A Report On

Evaluation of cinema industry scenario in Chhindwara city

Submitted to
MOVIE MAGIC

As Partial Fulfilment of the Requirements of MOVIE MAGIC From

Post Graduate Diploma in Management May 2011-2013

Under the Guidance of

Dr. Mrs Namrata Vasudeo Jasrotia

Submitted by
Anoop .C. Varghese Ashish Ranjan Chandramani kumar Rishitosh Ranjan

XIMJ Xavier Institute of Management, Mandla Road, Tilhari, Jabalpur (MP)

Certificate by the Guide This is to certify that Chandramani kumar, Ashish Ranjan, Anoop.C.Varghese & Rishitosh Ranjan has carried out this project report titled Evaluation of cinema industry scenario in Chhindwara city as partial fulfilment of the requirement of MOVIE MAGIC from the Post Graduate Diploma in Management 2011-2013 of XAVIER INSTITUTE OF MANAGEMENT, JABALPUR. It is also certified that the report presented embodies the original work of the student. The present report can be forwarded for evaluation. Dr. Mrs. Namrata Vasudeo Jasrotia Signature: Date:

Declaration by the Students WE hereby declare that this project report titled Evaluation of cinema industry scenario in Chhindwara city has been submitted by us, as partial fulfilment of the requirements of the Post Graduate Diploma in management (2011-2013). This is the result of original work carried out by us. This report has not been submitted anywhere else for award of any other degree /diploma.

Anoop .C. Varghese Ashish Ranjan Chandramani kumar Rishitosh Ranjan

Date:

ACKNOWLEDGEMENT

We would like to express our sincere gratitude to MOVIE MAGIC, JABALPUR who gave guidance, support, encouragement and valuable suggestions during the making of this project. We wish to express sincere gratitude to all the office bearers of the (MOVIE MAGIC) for giving us the opportunities to do such kind of research projects with them. They have been very helpful throughout our work. We would like to thank MOVIE MAGIC; we would like to thank Mr. Sunil Thakrey to source us with useful data and solving the queries. We would like to thank our Fr. Ranjit Tigga S.J Director XIMJ, Dr. Namrata Vasudeo Jasrotia, Dean, XIMJ and Ashish xalxo sir and placement cell of XIMJ for giving the opportunity and permission to do such kind of project without which we could never have learned so much by just attending the classes but now we have a far better idea of the practical side of marketing.

EXCUTIVE SUMMARY The Indian Film Industry is one of the oldest segments of Indian entertainment industry. Films constitute about 27% of the entertainment industry in India. The film industry was given status of industry in the year 2000. In recent years, the Indian film industry has witnessed marked improvements on all fronts, viz., technology, themes, exhibitions, finances, marketing and business environment. Indian film industry is also getting corporatized. FDI in all film related activities such as film production, distribution, exhibition; marketing etc. is permitted up to 100% for all companies under the automatic route. The combined revenues of the Indian film industry, including box office and ancillary revenues, are estimated to have reached a figure of around Rs.109.2bn in the year 2009. One of the major reasons for a large number of films being produced and released is stated to be the proliferation of quality film exhibition infrastructure through multiplexes since 2001. Increased cinema attendance and gross box office collections, thus, improved the business economics across the film value chain. Factors like rising consumerism, increase in disposable income, favourable demographics, lower penetration of multiplexes within the country and boom in retail sector throw up excellent opportunities for the multiplex sector in India. The cinema exhibition industry in India is growing at 10% per annum driven by multiplexes, which are expanding rapidly in major metropolitan cities as well as second and third tier cities. Favourable demographics in a cinema-crazy nation, tax exemptions, and quality locations such as malls, are driving growth of multiplexes in India. The report provides a snapshot of the market including the two segments multiplexes and single screen cinemas. An overview gives a quick picture of the market with estimated market size, growth rate and theatre distribution in India. Various business models adopted by Indian multiplex operators are presented along with typical revenue streams and cost base. An analysis of drivers reveals that on the supply side - growth in film industry, improving real estate supply, and favourable tax exemptions have help in growth of this sector while on the demand side favourable demographics, rising income

levels and willingness of people to spend on entertainment are increasing footfalls. The key challenges identified include slowdown in economy, alternate modes of entertainment, development delays, piracy and uncertainty over entertainment tax exemptions. The industry is characterized by seasonality, low screen density, increasing average ticket prices, and reducing shelf life of movies. The key trends identified include producers by passing distributors, shift to digital cinema, and alternate content in multiplexes, retail partnerships, and new single screen formats. The competitive landscape identifies and compares the major multiplex operators in the market since they dominate an industry where single screen cinemas are highly fragmented. Comparison parameters include number of screens, number of cinemas, footfalls and occupancy ratio. BACKGROUND OF THE STUDY Movie-Magic Multiplex is an ambitious project of Jabalpur Entertainment Complexes Pvt Ltd (JECPL). It is the first multiplex of its kind in Mahakaushal region, equipped with latest technology and quality leisure facilities. The development firm is primarily promoted by the leading family of Raja Gokuldas of Jabalpur. Present scenario of competitive market of cinema exhibition centres or multiplex industry is growing with aggressive rate and this competition is leading organisations to the untapped market of multiplexes in smaller cities and organisation is trying to explore the smaller cities and trying to create their strong hold in market.

NEED OF THE STUDY The project was an attempt to know the market condition of multiplex industry prevailing in Chhindwara city of Madhya Pradesh. Despite Big Cinema having first mover advantage & brand name in Chhindwara city, but there is great amount of dis-satisfaction among the people residing in Chhindwara regarding cinema exhibition centres in city. Secondly a study of consumers decision making factors is required in order to understand their priorities & market scenario which can be worked upon and for this purpose a research was conducted and according to the responses given by the people and data analysis, the company will be able to understand its strengths, weakness, opportunities and threats. Further the report will help the company to be aware about the market futuristic needs & growth in Chhindwara city.

OBJECTIVE OF THE STUDY:Specific objective Evaluation of cinema industry scenario in Chhindwara city. General objective To identify the established & upcoming cinema exhibition centre in Chhindwara city. To collect information on expectation of people on cinema exhibition centre in chhindwara city. To identify best locations for cinema exhibition Centre in chhindwara city.

RESEARCH METHOLOGY Research design Descriptive and Exploratory research design was used to conduct this research. Descriptive research design helps to know the perception of customers visiting the cinema hall due to various reasons. And it is also important to explore the various factors which can attract them for visiting multiplex in the city. Sample design: Random sampling method was used in this project. Sample size: Sample size was 60 covering the Chhindwara.

Research tools and techniques Communication approach was basically structured questioning, that is personal interview. To serve the purposes, one types of Questionnaire was made.

Source of data The source of the data was based on primary data and secondary data. Primary data Primary data was collected on the fields directly from the respondent with the help of questionnaire schedule prepared for the purpose. Secondary data Secondary data like history of MOVIE MAGIC, physical and political descriptions of chhindwara, have been collected from the following sources. o Company website o census survey report Method of data analysis Data has been analysed with the help of SPSS. The collected data has been explained through pie chart, bar graph, column graph with a line graph in the report.

CHINDWARA CITY PROFILE Chhindwara City Overview: - Chhindwara city is governed by Municipal Corporation which comes under Chhindwara Metropolitan Region. The Chhindwara city is located in Madhya Pradesh state of India. Chhindwara Population 2011:- As per provisional reports of Census India, population of Chhindwara in 2011 is 138,266; of which male and female are 70,444 and 67,822 respectively. Although Chhindwara city has population of 138,266; its urban / metropolitan population is 190,008 of which 97,040 are males and 92,968 are females. Chhindwara Literacy Rate 2011:- In education section, total literates in Chhindwara city are 112,532 of which 59,892 are males while 52,640 are females. Average literacy rate of Chhindwara city is 90.37 percent of which male and female literacy was 94.49 and 86.10 percent. Chhindwara Sex Ratio 2011:- The sex ratio of Chhindwara city is 963 per 1000 males. Child sex ratio of girls is 946 per 1000 boys. Chhindwara Child Population 2011:- Total children (0-6) in Chhindwara city are 13,745 as per figure from Census India report on 2011. There were 7,062 boys while 6,683 are girls. The child forms 9.94 % of total population of Chhindwara City. Chhindwara Metropolitan Areas: - Chandangaon, Chhindwara, Emaliya Bohata, Khajari, Khapabhat, Kukadajagat, Lonia Karbal, and Seoni Pranmoti. Chhindwara cinema exhibition centres:-1.alka (big cinema) 2.Pankaj cinema. 3.patni cinema 4.Raj cinema

Chhindwara City Population Children (0-6) Average (%) Sex ratio Child Sex ratio

Total 138,266 13,745

Male 70,444 7,062 94.49

Female 67,822 6,683 86.10

Literacy 90.37

963 946

MAJOR CONSTRAINTS OF THE STUDY Subjectivity is the main limitations of such studies. It is very difficult to verify the research results. Also the replications of the same group of respondents produce different research results. Verifications very difficult particularly when the primary data has been collected and used as we have done i.e. main emphasis are on primary data in this project These sorts of projects take generally longer period than other ones. The time by which the research results are presented. Situation may undergo a change. Hence, time gap may effects the successful implementations of research results. The study is based on information gathered by self it may happen that unwillingly missed some important point during the approach. Distance is also a big constraint in this kind of research because the coverage area of this research.

Chapter IV
Data Analysis

Table No. 1 Respondents name

120 100 80 60 40 20 0

Frequency Percent Abdul sazid Machindra Satyendra Durgesh Umesh Vivek Singh Nitin Ray Pradip Shivam Narang

Hitesh

Anup soni

Mukesh Patel

Rajesh Nagoria

Akhilesh Bara

Saloman

Tanvir

Chintu Gharu

Ashish Vishwas

Banti Yadav

mohit jain

Total

Valid Percent Cumulative Percent

Source: Primary Data

Interpretation
The above graph shows the total frequency and percentage of respondents who are being interviewed.

Table No 2. Frequency of Visit

120 100 80 60 40 20 0 Once in Once in Once in Twice in Less a week a month three a month often month Source: Primary Data Total Frequency Percent Valid Percent

Interpretation
The above graph shows the frequency of visit is highest in the segment Twice in a month that is maximum 26.66 percentage.

Table No 3.

Best Theatre/Multiplex
120 100 80 60 40 20 0 Bigcenema Source: Primary Data Pankaj Cinema Total Frequency Percent

Interpretation
The above graph shows the users of Big cinema is maximum percentage that is 95 and the second one is Pankaj cinema consisting 5 percentage.

Table No. 4

Show Time
120 100 80 60 40 20 0 Morning Afternoon Evening Night Total Source: Primary Data Frequency Percent

Interpretation
The above graph shows the most preferred show time by the respondents is 41.66 percent that is Night show and the second preferred timing is in the percentage of 28.33 that is of Evening show.

Table No. 5

Level of Satisfaction
120 100 80 60 40 20 0 Excellent Very good Source: Primary Data Good poor 5 Total Frequency Percent

Interpretation
By this graph, we can say that the percentage of level of satisfaction is 58.33 that is in good segment.

Table No. 6

Facilities in Multiplexes/Theatre
120 100 80 60 40 20 0 Price AC Parking Power Seat Type Back Up Total frequency Percent

Source: Priamary Data

Interpretation
The above graph shows that Parking is one of the most formidable facilities that is in the percentage of 26.33.

Table No. 7.

Purchasing medium of Ticket

120 100 80 60 40 20 0 Ticket counter Source: Primary Data Online or Telephonic Both Total Frequency Percent

Interpretation
The above graph shows that the purchasing medium of ticket by the respondents is from Ticket counter which is in maximum percentage i.e 66.66 and by online it is in the perentage of 23.33.

Table No. 8

Purchasing food/Beverages
120 100 80 60 40 20 0 no Source: Primary Data yes Total Frequency Percent

Interpretation
By the above graph, we can say that the percentage of purchasing food is 71.66 and the remaining 28.33 percentage doesnt purchase.

Table No 9

Satisfaction level with existing one.

120 100 80 60 40 20 0 highly unsatisfied Source: Primary Data neutral Total Frequency Percent

Interpretation
The above graph shows that the percentage of respondent who are highly unsatisfied is 63.33 and the remaining percentage that is 36.67 is neutral means having no opinion.

Table No 10.

Opinion about new one

yes
120 100 80 60 40 20 0 Frequency Source: Primary Data Percent yes

Interpretation
By the above graph, we can say that the 100 percent of the respondents are agree that there should be a new multiplex, means 100 percent are in the support of new multiplex.

Chapter V

CONCLUSION
The present study aims at studying the impact of theatres/multiplex in terms of selection criteria for choosing theatre, seeking facility etc. Primarily it is vital to know the relevance of measuring the Theatre effectiveness. We need to realize that the main objective of Theatre impacts on customers. It has been concluded that in most of the research studies, customers were having positive perceptions and impacts towards media. The media especially television, satellite channels certainly affect the lifestyle of individuals. Decision Makers tend to buy the products advertised by media, irrespective of its cost. From the present study, it can be concluded that there is a significant impact of media on Decision Makers on these parameters. Customers find the brand name. They believe that the facilities by theatre to the relevant and consider them while taking decisions. So, the Movie Magic needs to understand the needs and preferences of the Customers before Finalizing the marketing Strategy.

Scope for future Research

Further research can explore how communication variables (viz. purchasing medium of tickets, selection criteria for theatres, location impacts etc) for different categories of products and services are influenced by the presence of communication about these products and services on media and if possible, figure out the metrics that may be used to measure the effectiveness of Theatres on customers.

Suggestion/Recommendation

REFRENCES

Annexure I
Put the questionnaire here and if you have maps .