Do films and food go hand in hand? Yes says, multiplex operators! With consumer spending more at cinema halls and online ticketing gaining prominence, multiplex operators are increasingly focusing on improving their revenues from the food and beverages segment.

From setting up own F&B division to offering curated menu to enabling online orders, multiplex operators are doing different things to shore up revenues.

Major players in the business like PVR, Carnival and Inox says that consumer spend on F&B ranges anywhere between Rs 50 and 85 per head compared to an average cost of movie ticket at Rs 175-180. They are hoping that the food and beverage revenue would grow by another 20 per cent.

Daizy Lal, COO, INOX Leisure Ltd said, “We have seen a consistent increase in the revenue from our F&B business. In FY 2015, it has increased to Rs 191.03 crores and last financial year we have touched Rs 265.63 crores clocking an increase in of 39 per cent.”

INOX has gone a step ahead and has launched its in-house food brand called Refuel. It also has its own brand of kettle chips called ‘Intermission’. Guests can now walk in to the nearest INOX and just have food without buying a ticket.

Ashish Saxena, COO-Cinema, BookMyShow said, “Multiplexes are looking to enhance the cinema goers experience. With bookings going online, multiplexes are doing taking both online orders and even introducing seat deliveries. This reduces not just turnaround around in food delivery but also helps curate menus which are not typically available on multiplex’ food counters”.

Saxena said that the sale of online tickets along with F&B on the online platform is expected to grow by three times in the next 12-18 months. BookMyShow plans to rope in at least 300 cinemas operators both national and regional to tap the online F&B vertical.

Shrikant Bhasi, Chairman, Carnival Group, said that as compared to last year, there is a growth of 18 to 20 percent in the F&B segment. Bhasi noted that with more tickets going paperless, the company too has increased its online offerings. “Around 30 percent patrons are booking online tickets these days and out of them from 70 to 80 percent buy food online,” he added.

Industry sources indicated that F&B segment of multiplexes has operating margin of 70 per cent.

Gautam Dutta, CEO, PVR Cinemas said the company has a whole kitchen team where all products are made in-house. “In certain cinemas, we have been associated with third party vendors where we don’t see the viability of doing it in-house,” he added.

INOX’s Lal reckons there’s a preference for fresh food category. “We have curated our menus keeping in mind the evolving trends. Our guests typically comprise families and big groups. We offer elaborate food counters including Live counters serving different pastas, pancakes, waffles. F&B in cinema have matured to a level where mushroom and pesto sandwiches have replaced the typical paneer, chutney or cheese sandwiches.

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