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(Director, Cinemax) MIDBANNER
Everyone’s talking about the Red Lounge at the newly-opened Cinemax theatre at Andheri’s Infiniti Mall with its personalised service and recliner sofas. There’s no doubt that this new concept will be a big hit with corporate houses for special previews but how viable will it be for the common viewer?
Today, people don’t think twice about spending Rs 160-180 on a film ticket so why should they grouse about pooling in a little extra if they’re promised a more comfortable viewing? Even before our new theatre opened around 12-1,800 people had visited the theatre and gone away savoring the experience. Even those who didn’t venture beyond the foyer or just stepped into the auditorium without actually watching a film there, admitted that they were prepared to shell out as much as Rs 500 for a different comfort zone. The innovatively styled displays and in-step lighting added to the appeal. I can promise you that it’ll be very affordable experience at Mumbai’s biggest multiplex today and for the first time in the city we’re offering a choice of gold and silver screens at the Red Lounge. The gold screen has recliner sofas while the silver screen has a combo of sitting sofas and regular seats. We’ll also be bringing orders to the seats and Red Lounge viewers will have more variety to choose from apart from the regular items in the foyer menu.
Will the Red Lounge give Cinemax an edge over neighbouring theatres like Fame and Fun?
It’s definitely our primary attraction but we have other aces up our sleeve including a loyalty programme, LCD screens and a huge foyer where people can spend some time before going in.
All our theatres have their unique features. Cinemax (Wonder Mall) that was the first multiplex to come up in Thane, has a picturesque fountain up front and Cinemax (Sion) a wonderful garden terrace and cafe. Cinemax (Goregaon) has distinctive river slope seating while Cinemax in Andheri (East) boasts of a curved auditorium with each seat at the same angle from the screen. As far as competition goes, it’s always healthy and considering that a second theatre (Fun Republic) didn’t result in a big hit to the business of the existing cinema (Fame), I don’t think our presence in the area is cause for undue concern.
In the multiplex era “saturation bombing” has become a common distribution ploy with big players releasing an expected hit in as many theatres possible in one catchment area and increasing the number of shows too as was the case with The Rising/Mangal Pandey recently. Isn’t this kind of over-exposure harmful for business?
It’s an international trend and here to stay given the kind of leakages that take place due to piracy, the mushrooming growth of theatres and the multiplex policy of screening every film it buys at all the theatres in its chain. Besides films today run only on weekends and holidays when business is up to 80 per cent as compared to 30-40 per cent on week days. In fact, everyone knows that today the best business takes place during the first weekend so you can’t really blame anyone for wanting to cash in on a viable property by increasing the number of shows initially and catering to the maximum number of viewers. The aim is to collect the maximum revenue possible irrespective of whether it is in a month’s time or a week.
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Right. Also, this way we can accommodate and do justice to new releases by increasing the number of screens given to a big film in the first week and reducing the number shows in subsequent weeks. After Mangal Pandey that had 12-16 shows playing everyday in the first week, we’ve increased the number of shows for Salaam Namaste too. It’s a ploy that usually pays off.
But at a time when original DVDs are hitting the markets within 4-6 weeks of a film’s release at abbreviated costs, how confident are you of luring viewers to your theatres, week after week?
Watching a film on the big screen is a completely different experience from seeing it on DVD. We don’t intend to take the theatre home to our viewers rather convince them to make the theatre their home.
Shravan SHROFF
(Managing Director, Shringer Cinemas)
How much of a competition to Fame is the newly opened Cinema multiplexx?
Being a new property it’ll definitely make a difference but when Fun Republic opened we realised that competition only expands the market. Those who didn’t get tickets at Fun Republic came to Fame and vice versa. The same thing could happen with Cinemax coming into the scene too.
But three halls in close proximity to each other. Aren’t you cutting into each other’s business?
You have to ask Rashesh Kanakia that question because Fame is already established in the area, Cinemax is the new entrant. In fact, ours was the first multiplex to come up on Andheri’s Link Road.
Cinemax has its Red Lounge. Fun Republic has its niche film festivals. What’s Fame’s USP?
We have built up a loyal clientele through our premiere shows. We’ve hosted almost 130-140 premieres. The theatre is the favourite hang-out of industry folk like Shahid Kapur, Kareena Kapoor, Saif Ali Khan, Yash Chopra’s family and even the Bachchans for whom Fame is like a second home. A number of top-ranking actors who figure amongst our regular customers have developed a special rapport with the staff and call them directly to reserve seats for them and even screens for previews. Competition keeps you on your toes and in a bid to retain our leadership position we are renovating our screens. All five screns should be equipped with luxury chairs and other facilities that makes for a premiere movie watching experience by Diwali. After three years of great business we don’t mind spending money to up the standards we once set. At the end of the day it’s the consumer’s benefit that’s paramount.
The Purple Card that’s part of your loyalty programme has become a big draw with Fame regulars. Will you be offering your clientele more such incentives?
Even if I were I wouldn’t let on at this stage. When the competition is so stiff you can’t expect me to reveal all my aces.
You not only increased the number of screens but also upped the number of shows for Mangal Pandey/The Rising to 12 a day and for the first time booked a film at three Fame theatres for two weeks in advance. Obviously the gamble didn’t pay off because despite a phenomenal opening collections dipped in the first week itself. Will you take the risk of adopting this kind of a release strategy again?
The strategy was not new. For a big release we up the number of shows all the time. If the demand is there we ensure that the supply is increased too. And as far as Mangal Pandey/The Rising goes we’re happy with the numbers we got.
PVR that’s all set to storm Mumbai with five theatres, is the largest exhibition player in the country. Cinemax insists that it is the largest chain in Mumbai. What is Fame’s claim to fame?
I’m the stupidist guy in the business and it suits me fine. What does it matter to me if my competitor boasts of having the largest chain in the city or even the country? For me the competition is limited to the local market. If I can retain my leadership poisition in my catchment area I’m happy.
Does this mean Fame has no plans to expand outside Mumbai?
We should be opening seven new properties this year in Kolkata, Aurangabad, Pune Surat, Hyderabad and Allhabad. And there’s also a multiplex coming up in Thane.
NIRAV
(Corporate Sales and Marketing, Fun Republic)
How big a competitor to Fun Republic is the newly opened Cinemax?
It’s difficult to say at this stage. Just how big a dent it will make to business can only be analysed after a month or two. Thanks to a big film like Salaam Namaste that released last Friday the initial impact of a new theatre in the vicinity will not be felt in the first 2-3 weeks because everyone will be keen to catch the Saif-Preity starrer and won’t discriminate between theatres in the initial rush. But once the craze for Salaam Namaste has abated and there’s a lull in the business, a lot more people living in the areas will want to try out Cinemax given that it’s a new place. That’s when we may feel the pinch because people today don’t want to risk spending on a theatre visit unless they’re sure it’s a good film.
Hiral Kanakia and Shravan Shroff both insist that since Fun Republic didn’t cut into Fame’s business, Cinemax’s emergence on Link Road should be no cause for concern either. You endorse her opinion?
It’s a fact that the market is so large and the demand so huge that it far exceeds supply. As a result two theatres at a stone’s throw from each other have been able to co-exist without posing a threat to each other. But now with a third 1671 seater multiplex coming up in the vicinity, it remains to be seen if supply will exceed demand during the coming lean season.
The USP of Cinemax is undoubtedly its Red Lounge. How do you plan to counter this attraction?
Cinemax is using the attraction of recliner sofas to get into the market but our wide seats guarantee comfortable viewing too. That apart, Fun Republic’s emphasis has always been on content variety and in the forthcoming weeks we hope to get a sizeable audience for our niche film festivals and special premieres. We also have a loyalty programme that keeps our clientele with us.
Will the opening of Cinemax adversely affect the current trend of “saturation bombing” given the fact that Mangal Pandey/The Rising that started out phenomenally with 12 shows a day at Fun Republic in its first week, lost steam as early as the fifth day?
The tread of “saturation bombing” is an old strategy. It’s unfortunate that it didn’t work as well as expected with Mangal Pandey. Had the film been as successful as Kal Ho Naa Ho or Munnabhai MBBS the ploy may have benefited all of us. The fact that a film is available for vewing at every second cinema is not going to put people off. If they are convinced it is a film worth spending big bucks on, they will be drawn to the theatres. Here consumer loyalty and viewing experience play their part in deciding whether the viewer chooses to see the film at Fame, Cinemax or Fun Republic.
Would you agree that a film buff in Mumbai is more likely to visit a theatre even given the exorbitant ticket prices, than one at any other centre?
Well yes, given the fact that the film market is based here with scores of production houses in and around Link Road, the craze to watch a film on the big screen is more defined in Mumbai. The city also boasts of a more “visible” income that induces the average man to splurge on a film ticket especially on weekends and on holidays.
TUSHAR DHINGRA
(Vice President Marketing & Corporate Communications, pvr Cinemas)
The five-screen PVR multiplex at Juhu’s Dynamix Mall is reportedly complete and only waiting for the necessary licences to open shop. How would you rate the competition for and from the long-established Chandan Cinema that adjoins it?
We believe it’s possible for both theatres to co-exist since they will be operating on different price ranges.
And how do you view the competition from Fun Republic, Fame and Cinemax?
These theatres on Andheri’s Link Road are catering to a different catchment area. Our catchment area is Juhu and research shows that the options of those residing in Khar, Bandra, Santa Cruz and Juhu as far as multiplexes go, are pretty limited. That’s our reason for investing in this five-screen,, 1253-seater theatre.
So you’re basically looking to cater to Juhu’s populace?
Our target audience is anyone who wants to see a film. PVR is the largest exhibition player in the country and our cinemas are known for their “consumer focus”. PVR Anupam in Saket launched way back in 1997, was India’s first multiplex and made cinema viewing a whole new experience with high-class seating, state-of-the-art screens and audio- visual systems. PVR Priya has the distinction of having the widest screen in India.
How do you plan to counter the attraction of the Red Lounge?
We brought premiere movie viewing to India with the exclusive Europa Cinema and Lounge at PVR Gurgaon and introduced Gold Class Cinemas in India at PVR, Bangalore. The former promises the very best in world and local cinema and pampers its patrons with food and beverages served at the seats. The Gold Class Cinemas too provide excellent pre-cinema experience and scrumptious food and beverages. The two-ultra luxurious, exclusive auditoriums at PVR Bangalore are each equipped with 32 plush and fully reclining seats with generous legroom. And we plan to take the concept to other cinemas across the country too.
PVR is an established brand in Delhi and Bangalore but Mumbai’s audience is a different lot.
Every geographical segment comes with different psychographics. In Mumbai the movie going habit is far higher in terms of the number of visits to a theatre per year as compared to Delhi. That’s not surprising given the fact that Mumbai is the country’s capital for Hindi movies that guarantees livelihood to so many of its residents. Film watching is a part of most Mumbaikar’s DNA and that is the one clear and present difference that can only work in our favour.
Today when home viewing is a far cheaper alternative what can draw a common man to the theatres?
My answer to that is every home has a kitchen. So why do we still eat out at restaurants? I guess because we’re looking for some novelty to break the monotony and when it comes to “firsts” PVR has always been the market leader. Besides pioneering the multiplex era we also launched India’s biggest 11-screen multiplex in Bangalore and introduced the concept of computerised and online booking, mobile-based information, ticketing service and payment through credit cards. We have our own loyalty program and monthly magazine, Movies First that updates the movie lovers on the latest happenings in Bollywood and Hollywood. PVR was the first to receive institutional funding in the cinema industry and our Managing Director, Ajjay Bijli was the first Indian exhibitor to be honoured with a special award at CineAsia 2004. He is the Signature Youth Icon for the year 2005.
Reportedly, besides PVR (Juhu) you have four other theatres coming up in Mumbai?
Yes, we have five cinemas opening in Mumbai soon. Besides the multiplex in Juhu we have a 1785-seater, 6-screen theatre readying at Nirmal Lifestyles, Mulund and a seven-screen, 2049 extravaganza looming up at Phoenix Mall. Then there’s the four-screen Odeon at Ghatkopar and an eight-screen theatre at Oberoi Mall which with a capacity of 2122 is bigger than even PVR Bangalore.