- 1 BookMyShow – Success Story
- 2 BookMyShow – Company Details
- 3 BookMyShow Founders and CEO:
- 4 BookMyShow Challenges:
- 5 BookMyShow Business Model:
- 6 BookMyShow – Revenue and Turnover:
BookMyShow – Success Story
Our generation is so lucky that we are able to get the tickets online easily within a few minutes for our favorite star movie rather than standing in long queues at the theatres. For our ancestors, after waiting for a long time, theatres would have shown them a “House full” board. Mr. Ashish Hemrajani considered this as a problem and launched “BookMyShow” in 2007.
BookMyShow – Company Details
Headquarter: Mumbai, India
Sector: Online Movie Ticketing
Founders: Ashish Hemrajani, Parikshit Dar and Rajesh Balpande
Parent Organization: Bigtree Entertainment Private Limited
BookMyShow Founders and CEO:
Mr. Ashish was an MBA graduate working for J.Walkter Thompson, an advertising firm. The journey of the book my show started in the year 1999 when he went on a trip to South Africa. This idea got struck him when he was sitting under a tree listening to an advertisement for rugby tickets on the radio. He then researched on this idea and started “Big tree entertainment private limited” when he was back in India. He started at the age of 24 from his home initially. Later his two friends Rajesh Balpande and Parikshit Dar joined him for the business where Rajesh was for looking over finance and Pariskhit Dar was for the revenue matters. From here onwards, the trio started their journey together as an entrepreneur.
BookMyShow – Initial Funding:
Similar to many other startups in India, they have also faced a problem with the funding initially when they approached various investors in the country. Finally, they got their initial funding from “JP Morgan chase” and agreed for the investment of 2.5 crores.
BookMyShow – Name and Logo:
Initially, the founders came up under the brand name of “Go for ticketing” and in 2002 with the name of “India ticketing” and finally with “Book my show” in the year 2007.
In 2007, the company was known as “India ticketing” and they conducted the context to employees to suggest with the name of the company by offering the prize of “iPod touch. One of the Engineering interns suggested the name of the company as “BookMyShow” and this is how they named their company.
The brand was not successful in those days because of problems such as no credit card, debit card, internet banking, and no proper internet connectivity with the people in India. There was a time where they used to send tickets through hundreds of people on bike to deliver the tickets to the customers.
As the company was not able to scale up, Mr. Ashish had only two options either to shut the business and go back to his previous job or to invest all his savings into the business to restart it again. He chooses to continue the business but this time with applying different strategies and working smarter.
Gradually, the internet had started coping up in India with better internet connections, payment solutions, and infrastructure, they became software solution providers to various multiplexes and sold automated ticketing software.
After they came back and the environment has changed in India, they again looked over for funding. They got their investment from “Network 18” for 14.5crores with a 60% stake in the company. This was the time that gave us the successful and never-ending “BookMyShow”.
“The Hottest company” of the year was awarded to the Book my Show in the year “2011-12”. In 2013, they entered into a 5-year strategic partnership with PVR cinemas for 250 plus cinema screens. This was handled by 200 plus employees and 150 plus outsources. Further in 2014, Book my show got funding from “SAIF Partners” with the investment of INR 150Crores, and its presence increased to 200+ cities across the country.
BookMyShow Business Model:
BookMyShow gets revenue majorly from the below sources-
- Convenience Fee– This forms the major source of income for the company. For every ticket that we book, we are charged with the convenience fee which is also called internet handling fees. This is charged by the company for providing service of booking the tickets online instead of physically visiting the booking counters.
- Commission on Ticketing Sales-BookMyShow charges a commission from movie theaters or event organizers based on the gross value of tickets sold through Book My Show. It is interesting to know that
theatres, multiplexes, and event organizers sell only a fraction of total tickets through Book My Show. So, sometimes we find the tickets are shown as sold on the website but available on the counter of the event organizer.
- Other Source of Income- BookMyShow also earns revenue from advertisements and promotions on the BookMyShow platform.
BookMyShow – Revenue and Turnover:
As per the latest annual filings in FY-2019, the Bigtree Entertainment reported a 52% increase in the operating revenue compared to FY -2018. Irrespective of the competition from Paytm, the financial health of the company was improving every year.
- ₹3.98-crore loss in FY14
- ₹13.52-crores profit loss in FY15
- ₹236 crores profit in FY16
- ₹300.6 crores profit in FY17
- ₹400 crores profit in FY18
- ₹105 crores profit in FY19
The competitors of the Bookmyshow include Explara, TicketGenie, Indian stage, Book my event and Mera Events, etc. However, BookMyShow has an advantage over all of its competitors. Currently, it is facing major competition from Paytm as they are allowing huge discounts and offers. The current market share of BookMyShow is more than 75% in the online movie ticketing sector.
BookMyShow – Acquisitions:
|Acquired company||Acquisition Date||Location|
|Ticket Green||March 2013||Chennai|
|N Fusion||August 2017||–|
BookMyShow – Future Plans:
BookMyShow plans to add various products such as tees, hoodies, and other apparel. Further, the company also plans to focus on the mobile segment as more than 25% of bookings are done through a mobile application.
You can check more successful stories in Startup Unfold