Popcorn, cinemas and a business case from 2008

In 2008, I was doing my MBA, and my partner Priyank and I had a 'keeda' for participating in business competitions.

One of them was ET Citi Grandmasters.

The case?
How would you revive revenues for a cinema theatre?

Back then, most cinema revenue came from ticket sales.
F&B and advertising contributed relatively small amounts.

Our proposition was simple:
Keep ticket prices low.
Get people into the theatre.
Make money once they are inside.

F&B.
Advertising.
Every possible revenue opportunity.

Fast forward to 2026.
The equation seems to have flipped.

Ticket prices have remained fairly the same, from some Rs 200 in 2010 to some Rs 300 now!
What has changed is that F&B and advertising have become significant parts of the cinema business model.

And there is a reason this works.
Getting you into the theatre is only half the business.
Once you are inside, the popcorn starts doing its job. 😄

I see this personally.

My kid expects a tub of popcorn almost every time we go to the movies.
Something I'm not particularly proud of… and slowly trying to teach him:
₹300 popcorn is not the same thing as ₹300 worth of popcorn.
But then comes the aroma! The crunching sound around you!

And suddenly, that overpriced tub doesn't feel that overpriced😂

Maybe this is what good businesses do:
Don't just sell the product.
Build an ecosystem around it.

So, next time you visit a cinema, notice your bill.

How much did you spend on the movie… and how much on everything else?