PVR has announced new food and beverage (F&B) offers which include attractively priced food items, combos, and “bottomless popcorn and Pepsi”.
Lowered tax on F&B
This comes a day after the GST Council lowered the tax rates on the food and beverages sold in cinema halls.
It decided to lower the service tax levied on food and beverages consumed in cinema halls to 5 per cent from 18 per cent.
Business implication
This is good news for the cinema exhibition industry which relies on F&B (food & beverages) asan important source of earnings.
Multiplexes earn up to 35 per cent of their revenues from this segment.
Official statement
PVR announced its offers in response to a tweet wherein the user complained about exorbitant prices for food at a PVR theater in Noida.
“Resonating with patrons is the key to successfully running a cinema chain. All our efforts are directed towards catering to audiences as we wish to provide them with an unparalleled cinematic experience when they visit our premises.
We have been actively listening to consumers’ thoughts on our F&B pricing strategy and have therefore curated cost-effective F&B deals that will appeal to moviegoers and also address their concerns”, said Sanjeev Kumar Bijli, Executive Director, PVR INOX Ltd.
Weekday offers
PVR, which is India’s largest multiplex chain, said that moviegoers can enjoy a range of food items such as hotdogs, burgers, popcorn, sandwiches, and beverages, with exciting combos starting at just Rs 99.
This will apply from Mondays to Thursdays, between 9 am and 6 pm.
Weekend offers
Patrons visiting during the weekend can avail “bottomless popcorn and Pepsi”, unlimited tub refills and “attractively priced” family meal combos that reduce F&B spending by up to 40 per cent.
“We are certain that our reformed packages will appeal to the smaller group sizes visiting cinemas on weekdays, and the larger groups, including families, who prefer watching films on weekends, ensuring their needs are met”, said Bijli.
