Major Cineplex
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media available. Cinemedia is already been some positive signs - continual among the highest growths in indications of economic recovery toward year- the entire media industry. For end and stronger than expected Corporates’ 2009 cinemedia contributes earnings in Q409. about 6% of the advertising expenditures for the entire PrOMOTION media industry. To motivate consumers to be moviegoers, Major Rental and Services Business: Cineplex is aggressive in its brand promotion, In the Standalone Cineplex, spreading out its efforts across variety of media MAJOR operates retail space according to specific target needs. Major Cineplex rental and services business also invests in advertising and public relations to complement the lifestyle efforts in order to enhance brand awareness with entertainment model by the general public. This is of special importance offering customers more when they have a special promotion. PrODUCT variety of entertainment Cinema Business: A Standalone Cineplex is a 7-10 services beyond movies, www.majorcineplex.com story building featuring 8-16 screens of cinemas bowling, karaoke and ice and 20-38 lanes of bowling, while the bottom 2-3 skating. floors are retail space for lifestyle shops. With a MAJOR has been able strong movie culture ensuring a continuous flow to attract many leading of moviegoers every week, the retail space in the international chains as well Standalone Cineplexes sustains a high occupancy as newly emerging local rate in excess of 90% and above at all times. brands. This has resulted in At year-end 2010, MAJOR operates five high occupancy rate at every different brands: location. Presently MAJOR • Major Cineplex • Esplanade Cineplex has a total of 166 shops, • EGV Cinemas • Paradise Cineplex occupying 83% of more than • Paragon Cineplex 44,000 sq.m available for rent With a total of 47 branches, 354 screens and or lease. 88,250 seats. MAJOR continues to add about Film Distrubution Business: 30-40 new screens a year. MAJOR has a strategic The Major Cineplex brand, is used for investment in the film geographical expansion and tapping new markets. distribution business through On the high-end, service and product innovations are its 65.93% stake in M MARKET HISTORY created for the Future of Entertainment Civilisation Pictures Entertainment Plc. Major Cineplex Group Plc is Thailand’s leading The “Cineplex” concept was first introduced customer experience in the six-star ambience of the MP is to manage the Lifestyle Entertainment Company with its core to Thais in 1995 when Mr. Vicha Poolvaraluck, Paragon Cineplex. The Nokia Ultra Screen 1 at the 52-week film programming business in cinema, bowling, karaoke, ice skating rink, the founder of MAJOR, built the first-of-its- Paragon Cineplex is equipped with fully-reclined, and smoothen out the retails space, film distribution and advertising media. kind Standalone “Cineplex” in Pinklao area of genuine leather seats in cubicles along with pillows revenue seasonality imposed To broaden its network of lifestyle Bangkok. The Standalone “Cineplex” concept and blankets for the entire auditorium seating. by Hollywood’s numerous entertainment portfolios MAJOR also invests in:- combines customer experiences of Cinema and Another product innovation at the Paragon summer releases in Q2 and • 24.1% in Siam Future Development Plc - a Entertainment complex under the same roof. Cineplex is the ENIGMA: the Shadow Screen, a holiday season releases in Q4. lifestyle-neighbourhood-mall developer. Moviegoers are offered not only a wide range luxurious movie club exclusively for members. Thirty- MVD is to manage the • 19% in California WOW Xperience Plc - an of film selection in the multiplex cinema format, four exclusive seats, resembling living room couches operates five branches under the brand Blu-O timing of the DVD/VCD releases as well as “exertainment” fitness club operator. but also a vast variety of restaurants, gift shops, adjacent to an exclusive club, are equipped with full Rhythm & Bowl, comprising Paragon, Esplanade pricing in a bid to optimise revenue generating • 40.0% in Thai Ticket Major Co., Ltd. - a ticket bookstores and many other lifestyle shops in one bar service and are perfect for private parties. Ratchada, Pattaya, Ratchayothin and Esplanade ability and protect the core cinema business. sales channel for concerts, sports events, stop. The Major Pinklao Standalone Cineplex has Lifestyle Entertainment Business: Bowling and Ngamwongwan-Kaerai. In 2009 MPIC Group set up a film production transportation, etc. quickly become a very popular destination of Karaoke were added to the portfolio of lifestyle The “sub-zero: the Ice Skate Club” is the latest company, M Thirty-nine Co. Ltd, to stimulate • 33.0% in Major Cineplex Lifestyle Property lifestyle entertainment alternatives for Bangkok entertainment services in 1997. Major Bowl Hit lifestyle entertainment added to the portfolio. growth in Thai films production. Leveraging Fund - a real-estate investment trust set up as dwellers ever since. In the subsequent three is decorated with a modern and trendy design Located in the Esplanade, Siam Future’s newest MPIC’s own distribution capability, combined with a vehicle for the Group’s expansion. years, three more Standalone Cineplexes were with the latest music releases played, enticing to Arte-tainment venue, the first sub-zero offers MAJOR’s dominant market share in cinema, the • 65.93% in M Pictures Entertainment - a media added to the Cineplex network around Bangkok the younger and family consumers. a compact ice skating rink of about 700 sq m Group ultimately aims to grow Thailand’s film and theatrical film distribution company. – Major Sukhumvit, Major Ratchayotin, Major Blu-O Rhythm & Bowl was introduced in 2006 with four ice karaoke rooms, ice dance studio industry as a whole. • 49% in PVR blu-O Entertainment Ltd. - Joint Rangsit and recently Esplanade Ngamwongwan- as a “club fashion bowling,” targeting higher- and classes for ice-skating, figure-skating and ice Venture with PVR Ltd., a leading, premium Kaerai, was opened in December 2009. end consumers in the metro areas. MAJOR hockey. The second sub-zero was opened in Dec RECENT DEVELOPMENTS multiplex cinema exhibition company in India, 2010 at Esplanade Ngamwongwan-Kaerai. A fundamental measure was to re-focus the to set-up bowling alleys, karaoke centres and At year-end 2010, MAJOR operates 29 core cinema business. The pricing structure was ice skating rinks across India. bowling locations with 480 lanes, 358 karaoke reviewed and it was found that the average rooms and two ice skating rinks. ticket price had moved up as it should. Raising ACHIEVEMENTS A joint venture company, PVR blu-O ticket prices was suddenly an option but, to In the past few years, the Advertising media Entertainment Co. Ltd. was set up to operate avoid negative publicity and turning away price business has grown significantly as MAJOR entertainment bowling business in India in conscious customers, it had to be carefully has built up a dominant market share but the partnership with PVR Limited, a leading cinema executed. “Dynamic Pricing” was designed to challenge was, how could MAJOR come up with operator listed on Stock Exchange of India. The prudently manage ATP upward. At first only ticket alternative sources of margins? first “Club Fashion Bowling” operated by PVR prices of Hollywood blockbusters were raised The instinctive reaction in a downturn would blu-O was opened in 2008 in Ambiance Mall - 10-20% during the first week of releases. Then Things you didn’t know about be to cut costs. In the process of scanning the Gurgaon, New Delhi with 24 lanes. high-traffic popular branches with high weekend MAJOR CINEPLEX costs and expenses, some branches appeared Advertising Business: MAJOR draws between 25-30 occupancy rates also saw some ticket price hikes. to be under-performing and generating negative million customers into the Cineplexes around the For price conscious customers, on the other hand, Siam Pavalai Royal Grand Theatre, a 1,100 seat capacity EBIT because revenue potential was too low. country annually. CineAd Co.Ltd. was established Wednesday admissions ticket prices were cut by theatre is the largest theatre in Asia. The cinema These branches were closed down and the assets to entice advertisers and media agencies with half to improve the utilisation rate. The outcome name was received from HRH Princess Sirindhorn. were relocated to new branches scheduled to a full-range of advertising services, ranging from of “Dynamic Pricing” has been quite encouraging. Major Cineplex website www.majorcineplex.com hosts open during the year, minimising the investment simple cinema screen advertising to fully-integrated From one standpoint, the havoc in 2009 was is the most popular movie website and more than costs as well as the impact of assets write-off. below-the-line media solutions incorporating all a good wake-up call. Going into 2010 there have eight million page views every month. 40 media available. Cinemedia is already been some positive signs - continual among the highest growths in indications of economic recovery toward year- the entire media industry. For end and stronger than expected Corporates’ 2009 cinemedia contributes earnings in Q409. about 6% of the advertising expenditures for the entire PrOMOTION media industry. To motivate consumers to be moviegoers, Major Rental and Services Business: Cineplex is aggressive in its brand promotion, In the Standalone Cineplex, spreading out its efforts across variety of media MAJOR operates retail space according to specific target needs. Major Cineplex rental and services business also invests in advertising and public relations to complement the lifestyle efforts in order to enhance brand awareness with entertainment model by the general public. This is of special importance offering customers more when they have a special promotion. PrODUCT variety of entertainment Cinema Business: A Standalone Cineplex is a 7-10 services beyond movies, www.majorcineplex.com story building featuring 8-16 screens of cinemas bowling, karaoke and ice and 20-38 lanes of bowling, while the bottom 2-3 skating.