Cinema Business

The “Theater Cineplex” concept was first introduced in Thailand in 1995 when Mr. Vicha Poolvaraluk, the founder of the company built standalone “Cineplex” concept with typically built on a long-term leasehold land (20-30 year). A standalone Cineplex is about 7-10 story building combines customer experiences of cinema & entertainment complex that means, moviegoers are offered; not only a wide range of films selection in the multiplex cinema format, but also a vast variety of restaurants, gift shops, bookstores and many other lifestyle shops in one stop with a strong “movie culture” which ensures continuous flow of moviegoers traffic every week, the retails space in the standalone cineplexes has been able to sustain a high occupancy rate in access of 90% and above at all time. At year-end 2014, the company has operated 5 locations standalone Cineplex located surrounding Bangkok, Pinklao (The first standalone in Thailand), Sukhumvit, Ratchayothin, Major Rangsit and Esplanade Ngamwongwan – Kaerai.

Besides the standalone cineplexes, the company also deploys three other expansion models to populate cineplexes around the country:

  • Shopping mall model
  • Lifestyle neighborhood mall model
  • Hypermarket model

The shopping mall model was used more in the past when the shopping malls were sprouting up rapidly & practically everywhere. It was a handy growth vehicle as cineplexes could ride on their historically high growth phase without too much capital outlay as for the standalone cineplexes model.

As an alternative vehicle for growth, the lifestyle neighborhood mall model was created in 2004 when the company took a stake in a lifestyle neighborhood mall developer, Siam Future Development Plc. (Siam Future). A lifestyle neighborhood mall is typically built on a smaller plot of land (1.2 - 2 acres) next to the residential areas. Because of its compact size, it takes only 6-12 months for a lifestyle neighborhood mall construction to complete, thus serving as an excellent vehicle to populate cineplexes in the metropolitan areas as well as more urbanized areas around the country.

With the strong movie culture and having cineplexes as anchor tenant, Siam Future Development Co., Ltd. has grown exponentially with retails space increased by over 10 folds to over 400,000 sq.m. In the past 4 years. The synergy is extremely well pronounced. The company could rapidly penetrate into the residential areas providing an enhanced convenience access to the moviegoers. Siam Future, on the other hand, could fill up its retail space easily having cinema & bowling anchoring in its lifestyle neighborhood malls.

The hypermarket model is used to populate the cineplexes in the provincial areas. The company builds cinemas & bowling in the hypermarket structures as an anchor tenant. For the provincial dwellers, hypermarket or discount store supercenter serves as a perfect destination, not only for shopping but also for family entertainment, in a very similar fashion as shopping malls are to the urban people. The company joins with two hypermarket operators, Tesco Lotus & Big-C.

Currently the company commands over 70% market share of the Thai cinema industry. because of in 2004 the company was due to the acquisition of EGV Entertainment Plc., with about 23% market share.

At year-end 2014, the company operated 7 different brands :
  • Major Cineplex
  • EGV Cinemas
  • Paragon Cineplex
  • Esplanade Cineplex
  • Paradise Cinneplex
  • Mega Cineplex
  • Hatyai Cineplex

The company has totally 77 branches in Thailand and Cambodia, 520 screens and about 124,809 seats. For the reason of Thailand is still in the “underscreened” situation. The company continues to add about 50-80 new screens in year 2015. And expand 30-40 screens for the next year.

The company concentrates every segment of customers and provides all kind of innovation to serve customers as of RealD, 2D, 3D, 4DX, IMAX to complete customer’s entertainment and experiences.

The company offers cinema services covering the full spectrum of the customer segments. The mass-segment cinema, “Major Cineplex” brand, is used for the geographical expansion & tapping the new markets. Various international designs are adopted for the customer experiences, unlike what the global cinema operator’s offer such as Las Vegas style interior design is adopted for the local mass-segment customers to experience.

On the high-end, plenty of service & product innovations are created and installed for the “Future of Entertainment Civilization” customer experiences in the “six-star” ambience at the “Paragon Cineplex”. For example, the “Bangkok Airways Blue Ribbon Screen” at the Paragon Cineplex is equipped with nothing but fully-reclined, genuine leather seats in cubicles along with pillows & blankets for the entire auditorium seatings. Not only serving food and beverage in personal lounge before watching the movie but also offering spa service which is the first customer service of Thai cinema industry.

Another product innovation at the Paragon Cineplex is the “ENIGMA: the Shadow Screen”, a luxurious movie club exclusively for members only. Thirty-four exclusive seats, resembling living room couches adjacent to an exclusive club equipped with full bar services, are perfect for private parties. The venue has become very popular, not only among the high net worth individuals, but also the corporate customers who prefer using the ENIGMA for entertaining their VIP customers in an exclusive atmosphere.

In 2011, the state-of-the-art 4DX theater is available only at Paragon Cineplex. With specially designed seats, 24 types of incredible effects and the 3D digital screening system, this celluloid innovation exposes movie goers to all sensational experience of motion pictures, light, sound, tactility, and scents. All effects-3 degree-of-freedom movements, air blows, scents, vibration and leg tickler - will excite the audiences with new flavors of Movie-watching. Via special 4D glasses, audiences will enjoy lively motion pictures shown on silver screen of Masterimage 3D system, at year-end 2014, the company operated 4 locations of 4DX theaters: Paragon, Ratchayothin, Central festival Chiangmai and Central festival Hatyai.

In 2014, the company opened new theatre in Cambodia at Aeon Mall which the high-end shopping mall on area 6,000 sq.m. located in the centre of Phnompeh, Cambodia including 7 screens 1,560 seats. Provide 5 Theatres of 2D and 3D system and another theatre for VIP screen and 4DX screen.

Major Cineplex Screens Seats
Rangsit 16 3,465
Ratchayothin 15 3,740
Pinklao 13 3,850
Samrong 12 2,228
Fashion Island 11 2,401
Central Pinklao 11 1,973
Bangkapi 10 2,256
Bangna 10 1,954
Central Festival Chiangmai 10 2,435
Central Festival Hatyai 10 2,361
Future Rangsit 10 1,701
Rama 2 9 1,710
Rama 3 9 2,596
Sukhumvit 8 1,746
Pattaya 8 1,748
Udonthani 8 2,120
Lotus Bangyai 8 2,050
Nonthaburi 7 827
Ramkhumhang 7 2,114
Chiangmai 7 1,843
Central Ubon 7 1,566
Petkhasem 6 1,746
Samsen 6 1,505
Robinson Saraburi 6 1,317
Changwattana 5 1,040
Salaya 5 1,003
Lotus Srinakarin 5 1,259
Nakornsawan 5 1,138
Lotus Baanpong 5 1,442
Amatanakorn 5 1,310
Big C Mahachai 5 1,168
Central Pisanulok 5 1,169
BigC Chanthaburi 5 1,338
Chachoengsao 5 1,711
Ubonrajathani 5 826
Chiangrai 5 1,231
Big C Roi-Et 5 1,277
Robinson Samutprakan 5 1,165
Thanyaburi 5 1,020
Lotus Nawanakorn 5 1,194
Pitsanulok 4 1,067
Chonburi 4 1,063
Krabi 4 1,134
Ayutthaya 4 1,313
Petchaboon 4 1,144
Kamphaengphet 4 1,008
Hua hin 4 1,404
Saraburi 4 1,100
Nakornsrithammarat 4 971
Lotus Nakornsawan 4 972
Lotus Nongbualumphu 4 994
Robinson Sakonn 4 856
The Sky Ayutthaya 4 951
Big C Suphanburi 4 1,068
Lotus Klaeng 4 1,079
Lotus Suphanburi 4 839
Robinson Roi Et 4 961
Robinson Mukdahan 4 1,016
Samui 3 918
Phangnga 3 634
Big C Nakhonphanom 2 616
Big C Prachinburi 2 616
EGV Cinemas Screens Seats
Seacon square 14 3,311
Seacon bangkae 10 1,832
Korat 8 2,475
Ladprao 7 908
Aomyai 5 1,224
Lotus Khon Kaen 5 1,228
Lotus Songkla 5 1,243
Lotus Maesod 4 1,184
Sriracha 4 1,181
Paragon Cineplex Screens Seats
Siam Paragon 16 4,476
Esplanade Cineplex Screens Seats
Esplanade Ngamwongwan-Kaerai 16 4,200
Esplanade Ratchadapisek 12 2,725
Mega Cineplex Screens Seats
Mega Bangna 15 3,445
Paradise Cineplex Screens Seats
Paradise Park 8 1,550
International Project Screens Seats
Aoen Mall - Cambodia 7 1,560
Total 520 124,809