cinema.jpg 


One day, I and my gf went to watch movie at cinema. While waiting for the movie to be shown, we went to a shopping complex nearby to have something for lunch. I saw a row of mini box was located along the corridor.  These mini boxes are actually K-box which allows the users to sing K in the box. The box was equipped with a set of TV and sound system and it is sound-isolated. The users can sing K in the box with their friends, however the size is limited; it only can fit in 1-4 persons. Suddenly, there was an idea came across my mind: why don’t we watch movie in this kind of box? Then, good deals of questions have popped out:

  1. “Why we have to watch movie with a large group of strangers in the cinema?”
  2. “Why don’t we watch movie in a small room with only our friends or family?”
  3. “Why everytime we also have to watch movie according to the cinema showtimes schedule? Why can’t we select the movie showtime by ourselves?”
  4. “Why can’t we chit chatting with friends when watching movie?”
  5. “Why can’t we eat lunch or dinner when watching movie?”
  6. “Why can’t we watch movie in the cinema is just like in our home?”
  7. “What we want from cinema? A good movie? Or a good experience? Or a better movie watching environment? Or an entertainment environment that we can have a great time with our friends?”

 

The last question keeps repeating in my mind. I started to think what is actually we want from cinema? At the end, I have figured out that we actually demand for a good experience with our friends and family. Watching a movie is an entertainment activity, but, we have less interaction in the cinema when watching a movie. Without interaction, we are actually watching a movie independently. After the movie is end, we and our friends will leave separately. Then, what for we date our friends or family for a movie but with no interaction with them at all? Perhaps you will think that it is supposed to be like that, but, at least that is not what I want. I think that movie watching is an entertainment activity; it should create a harmony atmosphere where everyone can have a good time with each other. We can laugh, we can chat, we can even play when watching movie, that is what I think should be.


Thus, I have figured out an idea - “Mini Cinema”. We can watch movie with our friends and family in a personal room where we can chat and laugh loudly without interrupt others. Here are some unique features of Mini Cinema:

  • ·         Watch movie with only our friends and family. Unlike big cinema, have to watch movie with a large group of strangers
  • ·         Provides personal space where you can interact with your friends when watching movie, you can laugh, you can speak and you can even eat when watching movie.
  • ·         There is NO fixed showing time. You can watch your favorite movie anytime.
  • ·          Plenty of movies are available for your selection. You can watch your favorite movie, drama, MTV, etc. Thus, you won’t miss a best movie ever.
  • ·         Provides a great environment where you can have a great time with your friends and family.
  • ·         Provides dining service in which you can order foods and beverages in the cinema room.
  • ·         Provides a different movie watching experience with high quality of facilities.

Now, I am gonna explore this concept in depth by discussing the Mini Movie business plan.

Part 1: The Organization Plan

1.1 Mission

  • ·         Provides a good movie watching experiences to the customers.
  • ·         Opens branches throughout Malaysia.

 1.2 Products or Services

We can cooperate with Movie Company to get rights or concession to provide variety of movies to the customers. Then, there is a movie list on the TVs screen. The movies will be well categorized based on its language, nature, etc. Besides, we need a program to run the TVs. Synopsis, ratings, comments and reviews of the movie are added in the movie description as well. We also offer other videos such as MTV, Youtube for better selection by the customers.

1.2.1 Charges

Packages

Mon-Fri

Sat, Sun and Public Holiday

Compulsory

Normal 2D Movie

RM2 per hour

RM3 per hour

*Foods & Beverages

3D Movie

RM4 per hour

RM5 per hour

*Foods & Beverages

*Compulsory, choose from the options given.

1.2.2 Foods and Beverages

Foods and beverage should be provided to the customers. It can be bound by the package or serve alone. For example, Customer A wants to watch a movie, then he is compulsory to buy a cup of drink in order to enter into our mini cinema. Or, customer A can order foods and beverage whenever he likes.

1.3 Location

Mini Cinema should be opened in crowded place such as shopping mall. This is because it easily gets the customers from the people who are walking in the shopping mall. However, if we can make it due to certain reason such as limited place or high rental fee, we can consider opening it nearby the shopping mall.

If we open the Mini Cinema outside the shopping mall, we have to open a café together with the cinema. This is to create synergy among the cinema and the café. While the customers are waiting for their friends, they can go to café to have a cup of drink. Or the customers from the café will go to watch movie after dining.

There is a cinema in my town which is opened in a building where it is not crowded. If I have been there early, I have to sit on the long chair there while waiting for the movie to be showing. I think that it is wasting time, I rather to have a cup of coffee in café while waiting for the movie to be showing. But, sadly, there is no café around the cinema. Thus, it makes me to think that if a cinema is not opened inside the shopping mall, it should have something let the customers to do when waiting for the movie to be showing. For example, café is a good place. However, this phenomenon might not be applied in Mini Cinema, because the customers don’t have to wait for the movie to be showing. They can enter and watch movie anytime. But, anyway, I think that a café is still necessary to create synergy.

1.4 Structure layout

I have created the structure layout for Mini Cinema which as below:

 Mini cinema.JPG

The customers have to register and get their room number at the counter. Then, the customers will go in from the left door. A staff will be standing outside the door and lead the customers to their room. When going to the left door, the customers will pass through the foods and beverages counter. This can encourage the customers to buy some foods and beverages before entering into the room.

After the movie, the customers have to leave from the right door. So, the customers can pay at the cashier which located at the exit.


1.4.1 Room

There are 3 type of room:

Room type

Capacity (person)

Quantity

Size

Small

1 – 4

10


Medium

5 – 9

10


Large

10 – 15

4



1.5 Operations

1.5.1 Internal management

Unit

Position

Employee

Management

Manager

1

Supervisor

1

Foods and beverages

Staffs

3-4

Sales

Registration

2

Servants

3-4

Cashier

2

Accounting

Clerk

1


1.6 Financial information

1.6.1 Cost

1.6.1.1 Startup capital

Facility

Price (RM)

Quantity

Total (RM)

Samsung 40”Plasma TV

2099

10

20990

Samsung 36” Plasma TV

1899

10

18990

Samsung 46” Plasma TV

2499

4

9996

PA System

1499

20

29980

PA System

1999

4

7996

Total

87952


RM87952 is just the basic entertainment equipments which is required in the room. There are many costs incurred such as rental fee, construction cost, renovation cost, labour costs, license, etc. I think that at least 1 million is required to run this business.


1.6.1 Forecasted Sales

 

Room

Capacity (person)

Quantity

Operating hours

 

Mon-Fri

Sat, Sun, PHs

Foods & Beverages

(/2hours, person)

Total daily sales

(Mon-Fri)

Total daily sales(Sat, Sun, PHs)

Small

1-4

10

12

2/hour

3/ hour

RM3

1140

2160

Medium

5-9

10

12

2/hour

3/ hour

RM3

3780

4860

Large

10-15

4

12

2/hour

3/ hour

RM3

2520

3240

Total

7440

10260

 

As I calculated, the maximum daily sale for Monday to Friday is RM7440 each day, and for Saturday, Sunday and Public Holidays is RM10260 each day. So the maximum monthly sales are:

20 x 7440 + 8 x 10260 = RM230 880

However, I think that there is still some margin to increase as the customers might order high priced foods and beverages.


What I estimated is the maximum sales, if for the normal sales, I think it is about 40% of the maximum sales which is:

RM230 880 x 40% = RM92352

RM92352, I think it is insufficient to support this business in long term. Although it requires low variable costs, other costs are still remaining high such as rental, labour costs. Thus, I think we have to increase the charges/price in order to earn more sales to cover the costs and support the operations.


Above just a brief thought of my idea, may be I am just bull shitting. Whatever, I like to think these kind of business idea although it might not be practical. But, I think that this idea might probably work in the reality.

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