As Playback counts down to the end of the year, we’re rolling out our Best Of stories from our Winter 2012 issue. Here, Hussain Amarshi, the founder of Canadian indie film distributor Mongrel Media, discusses managing risk and achieving growth during the company’s 18 years in business.

Distributor of the Year: Mongrel Media

Mongrel Media, a Canadian indie film distributor launched in a bedroom with $2,000 in the kitty, has in the last year deftly navigated fast-paced industry consolidation and a shift to digital distribution.

This feat is due to company founder Hussain Amarshi’s ability to keep his cool and achieve growth while the industry dominos continue to fall to the forces of change. “Film distribution is not for the faint of heart. In eighteen years of running Mongrel, I have seen many companies come and go,” Amarshi explains.

“I believe that managing risk is one of the constant challenges for an indie distributor, especially in a market the size and nature of Canada,” he adds.

That caution contrasts with competitors adding to their own through mergers and acquisitions, not least as Entertainment One swallows Alliance Films.

Amarshi continues to build organically, backed by a plum output deal with Sony Pictures Classics and solid ties to Canadian directors like Sarah Polley, Deepa Mehta and Richie Mehta.

“We have always believed in staying focused on what we do best – we are specialists in distributing independent films, art house films, foreign films and Canadian films – and in 2012, we were able to make many of our films very successful at the box office,” he insists.

Recent theatrical performers for Mongrel Media include Wim Wenders’ Pina, the Iranian Oscar winner A Separation, Woody Allen’s To Rome With Love, and Sarah Polley’s Take This Waltz and Stories We Tell.

That release slate was launched into a domestic market overshadowed by changing consumer and exhibitor trends.

“The demise of the big box DVD rental market, first with the closure of Blockbuster and then the exit of Rogers, has led to the rise of video on demand, both broadcast and internet-based, and we are very much positioning our films for the VOD market,” Amarshi says, discussing how Mongrel Media looks to get round the digital curve.

That means feeding its product into the iTunes pipeline, and the Shaw, Rogers, Videotron, Telus and Bell VOD services.

Managing risk also calls for a broader release slate. The Mongrel mix includes releases with one or two prints to as many as 50 prints for a wide release. In all, the distributor averages 40 theatrical film releases a year, and more than 100 releases in home entertainment.

“While we are increasingly buying bigger independent films, we are always on the lookout for the gems that may not be the next blockbuster, but will resonate with our audiences,” Amarshi says.

Looking ahead to 2013, Canada’s third-largest indie distributor is looking to step up its game after Entertainment One’s acquisition of Alliance Films.

“We expect opportunities to acquire a wide range of films that would historically be acquired by these two companies, but with their combined size, may not be interested in handling them anymore,” Amarshi explains.

“We will also be seeking new and long term relationships with Canadian producers who are looking for hands-on handling of their films, and we will focus on acquiring significant Canadian films,” he signaled.

That means not resting on any laurels as a boutique distributor.

“Since we don’t have the market clout that a big company has, we have to be hungry at all times, so that we can grab whatever opportunities we see,” Amarshi says.

If anything, he still sees Mongrel Media as a startup.

“We are the small company that can make things happen, we are and have to be innovative in how we market our films, we bet on the small films that will resonate, and above all, each year, we are growing organically and in a sustainable way,” Amarshi says.

Click here to view Playback‘s Winter 2012 issue online.