Drive In Movie Theater Case Study
The management created a challenge for the sales team during the annual meeting when it stated that the sales made for the coming financial year, should indicate an increase of 18 percent. Tasking the sales team to consider and come up with ways of reaching this outcome led my team to kick off an ongoing discussion of creative ways that the challenge can be met. The opening of a drive in movie theatre has repeatedly surfaced in these conversations as a suitable option.
The number of drive-in theaters in the country has dropped over the years as they were unable to keep up with the customer changing demands of converting to digital theatres. This makes the profit potential of this sector to be high as the unexploited potential customer base …show more content…
The main profit that it brings to the table is the increase in revenue from the new product. The finance department based on the proposals suggested by the sales team estimated that the drive in would be able to break even within six months. The customer base of the organization is also bound to increase if the theater is opened. This is based on the findings that the unexploited customer base for drive in theatres is huge.
The main recommendations on the course of action from the sales team are highlighted …show more content…
PRODUCT
In addition to the movie theater, other products will be sold. This will include freshly baked pizzas, soft and alcoholic drinks, popcorns and burgers.
II. PRICE
The cost of a movie ticket will be set at 5 dollars. The price of the snacks is not included in the movie ticket. The cost of the snacks will be determined by a market research.
III. MARKET TARGET
The main target market will be young people from the age of 18-35. This is because they have a much more interest in socializing and are more open to experimenting new experiences.
IV. LOCATION
The movie theater will be located outside of the main city centre. The ideal land will be located at a serene and quite environment and at a convenient distance from homes, estates, other businesses.
This will enable the theater grounds to be used as a parking lot and an open air market during the day. This will help maximize the profits the organization will receive from the assets.
V. EQUIPMENTS
The theatre will make use of technology when it comes to visuals and sound. It will make use of digital screens and low-frequency FM radio sound system. Viewers will get the visuals of modern theatre and simply tune their car radio to the right channel, and listen to the soundtrack using their own hi-fi
The number of drive-in theaters in the country has dropped over the years as they were unable to keep up with the customer changing demands of converting to digital theatres. This makes the profit potential of this sector to be high as the unexploited potential customer base …show more content…
The main profit that it brings to the table is the increase in revenue from the new product. The finance department based on the proposals suggested by the sales team estimated that the drive in would be able to break even within six months. The customer base of the organization is also bound to increase if the theater is opened. This is based on the findings that the unexploited customer base for drive in theatres is huge.
The main recommendations on the course of action from the sales team are highlighted …show more content…
PRODUCT
In addition to the movie theater, other products will be sold. This will include freshly baked pizzas, soft and alcoholic drinks, popcorns and burgers.
II. PRICE
The cost of a movie ticket will be set at 5 dollars. The price of the snacks is not included in the movie ticket. The cost of the snacks will be determined by a market research.
III. MARKET TARGET
The main target market will be young people from the age of 18-35. This is because they have a much more interest in socializing and are more open to experimenting new experiences.
IV. LOCATION
The movie theater will be located outside of the main city centre. The ideal land will be located at a serene and quite environment and at a convenient distance from homes, estates, other businesses.
This will enable the theater grounds to be used as a parking lot and an open air market during the day. This will help maximize the profits the organization will receive from the assets.
V. EQUIPMENTS
The theatre will make use of technology when it comes to visuals and sound. It will make use of digital screens and low-frequency FM radio sound system. Viewers will get the visuals of modern theatre and simply tune their car radio to the right channel, and listen to the soundtrack using their own hi-fi