Russian Movie Theatres Market Trends of development
of the new modern cinemas Media Salles Seminar, CEI-2004, 21 June 2004, Amsterdam
Oleg Berezin, CEO, Nevafilm, Russia
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Russian Box Office: Russian Box Office: Key notesKey notes 01 June 2004Y
CIS BO (01.06.04) - $118.4MRussian BO (01.06.04) - $102.0M
TOP1 in CIS Box Office - $14MThe Lord of The Ring: The Return of the King
TOP5 films in CIS BO with BO over $10M:The Lord of The Ring: The Return of The KingTroy (18 days in release!)Terminator-3Matrix: ReloadMatrix: Revolution
Russian films with BO over $2MAntikiller-2: Antiterror - $2.68M72 meters - $2.53MDon’t even think!-2 - $2.10M
European films with BO over $1MLove Actually - $2.07MTais-Toi/Ruby and Quentin - $1.03M
© Kinobusiness Today
Box Office Russia, mln $$1997Y - 2003Y,and 2004F
620 18
34,5
65,1
101
168
240
1997 1998 1999 2000 2001 2002 2003 2004
Cinema admissioms in Russia Millions
20,223,5 24,57
30,1636,4
40,5
68
95
1997 1998 1999 2000 2001 2002 2003 2004F
Russian Cinema Market Russian Cinema Market 2003Y 2003Y
The “working” cinemas 2003Y509 cinemas / 778 screens
The Modern Cinemas 2003Y343 cinemas / 542 screens
More than 1 screen per 100’000
0,5 -1,0 screens per 100’000
0,4 – 0,5 screens per 100’000
0,2 – 0,4 screens per 100’000
less 0,2 screens per 100’000
No cinemas
© Nevafilm
Modern screens by Russian regions 2003Y
The Russian market of Modern Cinemas 2003Y
Quantity of modern cinemas in Russia
62105
150
280
343
100130
220
350
542
400
750
1999 2000 2001 2002 2003 2004F
cinemas screens
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Modern Cinemas Moscow St.-Petersburg Regions 2003YSingle Screen 34 5 177 2162-3 screens 17 5 84 1064-7 screens 13 3 3 198-11 screens 2 2Total of Cinemas 68 13 262 343The Total of Screens 151 28 363 542
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
Jan – Jun 2004Y: + 17 cinemas / 69screens
General trends of the Cinema MarketGeneral trends of the Cinema Market
1996Reconstruction of existing cinemas
2001Redeveloping of the existing cinemas to multi-screen cinemas
2004The new construction of the cinemas in Shopping Centers
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
Moscow 55 screens in 12 Shopping CentersShopping Center IKEA MEGA MALL – 11-plexShopping Center “Atrium” – 9-plexShopping Center “Kaluzhskiy” – 9-plexShopping Center “Gold Babylone” 6-screenRamstore City – “Nescafe IMAX®” + 4-screens Shopping Center Ramstore – 4 screensShopping Center “Ramstor-2” – 4-screens Shopping Center “XL” – 4-screensShopping Center “GUM” – 2-screensShopping Center “Mitino” – 2-screensShopping Center “Dinamit” – 2-screensShopping Center “Okhotny Ryad” – 1 screen
St.-Petersburg 26 screens in 5 Shopping CentersShopping Center “Baltiysky” - 2-screenShopping Center “Zanevskiy Cascade” – 5-screensShopping Center “Nord” – 6 screensShopping Center “Akademichesky” – 5 screenShopping Center “Mercury” – 8 screens
Nizhniy NovgorodShopping Center “Shokolad” – 4-screens
PodolskShopping Center Ramstore – 4 screens
YekaterinburgShopping Center “Yeakaterininskiy” – 3-screen
VolgogradEntertainment Shopping Center “Radezh” – 2 screens
KazanShopping Center “City Center” – 3 screens
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
The basic trend of the Cinema MarketThe basic trend of the Cinema MarketCinemas at Shopping CentersCinemas at Shopping Centers
Ramstore City, MoscowNescafe IMAX®
Kinosphera Cinema, 4-plex 2003
IKEA MEGA MALL, Moscow Kinostar De Luх (11-plex)
2003
Atrium, Moscow«Formula Kino», 9-plex
2002
Kaluzhsky, Moscow«Cinema Park», 9-plex
2004
Zanevsky Cascade, St.-Petersburg«Kronverk Cinema», 5-plex
2003
Yekaterinburg, Shopping CenterCinema “Yekaterininsky”, 3-plex
2003
Ramstore, MoscowThe first cinema in Shopping Center
“Formula Kino”, 4-plex 30.03.2000
9 months per year Russians spend inside the premises
20 % of all Shopping Centers in Moscow had zones of entertainment
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
The basic trend of the Cinema MarketThe basic trend of the Cinema MarketCinemas at Shopping CentersCinemas at Shopping Centers
Coming Soon on screens in Shopping Centers
“Park House” Shopping CenterInvestKinoProject, Volgograd
“Grand Canyon” Shopping CentreCinema Park, St.-Petersburg
«Neptune Center» Shopping CenterSt. Petersburg
“Park House” Shopping CenterInvestKinoProject, Yekaterinburg
“Bratislavsky Krug” Shopping CenterKinomax, Moscow
Some Developers which plan to add Cinema in Shopping Centers
“Ramstore” Company (Moscow)“Adamant” Company (SPb)“Vremya” Company («Park House»)“Tasher” Company (Regions)“Macromir” Company«Trade Quarter - Region» CompanyIKEA Company (“Mega”)
+ more, more, & more…
“Rodeo Drive”, Shopping CenterSt.-PetersburgКоличество киноэкранов в Торговых Центрах
4 8
26
68
220
0
50
100
150
200
250
2000 2001 2002 2003 2004F
01.06.04100
Количество киноэкранов в Торговых Центрах
4 8
26
68
220
0
50
100
150
200
250
2000 2001 2002 2003 2004F
01.06.04100
Cinema screens in Russian Shopping CentersКоличество киноэкранов в Торговых Центрах
4 8
26
68
220
0
50
100
150
200
250
2000 2001 2002 2003 2004F
01.06.04100
Количество киноэкранов в Торговых Центрах
4 8
26
68
220
0
50
100
150
200
250
2000 2001 2002 2003 2004F
01.06.04100
Cinema screens in Russian Shopping Centers
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
Source: Expert RA
Some the new Shopping Centers with Cinemas in Moscowwhich are planned to be open in 2004Y - 2005Y
16-screens in the Shopping Center “Veymart-2” (will be operated by Yekaterinburg-Art)12-screens “Kinostar De Lux” (IKEA Mega Mall -2, will be operated by Rising Star Media / National Amusements)10-screens Shopping Center “na Profsoyuznoy”8-screens “Ramstor na Vernadskogo” (in the Shopping Center, will be operated by Formula Kino)5-screens “Ranstor na Sevastopolyskoy” (in the Shopping Center, will be operated by Formula Kino)5-screens “Ramstor na Yartsevskoy” (in the Shopping Center, will be operated by Formula Kino)8-screens “Tri Kita” (in the Shopping Center)7-screens “Bratislavskiy Krug” (in the Shopping Center, will be operated by “Kinomax)4-screens “Grand” (in the Shopping Center)8-screen Shopping Center “5th Avenue” (will be operated by “Cinema Park”)……..
Source: NevafilmSource: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Some the new Shopping Centers with Cinemas in St.-Petersburgwhich are planned to be open in 2004Y - 2005Y
8-screen in Shopping Center “City Mall”10-screen in Shopping Center “Rodeo Drive” 7- screen in Shopping center “Pik” (will be operated by “RosKinoProkat”)12-screen in Shopping Center IKEA MEGA MALLMultiplex in Shopping center “Planet Neptune”Multiplex in Shopping Center “Cosmos”3 x multiplexes in Shopping Centers “O’key”
Target Markets in Regions:
Nizhniy NovgorodYekaterinburg
KazanPerm
NovosibirskSamaraSaratov
VolgogradTumen
KrasnodarKrasnoyarsk
UfaRostov
Omsk
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
The basic trend of the Cinema MarketThe basic trend of the Cinema MarketCinemas at Shopping CentersCinemas at Shopping Centers
Way of Russian market develop:
Moscow St.-Petersburg Regions
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Modern Cinemas: Modern Cinemas: MoscowMoscow
Population 10.1M people (7% of the total)
Average income per head per year in 2003Y$7’968
Share in the common incomesof the population of Russia 25%
Modern Cinemas in MOSCOW, Russia
5468 72 80 90100
151
178
240
300
2002 2003 06.2004 2004F 2005F
cinemas screens
51%
59%
25%
2003 2004F 2005F
Rate of a gain of quantity of screens (% by the previous year)
Key notes 2003Y11 screen “Kinostar De Lux”&Nescafe IMAX®
Key notes 06.200412 screen “Formula Kino”&9 screens “Cinema Park”
The new screensin Shopping Centers
2003 2004F 2005F
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
51%59%
25%
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Modern Cinemas: Modern Cinemas: St.-PetersburgSt.-Petersburg Modern Cinemas in St.Petersburg, Russia
9 1319 22
30
14
28
56
70
120
2002 2003 06.2004 2004F 2005F
cinemas screens
Population 4.7M people (3% of the total)
Average income per head per year in 2003Y$2’988
Share in the common incomesof the population of Russia 4%
100%
150%
70%
2003 2004F 2005F
Rate of a gain of quantity of screens (% by the previous year)
The new screensin Shopping Centers
Key notes 2003Y5 screen “Zanevsky cascade”
Key notes 06.200426 screens “Kronverk Cinema” in 4 Shopping Centers
2003 2004F 2005F
Reconstructionof the existingcinemas
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Modern Cinemas: Modern Cinemas: RegionsRegions (excluding Moscow and St.-Petersburg)(excluding Moscow and St.-Petersburg)
Population 129.4M people (90% of the total)
Average income per head per year in 2003Y$1’848
Share in the common incomesof the population of Russia 71%
54%
21%
32%
2003 2004F 2005F
Rate of a gain of quantity of screens (% by the previous year)
The new screensin Shopping CentersReconstruction
of the existingcinemas
2003 2004F 2005F
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
54%
21%
32%
Modern Cinemas in Regions, Russia
217262 272
298
350
236
363 371
440
580
2002 2003 06.2004 2004F 2005F
cinemas screens
373
Average Box Office per the one screen Average Box Office per the one screen
Russian Box Office vs. Q-ty of Modern Screens
$320K$310K$291K
$274K$257K
$173K
-
100
200
300
400
500
600
700
800
1999 2000 2001 2002 2003 2004F
Box Office, $M Screens, q-ty AVG BO per screen, $K
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
Box Office vs. Q-ty of Modern Screens in MOSCOW
$417K
$468K$504K
-
100
200
300
400
500
600
2002 2003 2004F
Box Office, $M Screens, q-ty AVG BO per screen, $K
Average Box Office per the one screen in Moscow Average Box Office per the one screen in Moscow
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
Source: ScreenDigest, Media Sales,Kinobusiness TodaySource: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Russian Cinema Market: Russian Cinema Market: forecastsforecasts
1991 1993 20011995 1997 1999 2003 2005
Qu
ality
of
cin
em
a e
nte
rtain
men
t
Forecast of growth Attendance and Box Office Russia, Mln
0
100
200
300
400
500
600
Attendance, mln.people 40,5 68 95 130 165 198
Box Office, mln.$ 101 168 226 307 398 501
2002 2003 2004 2005 2006 2007
The basic tendencies of the Russian Movie Theater Market 1996 - 2007
Moscow St.-Petersburg Main cities Regions
Modernization of working central cinemas
1996Y 1997Y 1997Y 1999Y
Reconstruction of old cinemas 1997Y 2000Y 2000Y 2000Y
Construction of multi-screens cinemas in shopping centers
2000Y 2003Y 2004Y 2005Y
Construction of multiplexes in separate buildings
2003Y 2005Y 2006Y 2007Y
Forecast of the Russian modern cinema market
0
200
400
600
800
1000
1200
1400
1600
Cinemas 280 343 400 470 550 600
Screens 350 542 750 1000 1200 1400
2002 2003 2004 2005 2006 2007
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
Source: ScreenDigest, Media Sales,Kinobusiness TodaySource: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Russian Cinema Market: Russian Cinema Market: basic trendsbasic trends
THE BASIC TRENDS OF DEVELOPMENT OF THE RUSSIAN CINEMA MARKET
Growth of the movie theater market against a background of the social and economic rise of the country;
Increase in the share of multi-hall theaters and multiplexes, especially within Shopping Centers;
Reduction of the per-screen profitability of the existing theaters due to increased competition and appearance of new players on the market;
Increase in the volume of investments in the construction of new movie theaters due to increased competition and higher requirements and expectations of the spectators
More stringent government control of the quality of construction, especially that of large multiplexes facilities;
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
NEVAFILM STUDIOS™ The one of the most modern
Postproduction Film Studio in Russia
NEVAFILM DUBBING™The largest Russian Dubbing Studio
of language dubbing films for theatrical release
NEVAFILM CINEMAS™Cinematic design and consulting
Supply & installation the cinema equipment
NEVAFILM DIGITAL™ - Development of Digital Cinemas in RussiaSupply and installation the DC equipment
Source: Nevafilmwww.nevafilm.ru NEVAFILM JSC • CINEMAS • STUDIOS • DUBBING • DIGITAL • RESEARCH
Thank youThank youfor your attention,for your attention,
and welcome to Russia!and welcome to Russia!
If you have any questions If you have any questions about Russian market about Russian market
Welcome to booth #204!Welcome to booth #204!
Russian Movie Theatres MarketTrends of development of the new modern cinemas
Oleg Berezin, Nevafilm
The special report about Russian Cinema Market
Top Related