When a UK cinema client was considering international expansion by acquiring a European chain, we were hired to conduct a review of the business.
We worked closely with the client’s CEO and senior team to understand their considerations, and evaluated a set of strategic opportunities for the business which included pricing and further site roll-out.
Our work helped inform the client about the company’s competitive positioning and its markets. While the project was led from the UK, we brought in people from teams located in the company’s local markets, which was extremely valuable to the client as it helped us to really understand market and customer dynamics at a local and regional level. We researched trends in admissions and pricing, and analysed how a myriad of factors could explain year-on-year volatility as well as longer-term trends.
Based on this work, we built a model to project which films would drive admissions for the upcoming years and how strong we expected the performance of the local cinema industry to be. This was invaluable in helping the client come to a decision about the company’s future potential for growth. We also analysed other trends such as the impact of piracy and online streaming.
The client highly valued our advice, which gave them both the qualitative insights and the rigorous supporting data they needed to make the best decision possible for their business.
© 2016 - 2017 PwC. All rights reserved. PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details.