PVR INOC's cinema chain is offering massive discounts to increase occupancy levels, which are currently at a measly 17%. By attracting more moviegoers, they can generate extra revenue without incurring extra costs. Analysts estimate that occupancy levels could rise to 25% with this deal. Additionally, F&B sales contribute significantly to their revenue, with moviegoers spending 51% of the ATP on F&B. This means that more moviegoers would result in an increase in the spend per head. PVR INOC's strategy could lead them to come out on top despite the potential revenue loss from the discounts.
In today’s episode for 23rd October 2023, we talk about PVR INOX’s experimental marketing strategy and see what’s in it for the cinema house.
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