Inspire Multiplex Pvt Ltd (IMPL), which launched its first screen under the brand name My Cinemas in Mumbai in end-2010, has set a target of 300 screens by 2013. Besides India, where 30 to 40 per cent of the screens are expected to be launched, Europe, Africa and the US have been identified as key markets.

An initial funding of Rs 25 crore for IMPL has come from Indian angel investors, for this year. IMPL estimates that a total of Rs 350 crore will be required to complete its proposed expansion over three years. At present, the company has no debts, and the additional funds required will be realised through further funding from angel investors followed by debt, and subsequently through equity, said Mr Amitabh Vardhan, Director and CEO, IMPL.

In three-to-four months, a four-screen multiplex in Bulgaria will open, followed by one in Romania. Agreements have been signed for a total of 30 screens so far, of which, 11 are in India. Screens in Haridwar and Pune are to be launched in the next seven to eight months.

“Over the last year, we have been working to ensure that there are no hurdles in the content supply. Another priority was to ensure that we work the cost components to cater to audiences at an affordable cost,” noted Mr Vardhan.

Ticket Size

In the first My Cinemas outlet, which is a single screen bought out by IMPL, the average ticket price is Rs 104, with the highest being Rs 225 for the ‘Gold Class.' So far, the cinema claims to have enjoyed 40 per cent occupancy.

Mr Vardhan estimates that in metros and Tier-1 outlets ticket prices at My Cinemas would be in the range of Rs 50 to Rs 200, with an average rate of Rs 100 to Rs 150. In Tier-2 towns, the average ticket size “should not exceed Rs 100.”

“We hope to sign up 150 screens by the end of the year, with 20 to 25 of them being operational,” added Mr Vardhan. Around half of the operational screens would be in India.

Typically, at multiplexes, 60 to 65 per cent of revenues come from ticket sales, noted the My Cinemas spokesperson, and 20 to 25 per cent from gaming zones and sales of food and beverages. The remaining is attributed to other avenues like advertisements.

“If you allot equal space to gaming zones and F&B, as you do to the screens, a fourth of the revenues can be realised from them. We have to decide on the allocation on a property-to-property basis, depending on the market,” he explained.

So in Europe, IMPL will consider small café areas for patrons to consume alcoholic beverages, given the freezing temperatures in winters and friendly regulations. And in markets like SE Asia where Karoake is popular, IMPL will evaluate such set up within the establishment.

Bryan Adams Live

With digital infrastructure and delivery of content, everything from wedding videos to a 3D version of Super Bowl could become content, according to the My Cinemas official. At its Bulgaria screens, My Cinemas has received a request to air a Bryan Adams concert scheduled for July, live.

“If the screens are up and open by then, we will be doing a HD live telecast of the Bryan Adams concert. We see that as an opportunity in India as well; only here, there are several restrictions,” noted Mr Vardhan.

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