Why the eff is the Multiplex at my Shopping Mall making me so little money?
There are a lot of shopping mall developers/ retail center owners out there who are asking themselves that question almost every Friday. "Why is the Multiplex at my shopping mall making me much lesser money than expected?"
Before we try and dribble the ball successfully past that question, let us tell you that we, at IREFD love Jackie Chan!
Okay people, enough. The show is down here now.
A Multiplex is essentially a Cinema Hall
Most of us may have forgotten amid all this retail and shopping mall boom that a multiplex is really a cinema hall that shows movies. They don't and more importantly, can't give you anything as a sort of extra service that makes you come back to the multiplex and buy a ticket every week. What then would make the dude with the spending power buy that ticket?
Content. Film. Movie. Flick. Any word you like.
Bollywood Releases in 2013 so far
We went through the box office collection figures of Bollywood film releases till mid 2013 and unearthed these important figures.
Total Number of Important Bollywood Releases- 36
Total Number of Hits - 15 (this includes mega blockbusters to just plain Jane hits)
Total Number of Average Film Releases - 5 (includes Special 26, Go Goa Gone & Madras Cafe)
Total Number of Flops and Disasters - 16
Quick Conclusion - 58.33% of major Bollywood releases in 2013 either just managed to break even or lost big money at the box office.
What you should know - If the mega Bollywood releases make no money, the multiplex makes no money. So you, the property owner certainly make no significant money.
Hollywood Releases in 2013 so far
Hollywood saw over 400 releases out of which, 85 odd flicks were critical releases and many of them made their way into the Indian multiplexes. However, since Hollywood has taken up a 3 point brief to make new films (#1. Cash in on cheap horror and even cheaper comedy #2. Cash in on end of the world and throw in a super hero and #3. Please the Chinese), Indian multiplex operators have not really made any big money from Hollywood either. And if you look outside the metros of India, Hollywood struggles for traction at the box office there anyway.
Quick Conclusion - The days of Jurassic Park, Speed and Independence Day are history.
What you should know - All the people who walked into your shopping mall never bought those Hollywood movie tickets. Too bad. No doughnut for you.
Do Cinema Halls (Multiplexes) have any competition?
For a die hard cine goer, NO. There is no experience that beats the movie hall. You will also be delighted to know that die hard cinema lovers have shifted their bases nearer to film festivals and other community film viewing events these days. Why?
Apparently, a lot of the movie scripts these days is written by the same guy who wrote that legendary poem, keeping serious folks away from the multiplexes, reducing revenues.
On a serious note, the IPL months, various cricket leagues, the English Premiere League, Formula 1 and numerous other engaging programmes on TV are leaving the cine goer with very little time during certain parts of the year to go and watch a film at the multiplex. As the years go by, competition from various other sources of entertainment and different content on air 24x7 will only get worse for the multiplexes, we reckon.
Okay, so when will I make serious money from that multiplex in my shopping mall?
#1. If we have 26 Chennai Express and 26 Aashiqui 2 releases every year, you will make serious money out of your multiplex lease.
#2. If all the people who illegally offer DVD rips of the latest films as free torrent downloads are caught and sent back to the ice age or better still, strictly restricted to good old dial up connections, we think you would make serious money.
#3. If great film makers were really paid what they deserve, they would make even better films and draw even bigger crowds to the screens, making your monthly take aways even larger. Sadly, the film world, like many others is controlled by insensitive, money minded blokes who do not recognize the cancer that is eating true talent away, brewing a vicious cycle which is best explained by the film 'Reclaim Your Brain'.
#4. Okay, so you really wanna know about when your big money is coming? Probably never. Because as a center owner, what you think is BIG money is simply not there. It does not exist.
Footnotes:
# Keep your expectations from a multiplex operator realistic. Those two or three floors in your shopping mall are totally dependent on external content over which you, PVR or Cinepolis and their clan have little or no control. And sadly, there is no other revenue stream for those floors at your center.
# Great film makers are smart folks. They will inevitably find a way to reach their patrons. So don't be surprised if some wise crack introduces a system for a same day global release of a film across all platforms like computers, tablets, smart TVs and the mobile phones. This will maximize collections, shut up the vindictive film critics and render the illegal DVD rippers useless.
# 2013 produced some great films too. But we are talking about money here so do not confuse great content with 'money raking in' content. Great content is a relative thing and outside the jurisdiction of this blog.
# As a parting thought, here is something cool for you to think about. "When am I going to make BIG money from that film?" is the question that plagues the film maker too. When realities are such, you, the shopping mall owner are way down the line. There are a hundred mouths to satiate before someone out there realizes you exist. Till then, why not focus on giving the retailers a healthy rental deal? That is where your income lies.
Cheers!
Before we try and dribble the ball successfully past that question, let us tell you that we, at IREFD love Jackie Chan!
 |
| Jackie Chan giving us that perfect low multiplex earning confusion expression! Phew. |
A Multiplex is essentially a Cinema Hall
Most of us may have forgotten amid all this retail and shopping mall boom that a multiplex is really a cinema hall that shows movies. They don't and more importantly, can't give you anything as a sort of extra service that makes you come back to the multiplex and buy a ticket every week. What then would make the dude with the spending power buy that ticket?
Content. Film. Movie. Flick. Any word you like.
Bollywood Releases in 2013 so far
We went through the box office collection figures of Bollywood film releases till mid 2013 and unearthed these important figures.
Total Number of Important Bollywood Releases- 36
Total Number of Hits - 15 (this includes mega blockbusters to just plain Jane hits)
Total Number of Average Film Releases - 5 (includes Special 26, Go Goa Gone & Madras Cafe)
Total Number of Flops and Disasters - 16
Quick Conclusion - 58.33% of major Bollywood releases in 2013 either just managed to break even or lost big money at the box office.
What you should know - If the mega Bollywood releases make no money, the multiplex makes no money. So you, the property owner certainly make no significant money.
Hollywood Releases in 2013 so far
Hollywood saw over 400 releases out of which, 85 odd flicks were critical releases and many of them made their way into the Indian multiplexes. However, since Hollywood has taken up a 3 point brief to make new films (#1. Cash in on cheap horror and even cheaper comedy #2. Cash in on end of the world and throw in a super hero and #3. Please the Chinese), Indian multiplex operators have not really made any big money from Hollywood either. And if you look outside the metros of India, Hollywood struggles for traction at the box office there anyway.
Quick Conclusion - The days of Jurassic Park, Speed and Independence Day are history.
What you should know - All the people who walked into your shopping mall never bought those Hollywood movie tickets. Too bad. No doughnut for you.
Do Cinema Halls (Multiplexes) have any competition?
For a die hard cine goer, NO. There is no experience that beats the movie hall. You will also be delighted to know that die hard cinema lovers have shifted their bases nearer to film festivals and other community film viewing events these days. Why?
"Roses are red
Violets are blue
You love me
I love you"
On a serious note, the IPL months, various cricket leagues, the English Premiere League, Formula 1 and numerous other engaging programmes on TV are leaving the cine goer with very little time during certain parts of the year to go and watch a film at the multiplex. As the years go by, competition from various other sources of entertainment and different content on air 24x7 will only get worse for the multiplexes, we reckon.
Okay, so when will I make serious money from that multiplex in my shopping mall?
#1. If we have 26 Chennai Express and 26 Aashiqui 2 releases every year, you will make serious money out of your multiplex lease.
#2. If all the people who illegally offer DVD rips of the latest films as free torrent downloads are caught and sent back to the ice age or better still, strictly restricted to good old dial up connections, we think you would make serious money.
#3. If great film makers were really paid what they deserve, they would make even better films and draw even bigger crowds to the screens, making your monthly take aways even larger. Sadly, the film world, like many others is controlled by insensitive, money minded blokes who do not recognize the cancer that is eating true talent away, brewing a vicious cycle which is best explained by the film 'Reclaim Your Brain'.
#4. Okay, so you really wanna know about when your big money is coming? Probably never. Because as a center owner, what you think is BIG money is simply not there. It does not exist.
Footnotes:
# Keep your expectations from a multiplex operator realistic. Those two or three floors in your shopping mall are totally dependent on external content over which you, PVR or Cinepolis and their clan have little or no control. And sadly, there is no other revenue stream for those floors at your center.
# Great film makers are smart folks. They will inevitably find a way to reach their patrons. So don't be surprised if some wise crack introduces a system for a same day global release of a film across all platforms like computers, tablets, smart TVs and the mobile phones. This will maximize collections, shut up the vindictive film critics and render the illegal DVD rippers useless.
# 2013 produced some great films too. But we are talking about money here so do not confuse great content with 'money raking in' content. Great content is a relative thing and outside the jurisdiction of this blog.
# As a parting thought, here is something cool for you to think about. "When am I going to make BIG money from that film?" is the question that plagues the film maker too. When realities are such, you, the shopping mall owner are way down the line. There are a hundred mouths to satiate before someone out there realizes you exist. Till then, why not focus on giving the retailers a healthy rental deal? That is where your income lies.
Cheers!
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