Part A - Research of a Marketing Campaign PDF

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Research of pop up cinemas (Marketing Campaign)...

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Research – Part A Introduction  Pop-up cinemas began in Germany during World War 1, it was specifically found in 1916. It is a temporary cinema that is able to be transferred, in other words mobile. It usually set-up outside in social settings, such as beaches, parks, crowded places (visitor attractions), somewhere in centre of the city or town. On a boat in a lake, on a roof or other special and attractive venues. The pop-up cinema could also take place inside but typically it’s located and set up, outside.  A pop-up cinema differs from normal cinemas which offer multiplex traditional viewings, in many terms, which are;  Technology – Each mobile cinema has to have a particular sound system for each specific film or series of screenings. It also has to support the projection. Which requires different and special technology. This is what allows the cinema to be mobile.  Films shown - Pop-up cinemas usually screen films that are familiar to customers, which may have been watched many times before. The niche market, mostly screens old classical films, rather than the latest releases of the film industry.  Physical Environment – The pop-up cinema has a variety of choice for location, it is mobile therefore it can move around. This adds to customer experience. It could add atmosphere such as playing the film “Jaws” on the beach.  Seasonality – The niche market appears to operate in only the summer because of the weather, as it allows customers to stay outside. It usually runs from early May to end of September, as it perfectly suits outdoor screenings.  Capacity - Cinemas like Vue, Odeon and other big screening organisations usually have between 100 to 500 seats for each screening. Whilst pop-up cinemas have an advantage over that as they’re able to provide more seat for customers. Taking in consideration the restriction of the location, the lighting, and background noise. The cinema will have to adjust the sound so that it reaches each person and obviously the size of the screen.  Added Value - Pop-up cinemas are able to add extra value to the tickets of the screening, from "immersive experiences" which is atmospheric effects and settings. Such as horror films will be shown in darkness and could have background noises in real life. An example market could be Secret Cinema, they screen films along with the atmosphere directly linked to the theme, genre and the actual film itself. The information is totally reliable, and is quite valid. Tutor2u website is trusted website with valid information. (Websites used: https://en.wikipedia.org/wiki/Outdoor_cinema & https://www.tutor2u.net/business/blog/popup-cinemas-in-the-uk-market-insights) Competitors The overall competitors of pop up cinemas would be the ordinary cinemas, such as VUE, ODEON. This is because they are more established, popular and better rated companies. Other competitors are movie providers, such as Netflix, Film4, Amazon, NowTV, and other online film providers. These companies offer a cheap price and a wide range of movies. This also allows users to access and watch films anywhere. Whereas pop-up cinemas is about experience as well as watching a film. Rising ticket prices may put off customers from visiting as often as they’d prefer. Investing into VIP seating and higher than standard. Such as providing better accessories, etc. This creates differentiation between standard and premium options which many cinemas use. The market largely dominated by small scale organisations including the Cornwall- based miracle theatre, the open air cinema, and the biggest competitor in the UK is Luna cinema. Which operates everywhere around the UK. And other mobile cinemas; Moonlight Drive-In cinema - which is the biggest drive in cinema in the UK, all their shows start at 9 or later for the company to ensure its dark. Skylight Cinema - This Company does not run their own cinema but let their customers hire their equipment for the outdoor cinema for £800, and others; • Adventure cinema • Lost Lands Cinema • Pop-up Screens • Backyard cinema • Secret cinema • The Nomad Cinema • Open air film and chill • Snowcat cinema • Picturehouse • Sneaky experience • Rooftop film club London • The village screen • Sundown Cinema The information collected for the competitors is reliable, which was collected from Tutor2u, and backed up by actual pop-up cinemas, business studies and promotion website). Which also proves the validity of the information

Research – Part A (Websites used: https://www.tutor2u.net/business%20/blog/pop-up-cinemas-in-the-uk-market-insightsmarket-insights & https://kent.muddystilettos.co.uk/ culture/film/6-brilliant-outdoor-summer-theatrescinemas/ & https://www.skylightcinema.co.uk/ & https://www.economicsonline.co.uk/Business_economics/Cinema_case.html & https://www.timeout.com/london/film/the-25-best-cinemas-in-london & https://popupcinema.net/pages/howit-works & https://www.statista.com/statistics/264379/leading-theater-chains-in-the-uk-by-market-share/ ) Market Size, Share and Structure. In the UK there are between 800-1000 screenings per year, which suggests that Luna cinema has a market share of around 20%-25%. The Market value is also estimated to be 10 million, and Luna is growing approximately 45% per year, which denotes the market growth of 20%-25% annually. The mainstream cinema market has an annual sales of £1.3 billion. Which is usually static. Around 75% of the screening are located in capital London. The statistics also show that the main target audience are adults aged to 25 to 35, and average of 70% of audience are female. The niche market is currently a trend in the cinema industry as a whole. In the niche market, older films, and classics tend to be played more, which are mostly recognized and enjoyed by the older generation only. Currently the pop up cinema is growing as it’s a unique niche market, and has a big variety of production, how it’s set up. Locations. Etc. Public Relations (PR) – Many larger pop up cinemas hire employ agencies to gain coverage of an area that will reach the target audience. Physical and Online sources are important for the niche market. Which is used for event listing, an example website such as “Time out”. Advertisement is used; social media posts, mailing list, leaflets, and etc. It is considered that there is little differentiation between the competitors and brand loyalty. The pop up cinema itself is a small niche market segment. The advance of technology allowed several new entrants to join the industry, this is from a decrease in price and advances in mobile screens, sound and the projection itself. The statistics state that the average revenue per screening, which includes the tickets, food, drink, additional accessories and sponsorship is £12,000 to £15,000. Estimating using the industry sources that there are about 800-1000 pop-up cinema screenings a year, it denotes that the approximate market size is £10 million. The total number of sites was the highest in 2017, which was 774, the lowest was in 2004, 644. It was reported to be around 1,300 cinemas in the UK of which around 500 was pop-up, as its cheaper to be operated, and is easier for new entrants. It is also evident that out of the 500, 35 is the active distributors of content, which have formed the only trade body for the industry in the Event cinema association, which a global website. Particularly in 2014, a cinema event was worth over £35 million in the UK, and Ireland and accounted for over 3% of total box office sales (All the revenue from selling movie tickets). In this particular niche market smaller companies tend to focus on one technique and idea for the outdoors cinema, such as Moonlight-drive-in cinema only hosts screenings where cars drive in. But on the other hand, companies like Luna Cinema has multiple different kind of events. The structure - of this niche market overall is perfect as there are many firms that are able to provide screening for customers. Some organisations tend to focus on only new releases while others have a set amount of films that mainly screen older, and more known and seen films (Classical). The pricing strategies are obvious, which ever company can sell the best product for the cheapest or sensible price wins the customers, but if there is only one company operating in an area. There is lack of competition and customers have no options or are unable to choose. Market Share – The whole cinema market is dominated by Cineworld (25.4%), Odeon (24.3%) and Vue (20.4%). Then its National Amusements (5.6%), Picturehouse Cineworld (2.3%), Empire Cinemas (2.2%) and 19.9% of the market share is owned by others. This denotes that the large companies have control over the market, as they own a very large share of the market, therefore it makes it more difficult for new entrant to enter the market, but as pop-up cinemas are a unique niche market, it should affect it as much. Other – The industry revenue expected to grow at compound annual rate of 2.6% through 2018/19 and through the current year revenue expected to rise by 0.3% to £1.6 billion. Cinema admissions for the year were 177 million – highest level; of UK cinema-going since 1970. The figures confirm that there is a slight drop in average UK ticket price to £7.22.

Research – Part A Pop-up cinemas comes mainly from the sales of tickets. Which ranges from £10-£25 depending on different company, ticket standard, location and etc. Food and a drink also brings in revenue into the business, but it has been reported that bar sales to be in decline. Other revenue is gained from sponsorship. The information on market size, structure and share were collected from multiple website, which are reliable and have linked information and similar data. Therefore makes it valid. (Websites used: https://www.tutor2u.net/business%20/blog/pop-up-cinemas-in-the-uk-market-insightsmarket-insights & https://www.timeout.com/london & https://www.telegraph.co.uk/film/what-to-watch/popup-open-air-cinemas-uk/ & https://thelunacinema.com/ & https://www.moonlightcinema.com/ & https://www.timeout.com/london/film/the-25-best-cinemas-in-london & https://urbanentertainment.co.uk/prolight-sound-outdoor-cinema-urban-entertainment/ & https://www.statista.com/statistics/264379/leading-theater-chains-in-the-uk-by-market-share/ & https://www.bfi.org.uk/sites/bfi.org.uk/files/downloads/bfi-press-release-bfi-statistics-new-high-uk-cinemaadmissions-and-second-highest-spend-on-record-film-high-end-tv-production-uk-2019-02-01.pdf & https://www.ibisworld.co.uk/industry-trends/market-research-reports/information-communication/motionpicture-video-television-programme-production-sound-recording-music-publishingactivities/cinemas.html & https://www.statista.com/statistics/264379/leading-theater-chains-in-the-uk-by-market-share/) Trends Outdoor film screening is rapidly gaining popularity in the UK. There is already a wide range of setting provided by pop up cinemas, and are constantly changing location for a bigger variety for customers. It could overtake many themes, one of the biggest being romance, which pop-up cinema defines itself. The current advanced technology allows pop up cinemas to provide a high quality images of the movie, while being mobile at the same time. Companies are also able to provide surround sound for their customers. Multiple companies are able to provide hire for the equipment required, at a certain price. At an average of £500-£600. Their commonly used by charities for profit aimed events, community groups, and etc. ------------------------------------------------• Entertainment is always in demand • Even higher demand during recession • A cheaper option for families • Experienced and trained staff to run the cinema events. • It is a new and a unique experience for many customers, compared to pop-up cinema's competitors. • The pricing strategy, will allow a range of customers, to be engaged with pop-up cinemas, depending on their income and age. For example, children, teenagers (13-18). Adults, elderly, family passes and groups of people. Also drive in cinemas could have a price per car, instead of people. • Areas which are in development, allows pop-up cinemas to create activities for local residents and/or tourists or visitors. • New entrants to the market are able to provide new techniques, activities or experience which people haven’t been familiar with before. • The structure of seating, which would need to suit each individual and other customers around them so that everyone is able to enjoy the screening in a customisable, comfortable and arranged seat. • Online booking services • Pop-up cinema can have a much higher capacity than normal cinemas, as statistically normal cinema can hold between 100 to 500 people. While Pop up cinemas are able to provide more than a thousand seats for customers. ------------------------------------------------• Profit Structure - less £ to theatres as compared to studios • Advertising and concessions • Run by conglomerates • Forcing small theatres to close • Digital film - new technologies cost money • The pricing is set high • The cost of the set-up for the screening, which cover for the future. • Issues with traffic, as customers will be arriving approximately at the same time. Separate entry and exit, which is controlled by staff, so that the traffic is less chaotic. • Establishing a good reputation ------------------------------------------------ Sports plays musicals • Niche markets

Research – Part A • • •

Classic films, independent films, film festivals. Marathons. Interactive films with the customer… Lack of competition as the cinemas are all over the place and the times for the events are always different. • The target market ranges. • The attendance to the pop-up cinemas is quite high. • Loyalty programs to encourage customers to re-visit. • A range of different services available to the customers to fulfil the experience • Using food products, additional accessories, to gain revenue. • 70% of the pop up cinema customers are women. • More customers watch films that were released more recently. • Prices of pop up cinemas are much more expensive than ordinary indoor cinemas. • Customers would rather go to regular cinema, unless they would like to try something new or unique or it’s in the local area. • New entrants may not have the starting capital, Companies might have to use loans • The market is growing at between 20%-25% each year, the popularity of the market is increased, and so is the customer base. • Membership options • Extra bonuses, discounts, and point earning. • The cinema is able to use different locations for screenings, meaning competition is high. • There is a variety of films. Ranging from classics to new, recent releases. • Pop up cinemas are aimed at families and couples. ------------------------------------------------• Netflix, film4, NowTV, amazon • Other forms of entertainment, where will consumers spend their discretionary income? • Different weather conditions • Competing cinemas • Restrictive licenses - could be in particular locations. Police may receive noise complaints, alcohol restrictions, movie screening licensing, the number of cars in a given area restriction, etc. • Tickets sales may change depending on weather, tickets might be refunded, causing bad reputation. I have surfed most of the web and this is the most valid information which was available to do with pop up cinemas and the cinemas market as a whole. I would say the information is pretty reliable which is proven by the validity. (Websites used: https://www.cinemauk.org.uk/the-industry/facts-and-figures/ & https://www.theguardian.com/film/2018/dec/14/big-screen-boom-uk-cinemas-on-track-for-best-year-since1971 & https://www.screendaily.com/features/why-independent-cinemas-are-booming-in-theuk/5130085.article) External Influences  The organisation must have a permit and license for screening, and using a particular area. The business have to adapt to laws made by the government. The marketing rules, laws of quality and safety. Interventions and right of their employees. Wage legislation, which is the minimum wage and overtime and taxation.  Inflation (increase of price) may impact company's business and their customers. As it effects purchasing the power, and the raw materials. It will also affect the exchange rate, cost of facilities. The rate of interest. All of these combined could affect the market as a whole, particularly its growth.  Partnership between businesses, knowing what the customer expects from the organisation, their needs and wills. Seasonal aspects, which could affect the screening. For the reason of winter being extremely cold for outdoor settings, therefore the pop up cinemas have their screenings indoors. While in the summer it is outside.  The equipment used for the screening needs to be new, better technology. It needs to be mobile so that it may be moved around and set-up in different locations and settings. Support projection and surround sound.  Tourism, agriculture, location, waste disposal, laws and energy consumption regulation all impact the pop up cinema market and effects each business's reputation. The stock management needs to trust. These links show the exact influences on the business. Therefore the information is reliable and valid. Which is backed up by the arts council website and economical website is also reliable from the reviews.

Research – Part A (Websites used: http://fernfortuniversity.com/term-papers/pestel/nyse4/2674-cinemark-holdings--inc-.php & https://thoughteconomics.com/the-role-of-film-in-society/ & https://www.artscouncil.org.uk/sites/default/files/downloadfile/Understanding_the_impact_of_event_cinema.pdf) Luna Cinema - Campaign  Ticket sales to view film outside, on a mobile cinema (Inflatable screen, generators, speakers, and projectors). Food & Drink (Bars and hot food on the site). The company sells blankets and inflatable back rests.  Ticket prices are between £15.50, £16.50, £17.50. Luna provides standard seats and premium. It provides a prime position of the screen and reserves a seat for the customer. The customer also gets a drink from the Luna Bar, and are served without queuing. When more than 10 tickets are purchased, there is a £1 off each ticket. Luna is able to be hired for private events. Customers are able to buy gift tickets. The ticket could be used for any event in any of the locations during a period of time. Your ticket’s order status could be accessed on their website. There is also an option of the ticket being delivered.  Luna is mostly operated in big cities, in parks, beaches, and other typical locations. You’re able to book tickets online, contact the company and get help. London parks to country manor houses and castles. Swimming pools, theatres and ruined abbeys.  Luna has a calendar of when their events are hosted. Luna has their own website which has all their information. Luna is promoted by many popular event websites. It also has a cinema based for children called Luna kids cinema. They have a twitter, Facebook and Instagram pages. They have their own mailing list where information of events are sent to those people who register. Luna works with full-service marketing agency, under the name Booments. They provide a set of marketing support services for Luna’s events.  It is stated by Luna that their staff has a vast experience and have staged hundreds of screenings across numerous sites. Customers are guided and are able to receive help from any member of staff. Luna usually operates in team of staff.  Luna usually chooses a setting which would suit the films background and setting.  Luna could be contacted for any queries through a telephone number and email. They also provided the address of their press and marketing. Luna does not let refunds or exchanges if the weather is bad. It is only cancelled if the weather brings danger to customers. To avoid this Luna posts updates on their social media pages and website. It is very valid and reliable as all the information is collected from the company itself. (Websites used: https://thelunacinema.com/faqs & https://thelunacinema.com/about-us https://www.lunakidscinema.com/ & https://lunacinema.designmynight.com/) Key feature of marketing campaigns for pop up cinema events  The public relation is used by nea...