Stm Project Pvr

8/9/2019 Stm Project Pvr

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ENTERTAINMENT INDUSTRY

Entertainment Industry in India comprises of :A) Film Industry andB) Television Industry.

The Indian entertainment industry is among the fastest growing sectors in the country.In terms of film production India exceeds Hollywood's production volume by overthree times.



Type Public

IndustryEntertainment (movietheatres)

Founded June 1997

Headquarters

Block A, 4th Floor,Building No. 9 DLF

Cyber City, Phase IIGurgaon , Haryana

,India

Website www.pvrcinemas.com

PVR CINEMAS



HISTORYMarch 1974, PEPL Started with single screen cinema hall.

1990, A set back to businesses of Cinema Halls.Renovation of Priya Theatre (PEPL) at a cost of Rs. 4

Million.

April 1995, PEPL Joint Venture with Village RoadshowLtd. (VRL), forming PVRL (Priya Village Roadshow Ltd.)

Inscription of PVR µMovies Firstµ Logo.



June 1997, PVR Anupam ± India¶s First Multiplex.

2003 ± 04, Grand Opening of 7 Screen Multiplex.

Largest Multiplex with 11 Screens in Bangalore ± 2006.

Launch of PVR Cinemas, Hyderabad ± 2006.

26 Cities, 108 Screens ± The Growing Chain Nationwide.

Joint Venture with ³K Sera Sera & Factory´ ± Thefirst of its kind.

PROGRESS



CUSTOMER VALUEPROPOSITION

World class acousticsState-of-the-art projector and its allied technologyOnline ticket booking facilityHighly spacious areaDifferent classes of comfortable seating arrangements are offerSnacks outlets serving Indian and international food items

Special meals and mini meals are on offer on weekendsSpecial discounts are offered on food itemsSpacious parking lotEnviron friendly arrangementsHighly secured entertainment zone



PVRǯS BUSINESS

PVR provides ambience, hygiene,good service, parking and candyalong with the best quality cinemaevery time.



MISSION

ǲA commitment to deliver the best qualitycinema viewing Every where, Every time.



DEMOGRAPHICSCONSUMER DEMOGRAPHIC SEGMENTATION AFFECTING PVR :

Age: 61% between 18 and 49Gender: 47% Males / 53% FemaleIncome: 61% have income over 50K Education: 55% of adult movie-going audience has attended/graduated college*. Of these adults, 37% have college degrees or higher



PVR LIMITED

EXHIBITION

108 SCREENSOPERATIONAL

43 SCREENSUPCOMING

FOOD ANDBEVERAGE

FILM PRODUCTIONAND

DISTRIBUTION

LIFESTYLEENTERTAINMENT

24 LANE BOWLINGALLEY

WORLD CUISINEAND PRIVATE

BUSINESS SEGMENTS



FUNDS/REVENUE GENERATIONTHROUGH

Revenue through ticket sales.Revenue from food and beverage sales.Revenue from advertising and promotions.Revenue from Management Fee income.Other income includes rent income from surplus space adjacent to thecinemas that has been leased to third partiesRevenue through distribution :20% is derived from domestic theater rentals

(the movie theater renting a copy of the film of a new movie), 20% coming fromForeign theaters, 40% from home video, and television provides the remaining20%.The distributors portion of the theater rentals usually comes to about 50%of the box office total.



FILM EXHIBITION

81.1% OF REVENUE COMES FROM EHHIBITIONREVENUE FROM TICKETS : 60% of the total exhibition business revenueFOOD AND BEVERAGES : 20% of the total exhibition business revenueADVERTISING AND CONSULTING : 13% of the total exhibition business revenue

FILM PRODUCTION AND DISTRIBUTION

18.5% OF REVENUE COMES FROM FILM PRODUCTIONPVR holds 60% in its production company with the remaining 40% held equally byICICI Venture & JP Morgan.

LIFESTYLE ENTERTAINMENT

0.4% OF REVENUE COMES FROM LIFESTYLE ENTERTAINMEBTPVR entered into a 51:49 JV with Major Cineplex Group, to bring lifestyleentertainment concepts to Indian consumers with a brand name PVR Blu-O



GROWING SEGMENT: EXHIBITIONNEW BUSINESS:Revenue from lifestyle entertainment is low . Needs to exploremarket in this segment

PVR plans to leverage ice skating with other entertainmentformats like cinema and bowling and to open at least 1 big skatingring in the next 2 years, at a premier location and at a high end

property.



Major ExpendituresLandMaintenancePowerEntertainment TaxAdvertising cost

Employee costDistribution rightsMovie distribution and print chargesOperating expenses



FILMPRODUCER

FILM

DISTRIBUTOR

FILMEXHIBITOR

THEATERAUDIENCE

CONTENT CREATION

CONTENT DISTRIBUTION

VIEWING OF CONTENT

SUPPYCHAIN



M ajor competitors in the Indian film exhibition industryare:

Inox Leisure (Gujarat Fluorocarbons)Ad labs FilmsShringar Cinemas;E ȂCity Entertainment / Fun Cinemas (Zee Group);Wave Cinemas;DT Cinemas (DLF Group)

OTHERS

OTHER MOTION PICTURE DISTRIBUTION CHANNELSTELEVISIONMAJOR EVENTS LIKE IPL AFFECTING OCCUPANCY RATE IN THEATERSHOME VIDEO PIRACYINTERNET MOVIE DOWNLOADSDIRECT TO HOME SATELLITE TELEVISION PROVIDERS like TATA SKY

COMPETITORS



STRATEGIES FOLLOWED BYPVR



BUSINESS STRATEGYTo distribute Hindi films in the same territories

where our cinemas are located.To purchase the entire suite of distribution rightsincluding the theatrical, satellite/television andDVD rights for international films on an all Indiabasis.



EXPANSION STRATEGIES/KEYMILESTONES

PLANNING TO COME UP WITH 43 MORE SCREENSPLANS TO OWN ENTIRE DISTRIBUTION RIGHTS

INCLUDING SATELLITE,DISTRIBUTION OF INTERNATIONALFILMS

PLANS TO OPEN 150 LANES IN NEXT 3 YEARSALSO PLANNING TO LEVERAGE ICE SKATINGPLANS TO ENTER SEMI URBAN AND RURAL PARTS OF

COUNTRY



MARKETING STRATEGY





ALTERNATIVE OPTIONS TO

PURCHASE TICKETS



MOVIE NEWSLETTER ANDMAGAZINES

To keep its customers hooked on to moviesand to PVR, it has also come out

with an online newsletter called ǮPV

RWireǯ is directly mailed to thesubscribers and can also be downloadedFrom their website. They have alsolaunched a movie magazine calledǮMovies Firstǯ.



MOVIE VOUCHERSThey have also taken out the unique concept of movie vouchers which

people can use as gifts.

Many corporate have also started using these asincentives and rewards for their employees.

The vouchers are available in denominations of Rs 100 to Rs 350 and aminimum of 25 coupons needs to be purchased to avail of the offer.



TECHNOLOGICAL STRATEGYAll the 26 cinemas are connected through BI applicationHelps in making all data automated at PVR

Centralized control, which helps monitor the functioning of thisnetwork of halls. They can see data across all the PVRs, which helpsus

have a better perspective on things.Introduced THXapproved three way surround sound system with real

life sound effectsFirst to offer computerized and online ticketing with kiosks, mobilebased ticketing service, and first to accept credit card based ticketingin cinemasProjection facility with latest xenon based technology



EFFECT OF CHANGE IN

TECHNOLOGY ON PVR

Digital projection technologies may render traditional film projectionequipment obsolete, requiring PVR toincur significant capital expenditure



IT for better control andmonitoring

Extensive use of information technology for the management.Information technology is considered to be a strategic tool to improve overallproductivity and efficiency.

Collection Software

They use Vista software, which they license from Vista Entertainment Solutions Limited

to manage the collections operations.The revenue streams generated by attendance, concession sales and internettransactions are fully supported by Vista software to monitor cash flow and inventoryand to provide detailed reporting information.

Using the Vista software, they are also able to program movie schedules for all ourcinemas from a single point.

In addition, transactions and negotiations with their distributors are also monitored.This software provides with data in user friendly formats for evaluation of performanceand decision making.

The information recorded by Vista is linked to a central server that houses the databasefor a cinema. This database is also accessible from the corporate office for consolidationand evaluation of performance.



MEMBERǯS ZONE





DIFFERENTITATION STRATEGY

P HYSICALENV IRONM E

NT

AMB IENTFACTORS

Air qualityQuality of

scentDegree of

circulation

DESIGNFACTORS

AestheticsArchitecture,

colorscheme,

material etc)Functional

dimensionsof design in

terms of layout,

comfort etc

SOCIALFACTORS

Appearance,B ehavior

andnumber of

service

personnelQuality &

quantity of other

customers



RECOMMENDATIONSCoverage of live sport events (IPL matches)Promotional campaigns to attract youth to increase revenue in lifestyle

segment.

MANUFACTURE INHOUSEFOOD AND BEVERAGE SECTOR:To keep the core PVR candy model intact , PVR candy bars should be an inhouse production which offers patrons special great value combos that increasethe spending per head.Well branded franchisees can be used to round off offerings not possible underPVR candy model on direct rent and profit sharing model catering the localtaste and preference.

OUTSOURCE At certain locations, merely the back-end of the complete F&Boutlet can be outsourced to different kinds of high-quality vendors, whichwould result in wider consumer choice and significantly improved food andservice quality, while at the same time lowering operating costs.

Documents

Stm Project Pvr