26 september 2024 : The Multiplex Association of India (MAI) has issued a statement responding to filmmaker Karan Johar’s assertion that high ticket and food prices at theaters deter viewers. Karan had recently remarked during a roundtable discussion that a movie outing for a family of four could cost up to ₹10,000, which he believes reduces theater attendance.

In a statement on behalf of MAI President Kamal Gianchandani, the association sought to clarify this perspective. “Karan Johar’s comments imply that cinema exhibitors are to blame for high ticket and food & beverage (F&B) prices. We feel it’s important to present a more balanced view,” the statement read. Karan expressed his concerns in an interview with The Hollywood Reporter India, suggesting that the steep cost dissuades families from frequenting theaters.

In contrast, MAI stated that in 2023, the Average Ticket Price (ATP) across all cinemas in India was ₹130 per ticket. The largest cinema chain, PVRINOX, reported an ATP of ₹258 for the fiscal year 2023-24. Additionally, the Average Spend Per Head (SPH) on F&B at PVRINOX during this time was ₹132, bringing the total average expense for a family of four to approximately ₹1,560—significantly lower than the ₹10,000 figure reported.

The statement emphasized that cinema pricing is “dynamic and flexible,” influenced by various factors such as location, seat type, and film format. MAI asserted that the demand for a film is primarily driven by its content and appeal, not merely by ticket prices. “It’s well recognized that a film’s success is largely based on its content rather than pricing alone. Evaluating cinema pricing requires understanding the broader economics of the movie business, involving producers, distributors, and exhibitors, all of whom contribute to the final consumer cost. If lower prices could maximize revenue for everyone, cinema operators would make those changes voluntarily,” the statement explained.

Finally, the MAI urged against hastily drawing conclusions about pricing, emphasizing that it is a complex issue with many components. “It’s essential to view the full picture before making judgments about pricing, as it involves multiple factors. Our goal remains to offer audiences the best experience at a fair price,” it concluded.

Punjab Khabarnama

Punjab Khabarnama

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