Theaters Earning More from Snacks than Ticket Sales
Theatres' profitability has shifted dramatically in recent years. Snacks now generate more revenue than ticket purchases. There's something unique about watching a movie with a large tub of popcorn or a nice cool drink. Snacks are inexpensive to produce, yet theatres sell them for a high profit. Furthermore, everyone enjoys munchies, regardless of what movie they're viewing.
According to reports from PVR Inox, India's largest cinema network, snack sales exceeded ticket sales from january to march 2024 and for the entire year. In fiscal year 2023-24, snack sales increased by 21% to Rs 1,958.4 crore, while ticket sales increased by 19% to Rs 3,279.9 crore. The dry period at the box office this year has surprised the theatres.
Following catastrophes like Bade Miyan Chote Miyan and Maidaan, there haven't been many releases this summer due to the IPL and election season. Because of this circumstance, F&B (food and beverage) revenue growth has outpaced box-office revenue growth. F&B revenue outperforms ticket revenue since a ticket costs around $300, but one popcorn bucket and a beverage cost Rs. 1000. Most of the theaters are minting money through their eateries than the ticket sales.