Yes, you heard it right.
Company is known as Entertainment Powerhouse. but after looking at the Company's financial data, and Concalls, it can be easily understood that, it will become key player in the Food and Beverage (F&B) sector.
Let see some Data stats:
% of Total Sales .
2018: 26.75% in F&B VS 53.44% in Sale of Ticket.
2019: 27.82% in F&B VS 53% in Sale of Ticket.
2020: 28% in F&B VS 51% in Sale of Ticket.
2021: 26.98% in F&B VS 36.37% in Sale of Ticket.
2022: 29.34% in F&B VS 47.55% in Sale of Ticket.
2023: 31.24% in F&B VS 49.59% in Sale of Ticket.
2024: 32.89 (Expected) in F&B VS 53% (Expected) in Sale of Ticket.
if you look at the above stats, sales of movie ticket has comeback to the pre-covid level which is of 53%. and on the otherhand,
Food and Beverages sales is striking out in numbers. and have surged from 26.75% to almost 33%.
Company has realized that moviegoing experience is not longer limited to the screen, here F&B plays a pivotal role.
Company has introduced promotions like Rs99 Weekly deal and weekend refill plans for Popcorn and Pepsi.
An Interesting insight that i found through reading Concall is F&B spending is more of region specific than film specific. Culture plays a big trend, For instance, Family oriented films tends to relate higher F&B spending.
F&B sales serves a lifeline for Multiplexes, since these kind of business have higher operational cost like Rent and Maintance, these gives higher margins and revenue contribution for the business, and less revenue sharing as comparing to 50-50% with distributors and Producers, in some cases it goes with 2.5% discount or premium with it.
P.s i recently gone to watch a Biopic movie "Maidaan" in Kormangla, Banglore. and movie ticket costed approximately Rs 350 and these popcorn and pepsi costed me around Rs 600! and i am a movie buff, so i watch around 2-3 movies in theatre per month
src- concall and Wtf podcast by nikhil kamath
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