RMD ASSIGNMENT:

COVID-19 IMPACT ON PVR CINEMAS

Presented by-
Group 15

Akhilesh Kumar MS20A004

Asmita Gupta MS20A008
Namrta Maggo MS20A035
Samikshakiran Deepak
Agham MS20A051
PROBLEM DEFINITION
PVR: THE COVID-19 IMPACT AND THE
MULTIPLEX BIZ HIT

Multiplex chain operator PVR Ltd reported a consolidated net loss of Rs

74.61 crore for the fourth quarter ended March 2020, as the film exhibition
business was impacted because of the Covid-19 pandemic.

Beginning March 11, 2020, the company started closing its screens in
accordance with the order passed by various regulatory authorities and
within a few days, most of their cinemas across the country were shut
down.

With the rise of video streaming services in India offering tens of

thousands of hours of content is enabling access to an unprecedented
amount of content giving enough reasons to people for avoiding visits to a
theatre.
MANAGEMENT PROBLEM: How to increase the revenue of PVR Cinemas?

MARKETING RESEARCH Determine the factors responsible for the decrease in revenue of PVR Cinemas.
PROBLEM:
C1: Who are the customers of PVR Cinemas and what are their psychographics
and demographics?
C2: Can the customers be segmented in a meaningful way?
C3: Are these customers aware of PVR Cinemas and what is the extent of
awareness.
C4: Among those who are aware, how do they perceive the experience of PVR
Cinemas when compared to other major Multiplexes?
C5: How much impact has COVID-19 made on the customers of PVR Cinemas?
C6: How much impact has OTT platforms made on the customers of PVR
Cinemas?
C7: What precautions can be taken during COVID-19 in Multiplexes to ensure
customers' safety.
C8: On the identified factors, compare PVR Cinemas with other major
Multiplexes and OTTs?
 C2 RQ1: Can the customers be segmented
based on their income and age?
DEVELOPING AN H1: High-income customers differ from low-

APPROACH TO THE income customers in terms of their

frequency of visiting multiplexes.
PROBLEM (THEORY, H2: People with different education have
RESEARCH differences in their choice of content.
H2: People with family prefer more to visit
QUESTIONS, multiplexes.
HYPOTHESES):
C3 RQ2: Do the different customer
segments differ in terms of their frequency
of visiting PVR?
H1: Is there any change in the frequency of
visiting PVR after lockdown.
RESEARCH DESIGN
DESCRIPTIVE RESEARCH DESIGN

Descriptive research is used to describe consumer's

perceptions of product or service characteristics. Also used
for Identifying the extent to which consumer (customer)
variables are linked to desired outputs such as revenue,
benefit, and purchasing intent.

In the case of PVR multiplex, we are aware of the problem of

COVID-19 impacts on the multiplex culture and we want to
analyze further how to improve the sales. Hence we use a
descriptive research design.

To carry out this research design we went ahead with

structured surveys and observation.
 DATA COLLECTION AND FIELD WORK:

To understand the reason behind the decrease in sales

of PVR we prepared the survey to collect the primary
data and analyzed the feedback available on the
various social media platform
SURVEY SIZE

Female 46%

Male 54%
RELATIONSHIP We tried to understand that if there is any relationship
BETWEEN EDUCATION between the platform for content consumption and their

AND PREFERENCE OF level of education.

CONTENT AMONG we found that with higher education, people tend to

switch to the OTT platform.
RESPONDENTS To find the reason we contact a few of the respondents
for the reason behind it.

We found that people with higher education prefer to

watch content released on OTT as well as with their
hectic schedule, OTT platforms are much more
comfortable than multiplex.
RELATIONSHIP BETWEEN MARITAL STATUS AND We found that single people prefer to
PREFERENCE OF WATCHING CONTENT IN MULTIPLEX VS watch content on OTT when compared to
OTT
married couples.

Reasons identified:
40

Single people having a hectic lifestyle with

no responsibility for other members find it
30 more efficient and comfortable to watch
content over OTT while couples enjoy the
ambience that PVR provides.
20

10 OTT

PVR
0
Single Married
IS THERE ANY RELATIONSHIP BETWEEN THE INCOME AND THE PREFERENCE IN SELECTING THE
PLATFORM TO VIEW CONTENT
Less then 100,000
1,00,000-5,00,000
5,00,000-10,00,000
More then 10,00,000
0 5
OTT
When we analyzed the collected data, we
found people with higher incomes preferred
to spend more time watching a movie in
PVR or multiple over an OTT.
Reasons identified:
The reason behind this can be identified as
the expense of PVR tickets over an OTT is
high and thus people with lower income,
especially the students, prefer to spend one
time on the OTT platform as they get more
content at a lower cost as compared to
multiplexes. This is not a big issue with
higher-income people as they pay for
ambiance and other features that a PVR
10 15 20 25
provides.
PVR
COMPETITORS OF PVR- OTHER MULTIPLEXES
We tried to find main competitors in the
multiplex industry hence compared the
Others
Cinepolis
preference of people for going to different
4%
Carnival Cinemas 14% multiplexes. These include- Carnival
12% Cinemas, PVR, INOX, Cinepolis, and other
multiplexes.

We found that PVR has a real good hold in

the multiplex industry.

Hence based on our survey we concluded

that the competition PVR is facing is
mostly due to people switching to more
INOX OTT platforms rather than other
34% multiplexes.
PVR
36%
The condition got worse due to last year's
lockdown which increased the share of
people switching to the OTT platform.
TRACING CHANGES IN THE PATTERN OF VISITING MULTIPLEXES BEFORE AND AFTER THE LOCKDOWN
IMPOSED DUE TO COVID-19
20

We found that people who usually visited

15 multiplexes once a week to multiplexes have
decreased significantly after lockdown; The
same was the pattern with people visiting
10 multiplexes- once in a month, once in two
months, once in six months, and once in a year.

5 We also found that the share of the population

who never used to visit multiplex, even before
the lockdown, increased to a larger extent after
0 lockdown. In other words population not going
to multiplex ever, increased after lockdown.
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Along with COVID 19 restrictions, added reason

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for this increase was switching to the OTT

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platform.
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Before lockdown After lockdown

INFERENCES After analyzing the data collected, we made the
following key observation which as follows:

The preference for people to visit the PVR

has decreased when compared to their
previous frequency of visits before lockdown.

Due to lockdown, people have switched to

the OTT platform and thus they have been
exposed to a new variety of content which
they prefer to watch and want PVR to release
it too.

People with family prefer more to go on

multiplex as they see them as a chance of
outing and a valuable time to spend with their
loved ones.

MORE PRECAUTIONS
One of the important factors which
might help in bringing back the
audience to PVR is making sure
that enough precautions are taken
for the safety of the audience
during the COVID-19 pandemic.
Also advertising the existing
precaustions are equally important
among people who are unaware of
it.
SUGGESTIONS
OTT TYPE CONTENT
Since one of the major factors for
the decrease in the audience was
because of switching over to the
OTT platform. The same reason
can help the PVR to bring back the
crowd in multiplex and have the
same experience.
Showing relevant content will help
PVR attract the youth.
IMPROVISE ON
AMBIENCE
Since coming to the PVR is all
about the grand experience, hence
can improvise on few things like
more appropriate lightings and
sound effects.
Reasonable prices for food items
are a few of them to suggest.
THANK YOU!!

Please find the link of

our questionnaire here:

HTTPS://MAGGONAMRTA98.SURVEYS
PARROW.COM/S/PVR/TT-237E80