government support for the exhibition sector — specifically, lowering GST on tickets. Right now, it’s absurdly high, almost on par with alcohol and tobacco in some states—28% in some places,” Thakker continues.
There is also a need to highlight cinema’s affordability. According to Rathie, national chains like PVR INOX and Cinepolis target "premium audiences", whereas a significant market segment comprises smaller cinema chains and single screens, where ticket prices range from ₹100 to ₹150.
"The industry must actively communicate that cinema is not just an expensive luxury but also an affordable entertainment option. Promotions and marketing should highlight these affordable venues as well," he adds.
The exhibition industry is in a transitional phase. Theatres were once places for communal experiences — laughing and crying in unison. Today, those same halls echo with uncertainty. The industry has the tools—tentpole spectacles, re-releases, and alternative content—but without affordability, government intervention, and a conscious effort to revive mid-sized films, the magic of the big screen will remain a privilege rather than a norm. The question remains: will cinema find a way to reclaim its throne?