Why Karnataka's film ticket cap won't ensure a full house

Cheaper tickets don’t always mean fuller theatres.

- Lata Jha

As film producers and the Multiplex Association of India approach the Karnataka high court against the state's new rule capping movie tickets at ₹200, and several films roll out discounts and offers, industry experts say the impact of such pricing strategies is limited. The novelty is fading with multiple films having already adopted rates as low as ₹99 on specific days, while price cuts aren’t leading to enough of a jump in footfalls to offset the lower revenues.

Most experts see this as a political move and say that what's needed is dynamic pricing, allowing premium cinemas to charge higher while ensuring affordable access through low-cost theatres. Karnataka’s move to cap ticket prices came into effect on 12 September. According to a 2024 report by Ormax, strategies like Cinema Day (where tickets are priced as low as ₹99) can provide spikes through eventization but they are not habit-forming as an idea, and hence hold limited strategic value.