KWAN South – the joint venture between KWAN Entertainment and actor Rana Daggubati owned production firm Suresh Productions, expects to end FY20 on the back on 70% growth in gross revenues,” Himank Duvvuru, operational head, told BrandWagon Online. “We posted a 60% growth in gross revenue in FY19. Currently, we generate 45% of revenue from films and 55% from brand endorsements and other brands-related projects,” he added.
The talent management firm claims that it earlier generated just 30% revenue from films, while brands related projects constituted a major 70%. According to Duvvuru, despite being just two years old in the business, the South based entity contributes to 20% of the overall revenue of the firm – KWAN Entertainment. “About 70%-75% of brand endorsements are executed by us in Southern India. We currently work with 80% of the national brands which have a presence in South India,” he added.
The South-based talent management firms at present claim to manage about 30-40 professionals. Of these 15 are actors, while the rest comprises of director of photography influencers, writers among others. Additionally, it works for video streaming platforms such as Netflix, wherein it packages promos and trailers. It follows a commission-based business model, where it earns revenue for a project that has been assigned. “We have worked on three shows created by Netflix. Content is a very central part of whatever we do,” he noted.
Similarly, the company creates trailers and promos for South Indian films. “While the cost of promoting a film in Bollywood is upwards of Rs 15 crore, in South in markets such as Telugu the marketing cost ranges anywhere between Rs 50 lakh to Rs 4 crore, depending on the scale of the film. Hence, the scope of work is very big,” Duvvuru said. According to industry estimates about 300-350 films are released every year in South India.
Further, the company is now looking to expand beyond Tamil and Telugu markets to Malayalam and Kannada. Additionally, it plans to expand its team and is looking to recruit a host of professionals right from talent managers to content creators. KWAN South at present employs 23 staffers.