YOUPLEX, The Miniplex model planned by Prasads and Punditz in a JV

1. Punditz Presents…
… The Young Multiplex

2. Executive Summary
Prasads is an established brand in the film industry, especially in the exhibition
Brand Prasads
sector with it’s 5 screen multiplex including the Imax in Hyderabad. Prasads is
looking to leverage the brand equity by expanding into the film exhibition
There is an ever growing potential for cinema screens in India. On the demand side,
Potential for Screens
the income levels are rising and so is people’s willingness to spend on entertainment
while on the supply side, film and real estate industries are growing fast
Punditz is an entertainment consultancy firm, established by a group of experts in
entertainment, finance and turnkey project execution. Having identified the potential
Punditz Youplex Model
for more screens, especially in the class B and C towns of AP, Punditz designed a
Youplex model, a multiplex experience at a low cost .
Punditz Youplex
Punditz has approached Prasads for extending their support for developing the
Youplex model and take the multiplex experience to Tier II and III cities.
in association with Prasads

3. Preamble – Indian Screen scenario
In India, Domestic box-office dominates the total film revenues at more than 70%, as
compared to 11% in Hollywood.
Global Stage – Comparison:
India ranks No. 1 in world for the number of films produced (1325 in 2008) and in
the number of cinema admissions (3.48 Billion in 2009).
However, it stands No. 3 in the no. of screens (11,000 way below USA’s 39,000 and
China’s 35,000) and the lowest Screen Density (12 screens per million as against
27 in China and Japan, 59 in UK and 117 in USA).
Another interesting fact suggests that India stands 1st in ‘time taken to earn a
movie ticket’ at 16 minutes versus 24 Minutes in US and 48 Minutes in Australia
against a world average of 56 minutes. Taking Indian per capita income into
consideration, this shows how low the ATP (Average ticket price) in India is.
The other major drive of technology in exhibition has been 3D. With many filmmakers
announcing the conversion of earlier 2D blockbusters into 3D, the opportunity for this
projection has increased.

4. Preamble – Potential for growth in AP
Potential for new screens across AP with the same ambience, yet at a low ticket and
popcorn prices
Ever-growing demand for screens with film producers’ changing stance from ‘Long
run – Less screens’ to ‘More screens – Steal the Cream’ model, thus reducing the
shelf life of the movie to 1-2 weeks
Digitization of projection reducing the additional cost of prints to the
distributor, thus helping him take a chance on the number of screens
Flexibility of timings, number of shows etc in Multiplexes has opened up options for
filmmakers and thus increase in demand (Eg., RACE was screened for 31 shows on a
single day in a Mumbai multiplex)
B and C towns have grown in potential but the multiplex experience not reaching
them yet, owing to the high ticket prices
Alternate content in the form of educational (Both academic and IQ related) and
sports like IPL, FIFA world cup increasing the demand

5. Youplex – The Model
A miniature version of a multiplex… Not only in size, number of screens and seats but also
in the price – of tickets, parking, soda and popcorn (Proposed Ticket price - Rs. 30).
The rundown is only on price but not quality
A 2 screen Youplex with a maximum of 100 seats per screen, two floors of shopping and
one basement for parking, terrace for event management
Expected land requirement – 1000 / 2000 Sq. Yards
Total Construction space – About 25000 Sft. (Including space for 2 screens @ 2,500 Sft.)
High end technical equipment including sound, projection etc, to be connected via satellite
when the numbers are large enough
Located in B towns a la Rajahmundry, Warangal, Kurnool etc.,
Control on theatre level piracy
Top brands, gaming and cuisine

6. Youplex – The Proposal
Punditz proposes to establish Youplexes with the help of Prasads pan South India starting
with the state of AP.
Establish a Franchise model in which the owner of a land in identified B and C towns is
awarded the franchise
The basic shell structure will be constructed for the shopping mall along with 2 halls with
given specifications for the screens to be erected
Prasads will provide with the entire equipment needed for the cinema to be established
viz., Projection, screens, sound and light, seating and other interiors
The franchisee will advertise locally to fill in the remaining shops of the mall to earn back
their costs
The screens are used for movie screening for select hours only. The remaining hours are
used for alternate content like edutainment, conferencing, short films etc.
Punditz will organize the entire exercise turnkey plus help reach the niche markets like the
education and corporate sectors

7. Prasads …The trusted Name
• Founded in 1956 by ace filmmaker Dr. LV Prasad, Prasad Group is the largest provider of
integrated film Lab, Post production and SFX services and Outdoor equipment in South India
• 18 times winner of the prestigious national award for the best film laboratory
• Production facilities and offices across India, Singapore and Hollywood.
• Established South India’s first IMAX theatre in Hyderabad in 2005 with the world’s largest 3D-IMAX
screen.
• Established PXD (Prasad Xtreme Digital Cinema Network) with a view to cater to digital cinema services
like mastering, distribution and exhibition
• Prasads plans to expand their presence in film exhibition by providing digital projection systems in
place of celluloid projectors. For this, PXD has tied up with Barco, Germany for supply of digital film
projection systems in India
• Prasads also has plans to resume their film production activities thus establishing their presence in the
entire value chain system.

8. Punditz Factor
Youplex is the brainchild of Punditz and we propose to take up the project in
collaboration with Prasads on a turnkey basis, on a franchise model.
Punditz is a group of corporate professionals experienced in project
management in various industries viz., Entertainment, Education, IT and finance
Core team experienced in turnkey project management and handled projects
worth a few million USD with team sizes of over hundred people.
Expertise in project financing both debt and equity
Organized several events to yuppies and collegiates and thus have a good
connectivity with both these groups
Basically from Movie industry with good relations with film industry bigwigs
and thus has an in-depth understanding of the industry operations and
distribution process

9. Deliverables
Land Owner: Punditz
• Land of 1000 – 2000 Sq Yds • Turnkey design and execution in consultation with
• Willingness to participate in the Prasads in:
project on franchise model for the - Identifying the franchisees,
proposed franchisee term - Arranging for project funding,
• Willingness to actively involve in Land - Identifying and developing niche markets ,
all local issues Owner conducting campaigns to reach them
- Content Mgt – Design and procure new and
Punditz
alternate content,
Prasads: Prasads - Event management including film
festivals etc for the franchise period
• Branding the project under • Guiding the franchisee manpower on the
franchise model starting with the daily operations
identifying process • Revenue management on behalf of Prasads
• Provide the franchise with the • Relationship Mgt – with content providers and
equipment and technical know- prospective clients
how • Networking with college students to help the place
•Support the franchise with a grow as a schmooze point
regular flow of content

10. Win - Win
Prasads: Franchisee Punditz
• Leverage the brand equity and • Create a longstanding value •As the designer of concept
establish their presence in the with high footfalls which can be Youplex, enjoy the fruits of
entire value chain of film industry effectively utilized by him for success in a young and niche
• Help technology and multiplex other business avenues.
market
experience reach the small towns • Prestige associated to the co-
• Establish name as a one stop
• Create an exclusive market for owner of a multiplex with
shop for all entertainment needs
Prasads brand name
the new products in their • Help new and alternate content
• Project becomes a focal point
folder, the digital projection like short films, foreign films
for the film industry in the
systems reach the students community
locality involving the film stars in
• Establish the perfect platform • Even give a fillip to the local
all their dos.
for their plans to produce content talent by event management
•Partnership with the most
• Transparent relation between • Management fees through the
trusted name in the film industry
producer and exhibitor to help franchise term will help Punditz
builds a credibility in the market
industry to achieve new horizons in its survival

11. Financials Model
Income comes from
a. Theatre collections, which will be deducted by entertainment tax and distributor’s share
b. Parking, Popcorn and other eatables
c. Screening of education or other alternate content, conferencing etc
d. Real estate revenues – lease of retail space
Income from the sources a, b and c (From screens) will be shared by Prasads and the franchisee. Income
from source ‘d’ (Real estate) is entirely credited to the franchisee. In case Prasads takes up a cost in the
construction / land, it will be shared by both pro-rata.
Costs include
a. Development and construction of structure
b. Equipment needed for screens including interiors
c. Marketing & Advertising
d. Manpower
e. Management Fees
Costs a will be entirely born by the franchisee through financing by banker. Costs b will be taken by
Prasads (Thru Exim Finance). All the others will be part of working capital requirements. All the
financing processes will be managed by Punditz.

12. Thank You
Raj Madiraju
Director
91 98488 03132
raj@punditzconsultants.com
Punditz Consultants Pvt. Ltd., 302, NCL Tungabhadra Towers, Nizampet Road, Kukatpally, HYDERABAD