Which cinema chains are Malaysians talking most about?

The reopening of cinemas in Malaysia was met with much fanfare from netizens. On the same day that the National Film Development Corp Malaysia (FINAS) announced that film activities and cinemas could resume operations mentions of the country's top cinema chains - Golden Screen Cinemas, MBO Cinemas and TGV Cinemas - mentions spiked by 3,300% on 2 March, according to statistics from Digimind between 2 to 4 March. Majority of public sentiment (91%) towards the news was also positive.

GSC received the largest share of social mentions at 77.1%, about three times more than that of TGV Cinemas and MBO Cinemas combined. While GSC commands a stronger following between the brands, it used the news of the reopening strategically to build great fanfare through multiple updates from movie line-ups and cinema location openings to designated seating plans. About 44% mentions around GSC were associated using branded hashtags such as #BacktoGSC or #GSClovesyou3000 to build up the buzz organically.

Mentions of cinemas reopening peaked on 3 March at 7,092 and overall, majority of the chatter came from Kuala Lumpur (27%) followed by Petaling Jaya (26%). Among the list of trending topics Digimind found included "reopencinemas", "govt", "backtogsc", "gscloveyou3000", "movie line-ups" and "godzillavskong".

"Pushing out content that resonates with your key audience cannot be ignored in this digital era, especially when your consumers have the ability to choose how engaged they want to be across the various touch points of their purchasing journey. It is then better, in this case, for cinemas to be top of mind with those looking to watch a movie after a long time away from the cinemas," Digimind's head of Asia Pacific, Olivier Girard, said.

He added that large brands and organisations which are directly affected by the regulations imposed by the government on their industry must have the foresight to monitor opportunities in development and identify hotspots based on targeted, pre-defined queries around customer intent.

Marketing around the reopening of cinemas

According to FINAS, cinema operations and filming activities are allowed in CMCO and RMCO stats as long as players follow health protocols such as recording temperatures of all individuals involved, and maintaining physical distancing in cinema halls. As of Friday, Selangor, Johor Bahru, Penang and Kuala Lumpur have switched to CMCO, alongside Negeri Sembilan, Kelantan, Kedah, Sarawak and Perak. Meanwhile, the other five Malaysian states along with Putrajaya and Labuan are under the RMCO.

When asked what percentage revenue increase TGV expects from the cinema reopening, TGV Cinemas' GM of sales and marketing, Mohit Bhargava, told A+M that it is taking a "conservative short-term view" and expects business to gradually ramp up each quarter. "We do not foresee us achieving pre-pandemic levels for remainder of 2021 especially in light of socially distanced seating SOPs limiting cinema capacities," he added.

That said, TGV is implementing marketing strategies such as free welcome back screenings, half-priced candy bar specials, and private cinema hall bookings.

It also plans to enhance its customer journey digitally to grow web and app share of its total ticket and food sales, as well as use its eshop and online affiliate sales to upsell and cross sell movie experience vouchers, concessions packages and movie merchandise via online market places such as Shopee. According to Bhargava, the company is also revamping its TGV MovieClub programme to feature more offers and ability to personalise offers for members to drive customer frequency.

Also, the cinema chain is doubling down on partnerships during this period, working with Astro to grow is local Malay content pipeline and offering its cinema halls for different types of usage such as music, magic and comedy shows and e-gaming events. It will also leverage its movie studio partnerships to mobilise data-driven tactical promotions to stimulate visits, Bhargava said. 

"Reopening for the second time late last year saw a more severe drop in admissions nationally, this is largely attributed to cinemas only being able to operate in outstation locations with Klang Valley remaining closed, unlike after the first MCO when cinemas around the country were allowed to reopen," he said. 

Like most businesses, Bhargava said the pandemic has accelerated its digitalisation strategies and also forced cinemas to innovate to generate much needed cash flows. "We have seen success particularly in elevating our focus on ‘off premise’ popcorn sales which has grown steadily over the past few months and something we will continue to develop even after cinemas are reopen," he said.

At the same time, TGV's brand values have also evolved with safety becoming a critical pillar alongside the need to reignite the role of cinemas in people which is more than just movies, it symbolises occasions, memories and community engagement.

"Cinemas have fundamentally been a cornerstone of Malaysian entertainment and social culture, we believe this aspect of our lifestyle will come back over time. Our focus is of course to continue innovating and diversifying our offerings across content, entertainment experiences, and F&B and further investment within our digital and customer loyalty platforms," he added.

Meanwhile, rival GSC considers the pandemic a  "temporary setback" and is confident that once the pandemic has passed, audiences deprived of out-of-home entertainment will return to the cinemas "with a vengeance", consistent with what it has witnessed in other regions. GSC previously did its part in actively calling for cinemas to reopen, creating a survey and using the hashtag #ReopenCinemas in its posts.

The company recently acquired the majority of cinema assets from MCAT Box Office and Reel Entertainment Holdings, operators of the former MBO cinema circuit. The acquisition is expected to complete by the end of June 2021. Last October, MBO Cinemas Cheah Chun Wai explained the severity of its dire situation in a Facebook video, pleading for Malaysians to support the company through merchandise sales. He added that MBO's admission rate dipped to as low as 10% of its usual numbers, with only two to three customers per session compared to the usual 50 customers.

Despite the present challenging business environment, GSC said the acquisition is strategic and will help accelerate the brand’s growth and strengthen its market leadership position. It also looks forward to optimising the unique selling points of both brands to enhance its technologies, assets, and know-how. "The acquisition of MBO cinema assets will further enhance GSC’s diverse and innovative offerings; and audiences can look forward to a more wholesome, personalised, and delightful time at the movies with us," GSC's CEO Koh Mei Lee said. A+M has reached out to GSC for additional information on its marketing plans following the reopening.

The recent change in regulations followed chatter among Malaysian netizens last month questioning why pasar malams (night markets) and hair salons are allowed to open while cinemas remained closed. The Malaysian Association of Film Exhibitors said on 11 February that cinema operators face losses of approximately up to RM1.3 million a day, accumulating a total loss of more than RM400 million since March 2020. As a result, mentions to #BringCinemasBack peaked on 11 February at more than 800, with the total number of mentions from 7 to 14 February amounting to 4.9k, regional intelligence and consulting firm Wisesight said. 

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Photo courtesy: 123RF

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