FICCI-KPMG-Report-13-FRAMES

The power of a billion: Realizing the Indian dream
63
Single screens continue to face challenging times with
as many as 97 screens shutting down in 2012 9 . The year
saw single-screen theatres making efforts to re-invent
themselves and upgrading their existing infrastructure to
provide enhanced movie watching experience experience.
Players are making renovations from improving picture
quality, surround sound systems, and air-conditioning,
to improving the parking spaces and quality of food and
beverages. Some players have also introduced online
ticketing systems to curb black marketing and enhance
convenience for consumers. The Andhra Pradesh Film
Chamber of Commerce (APFCC) has teamed up with
theatre owners and producers to set up a portal for online
ticketing in 1,500 odd single-screen theatres across the
state 10 while the Maharashtra government is incentivizing
theater owners to adopt online ticketing systems by
providing tax incentives.
“
Many single screen owners are facing
challenging times. Single screens are in
existence since 1913 and paying entertainment
tax since 1923. However, till today we have
been loaded with heavy entertainment tax. The
Government should consider entertainment as
an industry and accordingly provide incentives
to single screen exhibitors to renovate and
improve facilities which can lead to increase in
occupancy levels.
“
“
Single screen contribution to Box Office is
increasing gradually. In reality the per show
revenue of single screen is higher than that
of multiplex. However, there is significant
under reporting of occupancy by single
screens, which will eventually be addressed by
proliferation of computerised ticketing system
along with digitisation of the screens.
“
- Sanjay Gaikwad
Chief Executive Officer and Managing Director,
UFO Moviez India Ltd
Scan the QR code to hear more from Sanjay
The industry has achieved 77 percent digitization of
screens and expects to achieve 100 percent digitization
by next year 11 . Digital technology is now enabling reaching
the un-served population which sits near the bottom of
the pyramid. The key advantages of digital technology
– affordability, security, timely access is facilitating the
emergence of a new category of exhibitors. Players such
as United Media Works are developing business models
that are addressing issues of piracy at the video theaters
(Government licensed outlets) and tapping the unserved
audience through making the films available at an
affordable cost.
- Ram Vidhani
President,
Cinema Owner and Exhibitor Association of
India
09. UFO Moviez India Ltd. market intelligence and company records
10. ‘A portal to kill the black ticket’, Deccan Chronicle, July 2012
11. Industry discussions conducted by KPMG in India
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