Multiplexes create an impact on shopping malls, as in the future they are not a nice-to-have but a primary thing that will determine whether the mall will survive or thrive. This impact is determined in three categories: footfall volume, dwell time, and demographic targeting.
In this blog, we will break down the impact of multiplexes on retail sales. The Multiplex impact on retail sales can be defined as the Pre-Show Window, where the person comes early and starts browsing shops, and the same with the Post-Show window, where the person, after the movie, browses for shopping and food, and what you, as a retail owner, can do to benefit from it.
When there is a weekend or a new movie launched, it creates a high footfall. When they arrive early, they browse the shop or eat, and even if not shopping, they walk. That is where the seed is planted for a future purchase, and stores located on the path to cinemas or on the same floor get free marketing.
Roughly 70% of visitors spend on a meal before or after the show, which boosts the mall's F&B (Food & Beverage) revenue. Gurgaon malls are using premium cinema experiences to attract high footfall and create a luxury outing for visitors. A study shows that the presence of a multiplex increases footfall by a whopping 40-50%. At malls like SPJ Vedatam in Gurugram, this footfall dynamic directly affects store visibility.
Brand Exposure:When footfall increases, the brand exposure increases, as more people get to know more about the brand and their products and services, which leads to brand recognition and a larger customer base.
Customer Experience: More Multiplex footfall helps the brand to identify the core problems and get them resolved for better customer experience, for example: long queue, product recognition.
Market positioning: When movie times are over, retailers can check where the brand positioning has high footfall tracked in their retail outlet or not, which can improve their sales and customer demand, and also provide advantages over competitors, enhancing their reputation as popular shopping spaces. As SPJ Vedatam highlights, knowing when and where footfall peaks is what turns a busy store into a thriving brand.
Sales Generation: More footfall can increase the chances of sales. The more people visit your store, the higher the chances of making sales, as more customers can increase the likelihood of transactions and revenue.
Not every store in a mall benefits equally from Cinema Spending, but understanding this gap is a smart decision, as mostly the food courts and grocery stores benefit more from the cinema spending. The study shows that Footfall contribution dropped from ~10% to 6–7% (https://economictimes.indiatimes.com/industry/services/property-/-cstruction/malls-may-cut-multiplex-space-as-cinema-led-revenues-shrink/articleshow/115743130.cms?utm_sourc)
Outcome-led When Cinema Drives Footfall, Not Sales:
Luxury, electronics, and high-value stores see minimal impact
Footfall quality matters more than quantity
OTT and changing habits are reducing cinema influence
Retailers need strong positioning and experience-led strategies
Cinemas generate traffic, but spending remains selective
Success depends on converting visitors, not just attracting them
Multiplex creates an impact on retail sales with footfall volume, dwell time, and demographic targeting.
Multiplex impact can be determined with pre- and post-show windows
About 70% of visitors eat before or after the movie, boosting F&B sales.
Cinema spending mainly benefits food courts and grocery stores.
1. Are multiplexes still as important to malls as they once were?
The intent is to maximize visibility for all retail businesses throughout the mall, whether they are coming up or down.
2. How is the shift towards "experiential retail" changing this?
Yes, although they used to contribute around 10% of total visitor traffic in shopping centres, post-OTT launch, that figure has been reduced to approximately six to seven percent.
3. What is the average impact on revenue?
Multiplexes create experiences similar to traditional retail as a "third space" experience, which drives traffic to the mall, resulting in higher earnings for all retailers in a properly conceived mall.
