Cineplex Entertainment

1478 WordsApr 10, 20126 Pages
CUSTOMER RELATIONSHIP MANAGEMENT ASSIGNMENT CINEPLEX ENTERTAINMENT: THE LOYALTY PROGRAM SUBMITTED BY: FAHD AHMAD ABBASI (2010-NUST-EMBA-17) NUST BUSINESS SCHOOL NATIONAL UNIVERSITY OF SCIENCES AND TECHNOLOGY Date: 27th November, 2011 INTRODUCTION Based on the “Cineplex Entertainment : The Loyalty Program” Case Study the following question needed to be answered: Question No. 03: What is the likely increase in Cineplex Entertainment Revenue from your proposed Incentive Program @ 0%, 5%, 10%, 15% or 20%. What would be the varying Financial Consequences for Complex? Would you proceed with the reward program? Based on the Information in the Case Study an Incremental Analysis for expected Revenues and Expenses is done which…show more content…
81,350,732.44 | Incremental Concessions Revenue | 66,501,808.34 | 57,001,550.00 | 38,001,033.34 | Total Revenues | 208,865,590.12 | 179,027,648.67 | 119,351,765.78 | Total Incremental Revenues @ 10% Increase in Concessions Revenue | Cannibalization Rate | 12.50% | 25% | 50% | Incremental Box Office Revenue | 142,363,781.78 | 122,026,098.67 | 81,350,732.44 | Incremental Concessions Revenue | 69,668,561.12 | 59,715,909.53 | 39,810,606.35 | Total Revenues | 212,032,342.89 | 181,742,008.20 | 121,161,338.80 | Total Incremental Revenues @ 15% Increase in Concessions Revenue | Cannibalization Rate | 12.50% | 25% | 50% | Incremental Box Office Revenue | 142,363,781.78 | 122,026,098.67 | 81,350,732.44 | Incremental Concessions Revenue | 72,835,313.89 | 62,430,269.05 | 41,620,179.37 | Total Revenues | 215,199,095.67 | 184,456,367.72 | 122,970,911.81 | Total Incremental Revenues @ 20% Increase in Concessions Revenue | Cannibalization Rate | 12.50% | 25% | 50% | Incremental Box Office Revenue | 142,363,781.78 | 122,026,098.67 | 81,350,732.44 | Incremental Concessions Revenue | 76,002,066.67 | 65,144,628.58 | 43,429,752.38 | Total Revenues | 218,365,848.45 | 187,170,727.24 | 124,780,484.83 | As Internal Development Program with Preliminary Reward Structure of Option 2 has been selected so analyzing them for Profits the following figures are obtained: Analysis (Internal Development) | Option No 2 ( 0 % Increase in Concessions Revenue) | Cannibalization Rate |
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