“Is Content the Real Problem, Not Ticket Prices? PVR's MD Shares Insights”
Ajay Bijli, the head of India's largest cinema chain PVR INOX, has shared his views on the ongoing debate around rising ticket prices affecting film performances at the box office. In a candid interview, the industry veteran shed light on experiments conducted by the exhibition sector and explained why quality of content is the main factor impacting footfalls, not pricing alone.
Bijli revealed that PVR's average ticket costs around Rs. 260 nationally but footfalls depend more on content than prices. Recalling initiatives like rates as low as Rs. 85, he noted audiences were still not attracted solely by affordable rates. According to the MD, people want engaging entertainment during their leisure time more than just low prices.
Providing a breakdown of PVR's revenue streams, Bijli emphasized maximum income comes from ticket sales. While food and beverages contribute over 20%, footfalls are critical for the entire business. Experiments show attempts to boost visitors through deep discounts and combos had limited impact, indicating pricing is a perceived not real issue for the sector.
In a revealing anecdote, Bijli shared video evidence of patrons filling excessive free snacks but exiting without watching films they had tickets for. He observed this happening during a Rs. 99 offer, suggesting audiences were more interested in promotions than the content.
The PVR head reiterated only 14% of their screens charge over Rs. 350, with the majority (86%) in the affordable Rs. 180-200 range. Bijli affirmed their target patrons are those seeking value amid quality viewing facilities. By focusing on enhancing footfalls through diverse offerings rather than further price cuts, PVR is tackling the true problem plaguing cinemas – lack of engaging content.
