penetration scope in raipur

12
========================================================================= Raipur Demographics In 2011, Raipur had population of 4,063,872 of which male and female were 2,048,186 and 2,015,686 respectively. Average literacy rate of Raipur in 2011 were 75.56 compared to 68.51 of 2001. If things are looked out at gender wise, male and female literacy were 85.24 and 65.75 respectively. Out of the total Raipur population for 2011 census, 36.50 percent lives in urban regions of district. In total 1,483,289 people lives in urban areas of which males are 759,619 and females are 723,670. Sex Ratio in urban region of Raipur district is 953 as per 2011 census data. Source: http://www.census2011.co.in/census/district/495-raipur.html ========================================================================= 2012 Top 10 International Box Office Markets – All Films (US$ Billions) Source: IHS Screen Digest, local sources China $2.7 Japan $2.4

Upload: fecaxeyivu

Post on 19-Jul-2016

33 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Penetration Scope in Raipur

=========================================================================

Raipur DemographicsIn 2011, Raipur had population of 4,063,872 of which male and female were 2,048,186 and 2,015,686 respectively.

Average literacy rate of Raipur in 2011 were 75.56 compared to 68.51 of 2001. If things are looked out at gender wise, male and female literacy were 85.24 and 65.75 respectively. 

Out of the total Raipur population for 2011 census, 36.50 percent lives in urban regions of district. In total 1,483,289 people lives in urban areas of which males are 759,619 and females are 723,670. Sex Ratio in urban region of Raipur district is 953 as per 2011 census data.

Source: http://www.census2011.co.in/census/district/495-raipur.html

=========================================================================

2012 Top 10 International Box Office Markets – All Films (US$ Billions)

Source: IHS Screen Digest, local sources

China $2.7 Japan $2.4 U.K. $1.7 France $1.7 India $1.4 Germany $1.3 South Korea $1.3 Russia $1.2 Australia $1.2 Brazil $0.8

Page 2: Penetration Scope in Raipur

Cinema screens increased by 5% worldwide in 2012, due to double digit increases in Asia Pacific and Africa/Middle East, raising the total to just under 130,000. Digital cinema continues to grow rapidly (up 41%) and over two-thirds of the world’s screens are now digital. 2012 marked the first year that digital screens surpassed analog screens in international market share.

http://www.mpaa.org/wp-content/uploads/2014/03/2012-Theatrical-Market-Statistics-Report.pdf

=========================================================================

Naya Raipur Development Plan

Land Use Distribution – Proposed Naya Raipur CityThe Land Use Plan – 2031 for Naya Raipur has been prepared considering:i) The vision and city form (Section 5)ii) Hierarchical structuring of the City Functionsiii) Land-use-transportation integrationiv) Accommodating existing developments like village settlements, water bodies, plantations etc.

Under Land development in Land Use Zone we have land allocation for Recreational of city which contains land allocation to Film City is 46.49 ha (100 ha = 1 Sq Km ) of the total 2137.44 allocated to recreational zone.

Also for Retail Commercial infrastructure 144.67 ha land is allocated which would contain multiplex theatres etc.

Naya Raipur Development Plan

cghb.gov.in/NRDA_Guideline.pdf

=========================================================================

Drivers for movie goers to watch movie Link below couldn’t download

It requires facebook login

http://www.slideshare.net/protocool/whatdrivesamoviegoertowachmovies

=========================================================================

Raipur’s moviegoers will have a new and exciting location to view the latest blockbuster hits with the opening of the INOX multiplex at City Mall 36 on 17th August 2007. INOX is the first multiplex to open in the state of Chhattisgarh and will house 4 screens and 1280 seats.

Currently after 7 year only 5-6 multiplex are been able to establish in Raipur. Looking at the increase in the population and the expansion in media entertainment sector there has been supply shortage for movie theatre in Raipur.

Source:

http://www.afaqs.com/news/company_briefs/index.html?id=17373_National-multiplex-chain-INOX-launches-in-Raipur

=========================================================================

The media and entertainment industry is at an inflexionpoint with digital being the buzzword. Rightly so, everysegment within the media and entertainment ecosystemis getting impacted by digitalization in a significantway. The Government’s push towards digitalization andaddressability for cable television by 2014, is expectedto provide an impetus to DTH and digital cable growth.Similarly, more sophisticated digital production and postproductiontechniques coupled with the factors suchas foray of big corporate houses across the film valuechain, growth of digital distribution and exhibition,

Page 3: Penetration Scope in Raipur

primarily through increasing penetration of multiplexesare increasingly influencing the film segment in India.

Lack of high-quality contentWhile film-makers in India attempt to provide somethingnew and refreshing to viewers, the quality of contentproduced in 2010 has not been successful in attractingviewers. With viewer expectations in terms of qualityand variety and quality of content growing further, itbecomes an imperative for Indian film makers to becognizant of not only attracting viewers in India andoutside India but also make Indian cinema globallycompetitive at international film festivals

Low screen penetrationAccording to a recent study on cinema in India, there isa requirement of more than 20,000 screens as againstthe current figure of about 12000. The multiplexrevolution has started and with government’s move toallow 100% FDI on the automatic approval route, themultiplex penetration is expected to improve further.

Shift to alternate distribution mediumsWith the growing popularity of cable and satellitesyndication and other new media platforms, small tomedium budget films are expected to increasingly shifttowards these mediums as opposed to conventionaltheatrical release that entails huge marketing anddistribution expenditure. Moreover, social networkingsites are also emerging as an effective marketing andpromotion tool for films, enabling high level of involvementand interaction with the viewer.

Way forwardThe film segment in India saw declining revenues fortwo consecutive years, but is expected to recover thegrowth over the next five years to reach ~$3 billionat a growth rate of around 9%p.a. Today, multiplefactors are redefining the Indian film industry with everysingle function and activity related to the film domainbecoming more sophisticated and well-defined. Digital isrightly the buzzword for the coming decade.

Source:http://www.deloitte.com/assets/dcom-india/local%20assets/documents/me%20-%20whitepaper%20for%20assocham.pdf

=========================================================================

Few Qts which can be asked in media and entertainment sector

How can we extend our reach? How can we formulate multi platform distribution strategies to reach new audience segments and enable better subscription revenues? How do we penetrate emerging and lucrative regional pockets? How can we ensure access to media at realistic price points for the under-served population near the bottom of the pyramid?

730 million TV Viewers2

181 million Press AIR3

159 million Radio listeners3

176 million Internet users4

Significant potential to grow reach in a country of one billion

Page 4: Penetration Scope in Raipur

The Indian M&E (Media & Entertainment) industry grew from INR 728 billion in 2011 to INR 821 billion in 2012, registering an overall growth of 12.6 percent5.

The sector is projected to grow at a healthy CAGR of 15.2 percent to reach INR 1661 billion by 2017.5

Overall200

8200

9201

0201

1201

2Growth in in 2012

2013p

2014p

2015p

2016p

2017p

CAGR (2012-17)

TV 241 257 297 329 370.1 12.50% 419.9 501.4 607.4 725 847.6 18.00%

Print 172 175.2 192.9 208.8 224.1 7.30% 241.1 261.4 285.6 311.2 340.2 8.70%

Films 104.4 89.3 83.3 92.9 112.4 21.00% 122.4 138.3 153.6 171.7 193.3 11.50%

Radio 8.4 8.3 10 11.5 12.7 10.40% 14 15.4 18.7 22.7 27.4 16.60%

Music 7.4 7.8 8.6 9 10.6 18.10% 11.6 13.1 15.3 18.3 22.5 16.20%

OOH 16.1 13.7 16.5 17.8 18.2 2.40% 19.3 21.1 23 25 27.3 8.40%

Animation and 17.5 20.1 23.7 31 35.3 13.90% 40.5 46.8 54.3 63.1 73.4 15.80%

Gaming 7 8 10 13 15.3 17.70% 20.1 23.8 30.9 36.2 42.1 22.40%Digital Advertising 6 8 10 15.4 21.7 40.90% 28.3 37.1 48.9 65.1 87.2 32.10%

Total 580 587 652 728 821 12.60% 917 1059 1238 1438 1661 15.20%

Hindi movies Hindi movies is the second biggest genre in the Hindi speaking markets, with a viewership share of close to 12 percent in 2012. In 2012, the genre increased its viewership share by 13 percent28. A part of this growth may be attributed to inclusion of LC1 markets in TAM ratings measurement, where Hindi movies account for a larger share of the market compared to the HSM average. The competition in this genre continues to remain intense, with most movie channels of the large broadcasters delivering 50-6029 GRPs per week. Two new launches in the category in 2012 were Movies OK from Star India and Cinema TV.

The Hindi movies genre is a fragmented market with 12 players competing for a 430 percent share of the television advertisement pie. The advertisement market for Hindi movies has stabilised at around INR 1231 billion, and is expected to grow at a steady rate going forward. The genre continues to be under-valued vis-à-vis viewership share, while channels struggle to keep rising movie acquisition costs in check. Movie channels belonging to large broadcasters have the advantage of being able to access libraries of their parent networks. Newer channels like Cinema TV are looking to reduce costs and differentiate content with a library of older movies from the 70s and 80s.

After several years of muted growth, 2012 was an exciting year for the Indian film industry with the audience returning to the theaters. India’s domestic theatrical revenues grew by 23.8 percent Y-o-Y, contributing 76 percent to the INR 112.4 billion film industry1. Digital distribution played a significant role in increasing the reach of the industry. The industry has begun penetrating tier II and III markets and entertaining the un-served population which sits near the bottom of the pyramid. All this has been made possible by leveraging technology which is allows for a movie watching experience at an affordable cost and in a secure environment.

Indian cinema has continued to enchant the Indian audience for almost a century now and it is expected to continue on its growth trajectory and be worth INR 193.3 billion by 20171. Domestic theatricals will continue to be the major growth driver for the industry while ancillary revenue streams will also grow rapidly albeit off a smaller base.

For these films, co-production continues to be the preferred business model. Production houses see prudence in teaming with peers who know those local markets. Both international and Bollywood studios are leveraging co-productions deals for entering newer markets as they learn the pulse of the vernacular audience. Local producers are leveraging the national and international distribution strength of their co-producers and taking their content to newer geographies.

Bollywood and Hollywood production houses are moving into regional markets which are also observing a tectonic shift in the consumption pattern of the audience. The new generation in regional markets is more receptive to non-mainstream films and is encouraging experimentation with content.

Page 5: Penetration Scope in Raipur

Growth of the multiplex industry will be highly correlated to the level of real estate development as most players intend to grow both organically and inorganically. Organic growth of the industry will be mostly through greenfield investments as most multiplex players do not perceive value from converting single screens into multiplexes. Accordingly, only 10 single screens were converted into multiplexes in 2012.8 Inorganic activity gathered pace in 2012 with PVR acquiring Cinemax. The quest for scale in the exhibition business will continue to drive deals as players race to add screens. In the short run, organic growth will be limited by the bottlenecks created due to slowing development of malls and commercial real estate.

Single screens continue to face challenging times with as many as 97 screens shutting down in 20129. 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 state10 while the Maharashtra government is incentivizing theater owners to adopt online ticketing systems by providing tax incentives.

The industry has achieved 77 percent digitization of screens and expects to achieve 100 percent digitization by next year11. 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 un-served audience through making the films available at an affordable cost.

Page 6: Penetration Scope in Raipur

Domestic theatrical 2012 was an exciting year for the Indian film industry with footfalls returning to the big screen. The domestic theatrical segment grew at a CAGR of 23.8 percent as against our estimate of 7 percent last year

The above chart shows the scope for expansion in eastern region is high and Raipur can be considered in the eastern zone

Page 7: Penetration Scope in Raipur

Cinemas in India may be segregated into 3 genres: mainstream, non-mainstream and art house movies. 2012 saw mainstream cinema grow even bigger. The year also saw the emergence of non-mainstream cinema with movies such as ‘English Vinglish’ and ‘Kahaani’ gaining sufficient traction. Anurag Kashyap’s ‘Gangs of Wasseypur (I & II)’ garnered revenues of INR 470 million50, an amount unheard of for this category of films. Art house cinema (or independent cinema) is yet to establish its foothold in the Indian industry.

Source:

https://www.in.kpmg.com/Securedata/FICCI/Reports/FICCI-KPMG-Report-13.pdf

=========================================================================

Region Particulars Location Type Screen Capacity

East Assam Guwahati Mutiplex 2 500East Chhattisgarh Raipur Mutiplex 5 1055East West Bengal Kolkata Mutiplex 4 1208East West Bengal Silliguri Mutiplex 4 974North Delhi Delhi Mutiplex 6 1116North Uttar Pradesh Kanpur Mutiplex 3 999South Andra Pradesh Hyderabad Mutiplex 3 1001South Andra Pradesh Cyberabad Mutiplex 6 947South Karnataka Bengaluru Mutiplex 4 795South Karnataka Bengaluru Mutiplex 6 1084South Kerala Cochin Mutiplex 4 634West Gujarat Gandhinagar Mutiplex 4 862West Gujarat Ahmedabad - Dev

Arc Mutiplex 4 1013West Gujarat Rajkot Mutiplex 3 777West Gujarat Ahmedabad - Red

Carpet Mutiplex 4 991West Gujarat Shiv Mutiplex 3 637

Page 8: Penetration Scope in Raipur

West Gujarat Baroda Mutiplex 2 330West Gujarat Surat Mutiplex 3 716West Maharashtra

(Ex Nashik Multiplex 3 1002West Maharashtra

(Ex Nashik Multiplex 2 431West Maharashtra

(Ex Nagpur Mall+Multiplex 3 1007

West Maharashtra (Ex Nashik Multiplex 5 1016

West Maharashtra (Ex Malegaon Multiplex 3 1033

West Maharashtra (Ex Pune Multiplex 4 975

West Mumbai Goregaon Multiple Screen 2 698

West Mumbai Kandivali Single Screen 1 287West Mumbai Andheri E Single Screen 1 362West Mumbai Sion Multiple

Screen 5 827West Mumbai Thane Wonder Multiplex 4 1136West Mumbai Mira Road Multiplex 3 1018West Mumbai Versova Multiplex 6 1477West Mumbai Kandivali E Multiplex 4 1267West Mumbai Thane Eternity Multiplex 4 1035West Mumbai Bandra Single Screen 1 195West Mumbai Vashi Multiplex 3 914West Mumbai Kalyan Multiplex 2 479West Mumbai Ghatkopar Multiplex 4 1250West Mumbai Malad Multiplex 5 824

PVR derives larger share from Hollywood as compared to industrySource: Company, MOSL

Page 9: Penetration Scope in Raipur

Huge growth opportunityIndia has a population of 1.2b, growing at 1.3% per year. Demographics are favorable,with 35% of the population in working age. Movie going is the number-1 entertainmentoption for people in India, the world’s largest film entertainment market (1,000 moviereleases and over 3b movie goers annually). The industry size is estimated at USD2bin 2012, projected to grow at a CAGR of 11.5% to reach USD3.5b by 2017.India has a total of 9,100 screens, of which just 1,400 are multiplex screens. The averageticket price is ~USD1 for single screens and USD2.6 for multiplexes. The multiplexsegment is highly organized and largely dominated by five key players (1,028 screensas on date). Bollywood (Hindi) movies account for ~45% of the film industry revenues,followed by Tamil (18%) and Telugu (16%). Hollywood movies contribute ~8% of theIndian film industry revenues

Page 10: Penetration Scope in Raipur

Tier-II and tier-III cities potential growth driversDigitization has changed the face of the movie industry in a number of ways, onebeing simultaneous release on several screens, including those in tier-II and tier-IIIcities. Movie exhibitors now see tier-II and tier-III cities as potential growth drivers.Though Delhi and Mumbai contribute 55-60% of the revenues of a big budget film,multiplex expansion in these regions is rapidly drying out. In 2012, there were no newscreen additions in Mumbai and Delhi.With lower real estate prices in smaller towns and the leeway to launch a no frillscinema, exhibitors are able to bring down the cost per screen considerably. Keepingin mind demographics of these cities, ticket prices are lower than in the metros. Forinstance, while a regular PVR ticket is priced at INR100-275 in Delhi/NCR, it is priced atINR80-120 in Bilaspur.

http://www.motilaloswal.com/site/rreports/HTML/635131941530952492/index.htm

=========================================================================

http://www.slideshare.net/yogdevmore/multiplex-industry-in-india

=========================================================================

PVR Cinema Research

CIA Factsheet