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Priya Village Roadshow (PVR) Cinemas is one of the largest cinema chains in India. The company, which as a joint venture agreement between Priya Exhibitors Private Limited and Village Roadshow Limited in 1995 with 60:40 ratio, began its commercial operations in June 1997 with the launch of PVR Anupam in Saket, India's first multiplex. By introducing the multiplex concept in India, PVR Cinemas brought in a whole new


Service Product:

The core benefit is the MOVIES that a customer comes to a cinema hall along with the attendant experience of PVR Cinemas. Thus, we can say the following are the expected product in the case of PVR :

Luxury Cinema. Bulk Cinemas. E-Booking and Tele Booking. Parties at PVR. Movie newsletter and vouchers.

PVR Cinemas also provides a reliable and responsive service package which include many tangible elements such as well maintained movie halls, restrooms and trained employees who handle their duties with empathy.

PVR when it initially started off had a huge advantage of being only one of its kind in Delhi to begin with. Therefore they could charge a higher amount to its customers as they were willing to pay it for the new concept. This high pricing helped them make maximum gains. In the case of PVR, they make use of all their tangible elements to prove to the customers that the movies tickets are worth the price they are paying for it. Prices that had originally started at Rs. 125(for evening shows) and Rs. 90(for morning shows) have gone upto Rs. 150 and Rs. 100 respectively.

New weekend releases are priced at higher rates ranging from Rs.250-Rs.300 according to the seating preference. PVR Priya has a slightly different pricing system which varies from Rs.45 to Rs.150 for different slabs of customers. The pricing at elite PVR Cinemas such as PVR Europa is Rs. 160 and Rs. 750 for a Gold Class ticket. It offers superior ambience, environment, seating, viewing etc. in the sum.

The factor of location is very important keeping in view the potential markets in terms of channel selection and distribution. All PVR cinema halls are stationed at good locations in the city. This enables them to gather a number of footfalls everyday. PVR opens its outlets at eventful yet untapped locations. PVR has no other channel of distribution, as their service is sold solely at their chains.

The only intermediary is the Indian as well as international movie distributors to procure their movie prints.

Promotion is a very vital part of the marketing mix especially in the case of services.

PVR as a brand indulges into print advertisements on every Friday giving out the latest movie schedule. Any new developments are communicated to the customers via press releases. They are also in collaboration with cellular services like Airtel which have SMS and win contests which promote both brands significantly and give out free tickets to the lucky customers. PVR hosts various premier shows with leading movie stars visiting the cinema.

Employees are internal Customers.

30 employees at the corporate level. 50-60 employees at each cinema headed by a Cinema General Manager. For the customers convenience, The nature of all employees is very friendly, informed, helpful, reliable, soothing, cheerful and youthlike. Therefore, the audience can easily relate and communicate with them.

Physical Evidence

Ambient factors. Design Factors.




It was the first cinema company to introduce computerized ticketing through use of international box office software in its cinemas. First cinema to accept credit cards in India against tickets. First to offer cinema tickets on Internet with online payment gateway for payment. PVR was the first to install surround sound and



Credits on


GAP 1 : Knowledge Gap

Gap closed
Gap 1 Company Perceptions of Consumer Expectations


Interaction through Social Media. Good CRM practices. Good market research.

GAP 2: Standards Gap

Gap closed.

Customer-Driven Service Designs and Standards


Well-defined blueprint. Customer oriented service design. Good ambience. Cleanliness. Physical evidence.

Gap 2

Company Perceptions of Consumer Expectations

GAP 3: Delivery Gap

Gap exists.
Service Delivery

Reasons: Deficiency in HR polices. Some customers who negatively impact other customers.

Gap 3
Customer-Driven Service Designs and Standards

GAP 4 : Internal Communication Gap

Service Delivery

Gap 4

External Communications to Customers

Gap exists.

Reasons: Lack of education for customers Lack of Internal marketing. Absence of customer expection management through all forms of communication.



The movie started as per the timings Munches are properly served as promised The seats are relaxing as promised There is no flaw in quality of food


The server know about all the combos The ticketing person books the ticket without err The sales person gives ongoing reviews of the movie The gate person guided to the right seats


The attendant is available whenever required Whenever there is a conflict, it is resolved quickly The telephone help-line respond when called The munching order was ready quick ly.


The gate attendant has an affable deportment The reservation assistant is courteous at all times The manager give individual attention for any help required The employees considered all the appropriate needs


The screens are fully HD quality The sound is clearly audible and not too loud or slow The staff is well groomed The seats in the hall are comfortable The waiting lounge area and facilities are engaging The rest rooms are clean and equipped with toiletries






CRM & Managing Demand and Supply

CustomerRelationship Management

Social Media



Membership Benefits

No Membership plans Tie-ups with banks

ManagingDemand& CapacityforPVRCinemas

Demand Patters

High Demand during:

Weekends Evening Shows Public Holidays Festivals Summer Vacations Hit Films

Low Demand during:

Weekdays Matinee Shows Flop films High Pricing Special Events Calamity


No of Screens No of shows Labour Quality of Films

Strategies for shifting demand to match capacity

Demand too high

Shift Demand

Demand too low

Increase Price Increase no of shows

Reduce price Decrease no of shows Flexible Timings Increase Advertising activities

Strategies for adjusting capacity to match demand

Demand too high

Adjust Capacity

Demand too low

Cross-training employees Part time employees

Maintenance/ Renovation Employee Vacations

Waiting Line Strategies

Different ways for ticket booking

Suggestions for meeting Demand & Supply


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