Launching a new cinema
An UCI Cinemas case study

Page 1: Introduction

A successful business strategy sets out the long-term direction for an organisation and allows it to respond to the changing business environment in which it operates, as well as the changing needs of its customers. Strategic decisions are not easy to make and there are many courses of action which an organisation can follow. Managers must use their skills, knowledge and experience to evaluate...
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Page 2: Competition in the market-place

In the early days, UCI developed out of town multiplexes which were an indirect challenge to the existing cinema structure i.e. dated cinemas in city or town centre locations. Once again UCI has taken the lead in developing its product offering and promoting these attributes with sound marketing initiatives. As UCI has developed its market position, many changes have taken place in its business...
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Page 3: Making an investment decision

Before UCI makes an investment decision, it has to ensure that the investment will be worthwhile. Building a multiplex is very costly and therefore it is important to have confidence in the final outcome. When a cinema investment takes place, it is essential to predict the various revenue streams - ensuring that UCI can recover its investment and meet profit targets.Calculating the expected...
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Page 4: The new generation of cinemas

This concept was designed to extend the escapism offered by the big screen into a broader leisure offering. One of the aims of the new leisure developments is to find better ways of offering more to the customer in return for a higher customer spend. For example, the new generation of cinemas have bars, cafés, children’s party rooms and retail areas providing the customer with pre and...
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Page 5: The launch

Before the cinema construction was finished, the planning for the launch was well underway. The starting point was to set the objectives for launch activities. A launch should make customers aware of the new product and make them want to find out more. A key element for UCI was to develop a customer-based strategy which would create a high level of awareness - generating interest and creating a...
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Page 6: Conclusion

The new multiplex at Blanchardstown is not designed to target a single audience. With nine screens, it takes a variety of market segments into account, such as young children on Saturday mornings, teenagers later in the day and adults wishing to combine an evening out with a cinema experience. The success of Blanchardstown will depend upon how an audience is built over a longer period...
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