Factor Affecting Customer Satisfaction On Multiplexes

A MAJOR RESEARCH PROJECT
On
A STUDY ON FACTOR AFFECTING CUSTOMER SATISFACTION ON

MULTIPLEXES IN INDORE
For partial fulfillment of the requirement for the Degree of
Master of Business Administration (Full-Time)

Batch 2015-17
Submitted by: Guided by:
IBMR, IPS ACADEMY

Rajendra Nagar, A.B. Road, Indore – 452012 (MP)
1
TABLE OF CONTENT
S.NO CONTENTS PAGE NO.
1 INTRODUCTION 03
2 REVIEW OF LITERATURE 09
3 RATIONALE OF THE STUDY 11
4 OBJECTIVE 13
5 METHODOLOGY 15
6 DATA ANALYSIS 17
7 FINDIGS 34
8 LIMITATIONS 37
9 CONCLUSION 39
10 REFERENCE 41
2
INTRODUCTION
3
INTRODUCTION
A movie theatre, cinema or Multiplex is a venue, usually a building, for viewing motion
pictures ("movies" or "films"). Most movie theatres are commercial operations catering
to the general public, who attend by purchasing a ticket. The movie is projected with a
movie projector onto a large projection screen at the front of the auditorium. Some movie
theatres are now equipped for digital cinema projection, removing the need to create and
transport a physical film print.
A multiplex is a multi-screen entertainment complex showing different films under one

roof with other type of supporting business in the vicinity like Restaurant, Shopping
arcade and other entertainment avenues such as Game parlor, DJ party hall, Bowling,
Cafeteria, Ice skating etc. Emergence of multiplex has made movie going out an event.
People can go at just about anytime and find something to watch. It also enables exhibitor
to show a variety of movies appealing to several segments of moviegoers while serving
patrons from common support facilities such as Box Office, Concession areas, rest room,
and lobby. The multiplex model is based on the concept of Umbrella Entertainment
built around a primary anchor movie.
Cinemas are considered to be an integral part of cities and they contribute to the
definition of a local geography and identity. They also contribute to the preservation of
the collective memory, since they constitute a significant social and cultural practice
linked to a specific place, which acts as a common reference or landmark for many
individuals. The impact of multiplexes and megaplexes on the urban fabric, as well as
urban planning policies in certain countries, is considerable.
Most of the multiplexes are located near the canter or in the suburbs of major cities, and
since they constitute a part of the urban fabric they must contribute to the quality of urban
life and respond to urban planning needs. In relation to city centers, there is always the
danger of urban decay and therefore they must be regenerated. This implies containing
the growth of commercial developments on the suburbs.
4
The main question that arises relates to the ways that a multiplex affects the development
of a city, the quality of life of its residents (and tourists), and, perhaps, the planning
legislation in some countries.
India currently has 11500 existing screens, 95% are standalone, single screens. These
single
screen cinemas are poorly maintained as the owners find it difficult to upgrade and
renovate
their facilities, due to unavailability of finance. The deteriorating quality of these
cinemas dissuaded viewers and they started using alternative viewing options.
Over the last few years, multiplexes have emerged as a trend in urban India.
"Multiplexes" are essentially cinemas with 3 or more screens. They provide a quality
viewing experience and are generally located around shopping malls to increase footfalls
in these malls. Each screen in a multiplex has small seating capacities in the range of
150-300 seats as compared to single screen cinemas which have capacities in the range of
800-1,200 seats.
The journey of multiplex which was started in 1997 with inauguration of first multiplex
Priya
Village Roadshow (PVR) Saket in New Delhi is currently at crossroads roughly a dozen
players have entered in the business in small or big way. New players are trying to enter
this sector and the existing players are busy expanding their horizons. The multiplex has
gone beyond the metros to redefine entertainment in Tier 1 and 2 cities.
The entertainment industry growth is 19% in India. And total market worth is about
51,300
crore in India in year 2008.The multiplexes are often characterized by a good ambience,
comfortable seating, air-conditioning, and modern infrastructure.
On one hand the primary sources of multiplex income are: Patron’s spending viz. ticket
sale, F&B, and parking, Advertisement Income, Management fee and Revenue sharing.
On the other hand the prominent components of expenses are: Cost incurred for the
5
working of a multiplex are: Distributor Share, F&B Cost, Lease Rentals, Other Operating
costs, and Entertainment Tax. The multiplex owners are working on different business
models to increase their reach and profitability.
EMERGENCE OF MULTIPLEX IN INDIA
In 1979, world’s first multiplex ‘Eaton Center’ in Toronto, Canada was opened
for the general public. In 1997 PVR established, first multiplex in India – PVR
Anupam, New Delhi. The PVR Anupam changed the Indian movie exhibition landscape.
Movie exhibition till mid nineties was dominated by Cinema halls – the traditionally
single screen halls. Cinema halls witnessed a surge of customers mostly during the
festive season and on weekends. The emergence of multiplexes changed the movie
exhibition business in India. Today, all eyes in the entertainment industry have turned
towards multiplexes, as they generate a larger share of revenue though they
accommodate less number of seats per theatre.
The emergence of new multiplexes has reduced the audience for traditional cinemas.
The multiplex business is not only prompting traditional cinema theater owners to
convert their property into multiplex but in recent times has also attracted many
international players to venture into the business. No wonder the multiplex business
is so lucrative that foreign entertainment giants like Time Warner, South Korean
multiplex operator Megabox, and Australia’s Hoyts are in talks with real estate
developers such as the DLF group, the Raheja Group and Sobha Developers to set up
chains of multiplexes across the country. New players are trying to enter this sector and
the existing players are busy expanding their horizons. In recent times the multiplex has
gone beyond the metros to redefine entertainment in Tier 1 and Tier 2 cities like
Lucknow, Indore, Nasik, Aurangabad, Kanpur, Amritsar. The good news for most of the
movie exhibitors is that at present roughly 70 percent of the total box office collections
in the country come from non-metros.
These multiplex has multiple screen movie theater complex which also offers
lifestyle shopping. It offers brand new experience of watching movies. Today
multiplex are considered not just a part of the entertainment, it is an opportunity for
6
family outing which include movies, shopping, dining out, gaming parlors, buying books,
buying groceries, etc. Most of the multiplexes malls in India have common structure,
which believes structure of the ideal multiplex. Ideal multiplex malls have a four to five
floors with various leisure and recreation options for customers. The top floor has
multiplex and rest of the floors offer facilities.
The structure of the multiplex mall explores the consumer psychology, where
customers who come with the intention of watching a movie are made to pass all the
floors in the shopping mall. It increases the possibility of their making some
impulsive purchases. Moreover, the multiplexes do not allow outside food and beverages
into the movie theaters which offer them opportunities to sale of their own products at a
premium.
The decade old Indian multiplex industry has definitely changed the movie exhibition
industry in India. The multiplex industry, in India, is still in an early growth stage, and is
way behind the size and scale reached in the developed countries.
GROWTH DRIVERS FOR MULTIPLEX IN TIER2 AND TIER3 CITIES-
 Favorable demographic changes.
 Increase in disposable income with expanding Indian middle class people.
 retail boom.
 Entertainment tax benefits for multiplex cinemas.
 Good quality of Hindi cinemas.
THE MAJOR PLAYERS
7
Multiplex, in India is witnessing unprecedented growth. A few big corporate house have
already entered the business and others are planning to venture in the business through
acquire existing players. However, industry experts rule out any consolidation in the
industry. They believe market is still in the growth stage and there are enough
opportunities for the existing players. In current scenario competition is heating up
among the existing players.
Adlabs, PVR, IOX, Fun, Fame, DT Cinema, Satyam Cineplexes have chalked out big
expansion plans to increase the number of screens in the next few years to get better
share of movie revenues.
These include nationwide

 PVR
 Fun cinemas
 E city
 Inox
 Adlabs
 Fame
 Cineplex
8
REVIEW OF LITERATURE
9
REVIEW OF LITERATURE
Impact of multiplexes
Author – Vishnu Parashar (2006)
Objective – To study impact of multiplexes on the society
He has explained the growth drivers in the multiplex industry and also the major players
present right now . He has also discussed the risks and concerns associated with
multiplex business . He has also given an outline of the costs and business models
followed by multiplexes .
Working of multiplexes
Author- Mrunmayee Bhave (2003)
Objective – to understand working of multiplex
She has explained Emergence of Multiplexes in India, Film Exhibition Business in India
and the Multiplex Boom . She has also compared Multiplex v/s Single Screen theaters
and given framework of Segmentation, Targeting and Positioning
Customer preference and customer satisfaction survey of multiplexes in Lucknow
Author - Shalini Singh and SachinAwasthi (2001)

Objective - Customer preference and customer satisfaction survey of multiplexes in
Lucknow
They have given outlines to PEST Analysis ,Service Marketing Mix , Service Marketing
Triangle for a multiplex . Their Basic Functional Areas , Risks and Concerns and
questionnaire design have also been explained in detail
Anselmsson (2006), have developed and validates a conceptualization of shopping mall

satisfaction based on field studies in sweden. He had observed that customer satisfaction
with a shopping centre may be viewed as an individual's emotional reaction to personal
evaluation of the total set of experiences encountered at the shopping centre. Also,
customer interactions with shopping centre establishments involve a variety of different
activities. Researcher had taken 8 factors to find out the customer satisfaction.
10
RATIONALE OF THE STUDY
11
RATIONALE OF THE STUDY
The Proposed research study would report on selected customers’ expectations and
experiences with regards to their feedback about their particular choice of multiplex
located in Indore City in the state of Madhyapradesh. In this study an attempt would be
made to measure and evaluate customer’s satisfactions or dissatisfactions from
conveniently drawn sampling units, who have enjoyed watching a movie from a
particular multiplex. This will help us to know the outlook of customers towards different
multiplexes and the quality of services provided by them.
12
OBJECTIVE
13
OBJECTIVES
 To collect data from selected consumers’ of movies from the Indore City
 To obtain the opinion from selected customers’ of particular choice of multiplex
about their preference, satisfaction and actual experiences with availing the service
of multiplexes.
 To obtain the opinion from selected customers’ about type of services provided by
different multiplexes in the city.
14
METHODOLOGY
15
RESEARCH METHODOLOGY
Research Design
The research design adopted was the causal design. Causal research seeks to find cause
and affect relationships between variables. It accomplishes this goal through laboratory
and field experiments.
Identify data types and sources
Primary data was obtained by filling up questionnaires from the common public.
Secondary data was obtained from the internet, multiplex website, and survey reports.
Tools
The questionnaire is an important tool for gathering primary data. Poorly constructed
questions can result in large errors and invalidate the research data, so significant effort
should be put into the questionnaires design. The questionnaire should be tested
thoroughly prior to conducting the survey.
Tools for Analysis
Before analysis can be performed, raw data must be transformed into the right
format. The data is tabulated to count the number of samples falling into various
categories. Percentage Analysis and charts were used to analyse and interpret the
data.
16
DATA ANALYSIS
1. Distribution of respondents by gender
Response No. of Respondents

Male 25
Female 25
Gender
50% 50%
Male
Female
INTERPRETATION
Out of 50 respondents 50% respondents were male while 50% were female.
17
2. Distribution of respondents by age

Below 20 10
20-25 15
26-30 15
36-40 05
Above 40 05
Gender
10%
20%
10%
Below 20
20-25
26-30
30% 30%
36-40
Above 40
INTERPRETATION
Out of 50 respondents 20% respondents were below 20 age, 30% were between 20-25
while 30% were between 26-30 age and 10% were between 36-40 ages and rest were
above 40 year ages.
18
3. Please rank the reasons for your choice

Better sound and picture quality 20
Comfort 10
Value for money 05
Status symbol 05
Ticket prices 10
RESPONSE
20%
40% Better sound and picture quality
10% Comfort
Value for money
10%
Status symbol
20%
Ticket prices
INTERPRETATION
Out of 50 respondents 40% respondents said better sound and picture quality, 20%
respondents said comfort while 10% said value for money and 20% said ticked price
when they asked about Please rank the reasons for your choice
19
4. How often do you visit a Multiplex?

Weekly 10
Twice a month 17
Monthly 20
Twice a year 03
Yearly 00
RESPONSE
0%
6% 20%
Weekly
40% Twice a month
Monthly
34%
Twice a year
Yearly
INTERPRETATION
Out of 50 respondents 20% respondents said weekly, 34% said twice in a month, 40%
said monthly while 6% respondents said twice a year.
20
5. What is your monthly expenditure on movies?

< 100 05
100 – 300 25
300 – 500 07
500 – 700 10
700 – 1000 02
> 1000 01
RESPONSE
4% 2%
10%
20% < 100
100 – 300
300 – 500
14%
50% 500 – 700
700 – 1000
> 1000
INTERPRETATION
Out of 50 respondents 10% respondents said less than 100 while maximum i.e. 50%
respondents said 100-300 rupees they spend last month for movie.
21
CUSTOMERS SURVEY DATA
1. The multiplexes keep my purchasing records accurately.
Response No. of Respondent

Strongly Agree 8
Agree 22
Neither agree nor disagree 10
Disagree 8
Strongly disagree 2
RESPONSE
4% 16%
16%
Strongly Agree
Agree
20%
Neither agree nor disagree
44% Disagree
Strongly disagree
Result- As for the responses it is found that 67% customers strongly agree & agree
retailers purchasing records accurately. 20% customer disagree, 13% say neither
agree/disagree.
22
2. The employees and staff of the multiplexes s are friendly/ polite.

Strongly Agree 12
Agree 20
Disagree 6
Strongly disagree 2
RESPONSE
4%
12% 24%
Strongly Agree
20% Agree
Disagree
40%
Strongly disagree
Result- As for the responses it is found that 71 % customers strongly agree & agree
employees and staff retailers are friendly/polite.
23
3. Overall, the multiplexes s management of relationships with its customer is adequate.

Strongly Agree 05
Agree 18
Disagree 10
Strongly disagree 5
RESPONSE
10% 10%
20% Strongly Agree

Agree
36%
Disagree
24%
Strongly disagree
multiplexes s management of relationships with its customer is adequate.
24
4. Employees of Multiplexes have sufficient knowledge.

Strongly Agree 14
Agree 18
Disagree 5
Strongly disagree 3
RESPONSE
6%
10% 28%
Strongly Agree
20% Agree
Disagree
36% Strongly disagree
Employees of Multiplexes s has sufficient product knowledge.
25
5. Multiplexes provides discount on those movie which was released in last week.
No. of Respondent
Strongly Agree 10
Agree 20
Disagree 04
Strongly disagree 10
RESPONSE
20% 20%
Strongly Agree
8%
Agree
12%
40% Disagree
Strongly disagree
Multiplexes provides discount on those movie which was released in last week.
26
6. The multiplexes handle customer’s complaints properly.

Strongly Agree 05
Agree 25
Disagree 07
RESPONSE
6% 10%
14%
Strongly Agree
Agree
20%
50%
Disagree
Strongly disagree
multiplexes s handles customer complaints properly.
27
7. The Multiplexes s provides any information regarding special schemes to me
personally by Email or phone sms.
No. of Respondent
Strongly Agree 05
Agree 20
Disagree 08
RESPONSE
4% 10%
16%
Strongly Agree
Agree
40% Neither agree nor disagree
30%
Disagree
Strongly disagree
28
8. The Multiplexes Sending Festival Greeting, Anniversary /Birthday greeting card.
No. of Respondent
Strongly Agree 05
Agree 20
Disagree 08
RESPONSE
4% 10%
16%
Strongly Agree
Agree
40% Neither agree nor disagree
30%
Disagree
Strongly disagree
Result- As for the responses it is found that 46% customers disagree, 4% no result, 50%
agree retailers sending card.
29
9. The multiplexes s provides availability of customers feedback form.
No. of Respondent
Strongly Agree 08
Agree 25
Disagree 05
RESPONSE
4% 16%
10%
Strongly Agree
20%
Agree
Disagree
50%
Strongly disagree
Result- As for the responses it is found that 71% customers strongly agree & agree, 13%
no result, retailers provide customer feedback.
30
10. The Multiplexes Provides Membership card & reward point status.
No. of Respondent
Strongly Agree 03
Agree 12
Disagree 13
RESPONSE
14% 6%
24%
Strongly Agree
26% Agree
Disagree
30%
Strongly disagree
retailers provide membership card & reward point status.
31
11. The multiplexes s provides excellent customer service.
No. of Respondent
Strongly Agree 10
Agree 20
Disagree 03
RESPONSE
6% 4%
20%
Strongly Agree
30%
Agree
40% Disagree
Strongly disagree
retailers provide excellent customer service.
32
FINDINGS
33
FINDINGS
 Out of 50 respondents 10% respondents said less than 100 while maximum i.e.
50% respondents said 100-300 rupees they spend last month for movie.
 Out of 50 respondents 20% respondents said weekly, 34% said twice in a month,
40% said monthly while 6% respondents said twice a year.
 Out of 50 respondents 40% respondents said better sound and picture quality, 20%
respondents said comfort while 10% said value for money and 20% said ticked
price when they asked about Please rank the reasons for your choice
 Out of 50 respondents 20% respondents were below 20 age, 30% were between
20-25 while 30% were between 26-30 age and 10% were between 36-40 ages and
rest were above 40 year ages.
 Out of 50 respondents 50% respondents were male while 50% were female.
 As for the responses it is found that 71% customers' data & information properly
maintained and record to let their CRM system work effectively. 29% multiplexes
say that they are not collecting Customer data and Information are record followed
any other method.
 As for the responses it is found that 40% require information collected customer
name & phone no., email 22% refer of record maintain and 16% also collect
address, Occupation 10% and all types 12% prefer types of information.
 As for the responses it is found that different ways used to collect customer
information record with help of prefer 7% Entry forms, 18% feedback forms and
51% transaction history reasons that all most customer purchasing transactions
customers prefer to use the debit/credit cards. All methods 24% prefer. They are
different ways used to customer data & information with help improve customer
relationship.
 As for the responses it is found that methods used bring back customer prefer 29
% offers & loyalty program 36% , gift cards 13% , sale promotion and advertising
15% ,other type 7% reasons that all most retailers prefers loyalty program and
offers based on bring back customers. Customers prefers for discount and offers,
special schemes attracting to customer.
34
 As for the responses it is found that retailer is using various mean to building a
good relationship with the customers. ways used to Coupons 16% ,Membership
card 25% build a good relationship with the customer Festival offers 39%, Regular
feedbacks 2% and after sales services 14% & home delivery 6% the practices used
to build a healthy relationship with the customers. Reasons that customers
purchasing at time for festival & occasion, retailers focus new ranged quality
product providing this times customers prefers purchasing.
 As for the responses it is found that 67% customers strongly agree & agree
retailers purchasing records accurately. 20% customer disagree, 13% say neither
agree/disagree.
 As for the responses it is found that 71 % customers strongly agree & agree
employees and staff retailers are friendly/polite.
multiplexes s management of relationships with its customer is adequate.
Employees of Multiplexes s has sufficient product knowledge.
Building a relationship with the multiplexes s is worthwhile.
multiplexes s handles customer complaints properly
 As for the responses it is found that 46% customers disagree, 4% no result, 50%
agree retailers sending card.
 As for the responses it is found that 71% customers strongly agree & agree, 13%
no result, retailers provide customer feedback.
retailers provide membership card & reward point status.
retailers provide excellent customer service.
35
LIMITATIONS
36
LIMITATIONS
 This study is purely based on the responses received from the

respondents.
 Since we are not the authorized researchers so this study is made
keeping in view utmost cost effectiveness.
 This study is done in a limited time span
 The study focuses on the youth segment of the population
 The Research study would mainly be undertaken based on
collection of primary data and information mainly from urban
population, it would be inappropriate to generalize it as fit and
good for the whole population.
 The Research Study shall be mainly carried out in the Indore city
in the State of Madhya Pradesh; hence this research work does not
aim to cover the opinion of all the consumers’ of particular brand
of multiplex located in a different city of Madhya Pradesh .
 Findings can be applied to only select sample size and care must
be taken while applying to the other group of consumers’.
37
CONCLUSION
38
CONCLUSION
Multiplex, in India, is the new business model for the film exhibition industry.
It is transforming movie viewing habits in India. It is set to take over a
significant slice of the entertainment market of India. Today multiplexes
constitute just 1% of the total number of cinema halls, and 4-5% of the total
screens in India. The industry experts believe that it is beginning of the end of
single screens in India as the multiplexes with certain advantages such as
multi-screen potential, flexibility in operations; scope for other commercial
viability will rule movie exhibition business in Indian film exhibition industry.
The multiplexes enjoys rebates and exemptions Single Screen doesn’t enjoy
such exemptions from the government.(Entertainment Tax) on part of
government. They just don’t offer movie but also offer so Talking of the
ambience, multiplex offer better Single screens on the other hand don’t
offer sitting , Dolby digital sounds and good such facilities to view
graphics for viewers . Multiplexes, by offering food courts, ATM etc .
The mushrooming of multiplexes has thrown up huge competition amongst
multiplexes and is giving the stand-alone theatres a run for their money.
However, multiplex owners are still upbeat about their business. “In India, we
had 3,100 million admissions last year and only 12 screens per million. So
there is a huge potential for growth”. The road ahead for theatre owners is
both exciting and challenging. “The service industry is ever changing
and you have to change proactively”.
39
REFERENCE
40
REFERENCE
 Chhabra, T.N., Grover, S.K. (2005). Marketing Management.

 Dhanpat Rai & Co. Pvt. Ltd., Third revised edition, 15-20.
 Krisnawamy, K.N., Shivkumar, A. & Mathirajan M. (2006). Management
Research Methodology. Pearson Education, 20-25.
 Kotelr, Philip, Keller, Kevin Koshy, Abraham (200809).
 Jh Mithileshwar Marketing Management: a south Asia prospective. Pearson
Education Delhi, 13th edition, 25-30 & 45-50.
 Kotler, Philips, Gray, Armstrong (2008). Principle of Marketing. Pearson
Education 12th edition Delhi, 450-460.
 Kotler, Philips (2008). Marketing Management. Pearson Education Eastern
economy Delhi, 13th edition, 56-62.
 Kothari, C.R, (1997). Research methodology. Second edition New Age
International Publisher, Jaipur, 1525, 55-60 &76-80.
 M, Guiltinan (1996). Marketing Management: Strategies and Programs. Mc
GrawHill/Irwin, 1523.
 Nair, R. Suja (2008). Consumer Behavior. Himalaya Publication House Delhi, 12-
18.
Websites:
 www.inox.com
 www.marketingabout.com
 www.docstoc.com
 www.authorstream.com
 Media and entertainment Industry Report
41

Factor Affecting Customer Satisfaction On Multiplexes

Uploaded by

Copyright:

Available Formats

Factor Affecting Customer Satisfaction On Multiplexes

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Factor Affecting Customer Satisfaction On Multiplexes

Uploaded by

Copyright:

Available Formats

A MAJOR RESEARCH PROJECT

A STUDY ON FACTOR AFFECTING CUSTOMER SATISFACTION ON

For partial fulfillment of the requirement for the Degree of

Master of Business Administration (Full-Time)

Submitted by: Guided by:

IBMR, IPS ACADEMY

S.NO CONTENTS PAGE NO.

3 RATIONALE OF THE STUDY 11

A multiplex is a multi-screen entertainment complex showing different films under one

EMERGENCE OF MULTIPLEX IN INDIA

GROWTH DRIVERS FOR MULTIPLEX IN TIER2 AND TIER3 CITIES-

 Favorable demographic changes.

 Increase in disposable income with expanding Indian middle class people.

 Entertainment tax benefits for multiplex cinemas.

 Good quality of Hindi cinemas.

THE MAJOR PLAYERS

These include nationwide

Customer preference and customer satisfaction survey of multiplexes in Lucknow

Author - Shalini Singh and SachinAwasthi (2001)

Anselmsson (2006), have developed and validates a conceptualization of shopping mall

Identify data types and sources

Tools for Analysis

1. Distribution of respondents by gender

Response No. of Respondents

Response No. of Respondents

Response No. of Respondents

Response No. of Respondents

Response No. of Respondents

1. The multiplexes keep my purchasing records accurately.

Response No. of Respondent

Response No. of Respondent

Response No. of Respondent

20% Strongly Agree

Response No. of Respondent

Response No. of Respondent

 This study is purely based on the responses received from the

 Chhabra, T.N., Grover, S.K. (2005). Marketing Management.

You might also like