BookMyShow Business Model: How Does BookMyShow Make Money?
With operations in around 60 locations and a presence in five countries, BookMyShow is India’s largest online entertainment ticketing network. Mumbai is home to BookMyShow’s headquarters. Cultural events, concerts, parties, plays, fairs, performances, and other worldwide events have all been engulfed by it. The corporation also introduced tickets for nearby activities. Making reservations is now easier than ever.
Previously, Big Tree Entertainment Pvt Ltd was the name it operated under. In 1999, Ashish, Parikshit, and Rajesh launched BookMyShow. It started as a software reseller for cinema tickets before progressively branching out into cloud-based movies, sports, and events.
The idea for selling entertainment tickets online was first conceived by Ashish Hemrajani, a 24-year-old who launched a little business in his bedroom. Since its launch, BookMyShow has experienced many ups and downs. The business has seen it all, having made it through the 2008 global financial crisis and the Dot Com implosion in 2007.
It was able to sail through difficult times and ultimately come out on top. BookMyShow has developed into a platform that provides its users a wide range of options. Tickets and surf trailers can now be reserved by customers from anywhere at any time.
BookMyShow Company Details
|Online ticket booking for movies, events, sports, and more
|Website, Mobile App (iOS, Android)
|Operates in multiple countries
|Millions of users globally
|Collaborations with cinemas, event organizers, and sports venues
|Online ticketing, Mobile ticket delivery, Virtual events
BookMyShow’s Business Model
The BookMyShow Business Model operates in a very clever way. BookMyShow does not impose any additional fees for the hall services. So, how does it generate revenue?
It utilizes the following resources to function:
Convenience/Internet Handling Fee
An extra cost is associated with booking tickets using the BookMyShow website, known as the Internet Handling/Convenience Fee. This is a service charge that you must pay the business in exchange for their ability to make easy online movie or event ticket bookings for you. This eliminates the need to go to the Ticket Center in person and wait in line. Therefore, BookMyShow’s primary source of income is now from the Internet Handling or Convenience Fee.
Ticket Sales Commission
One of the largest websites for ticket sales is BookMyShow. For this reason, it levies a commission fee to the movie theater and event planners depending on the overall gross price of tickets purchased through BookMyShow’s website. This primarily depends on how well-liked the film or event is and how much the ticket costs.
Yet, the multiplexes or event organizers list only a small portion of the total number of tickets on the BookMyShow website to avoid paying the small commission fee. This is why, on occasion, tickets for events or movies that BookMyShow indicates are “sold out” may be available at multiplex counters.
Paid promotion and banner advertising
BookMyShow frequently makes money by running banner ads for recently released or forthcoming films or events. Through its banner in the form of commercials, it advertises the program or film. To draw in viewers and loyal customers, it also makes a lot of money by paying to promote specific movies and events on its website.
BookMyShow Revenue Model – How does BookMyShow make money?
BookMyShow has a policy of not offering refunds for payments made. It generates income from non-ticketing sources as well. Owing to its enormous online following, it enjoys the first-mover advantage. It helps up-and-coming artists and their products, allowing it to pocket a sizeable portion of the money earned through promotional strategies.
BookMyShow features a few different revenue streams.
Its origins are:
Income from Ticket Sales
BookMyShow receives a commission from the movie theatre or event organizer for each ticket sold. This significant revenue stream accounts for about 60% of overall revenue.
The commission appears as follows:
- From the extra fees for internet use and the delay in purchasing tickets
- Convenience charges in addition to ticket prices
- The commission obtained on the sale of the tickets
Income from additional activities
Companies hire BookMyShow to market their new artwork, movies, or artists to take advantage of its enormous page views.
Tickets for various events, including sporting events, plays, tours, dramas, and much more, are available on BookMyShow. You can look through the categories to locate the show that interests you. A ticket cannot be cancelled or rescheduled after it has been booked.
The firm prospered from 2002 to 2006 despite the lack of financial assistance. The Indian market was redesigned with improved internet access, credit and debit card options, and infrastructure when the Dot Com bubble subsided. Multiplexes have grown throughout India as well. Investors were prepared to put money into BookMyShow because of the favorable circumstances around the company and its promising business plan.
The biggest entertainment ticketing website in India is BookMyShow, a Bigtree Entertainment product. It is the sole place to go for movie and non-movie options, including sports, plays, and events, and it has its headquarters in Mumbai. Its main sources of income are non-ticketing fees and ticket sales.