A Cinema, you realize, is literally where films are generally seen at a cost for public entertainment. It’s a cool business, because of this country’s passion for entertainment.
In this market, smart businessmen most often add ice cream, popcorn, other snacks, and drinks.
Hence, it derives additional revenue apart from showing films.
Cinema sector comes with its problems just like any other company.
Before discussing how to start a cinema business in Nigeria, it’s ideal to discuss that first.
Challenges in the Cinema business industry
1. Challenges with inadequate funds
The cinema sector is a capital-intensive enterprise that can be expressed in factors such as exorbitant rent rooms, equipment, registration and licensing fees.
2. Pessimistic attitude
Most people struggle because of a pessimistic mindset and behavior, even before business begins.
This can be expressed first in the understanding of the company’s success by entrepreneurs.
Secondly, is the problem of public acceptance of the initiative.
3. Economic challenges
Economic problems here include predisposing company location-related risk factors, disease breakouts, natural disasters, etc.
People are afraid to gather in groups , especially where cases of natural and man-made disasters are rising.
4. Moral decadence
The abuse of the cinema venue by actions such as smoking, sex, etc. may lead to the Government’s closure of the business , particularly where such actions are not approved by law
How to start a Cinema business in Nigeria
1. Carry out a thorough market research
You ‘re not going to make many financial contributions as a company yet.
As you are, as I believe, a beginner on the track, you need to contact industry experts and related fields such as recording studios, event planners and decorators and anyone else who can help make your dream cinema company a reality.
Take advantage of their wealth of experience and use it to grow your Nigerian cinema business
They ‘d support you with an excellent spot, market survey, design, etc.
2. Carry out a feasibility study on the area
Through this, they visit other city cinemas to see what they’re doing. Get to see how these people are doing it.
Make the most of their failures and create a simple blueprint for your Cinema business.
This will help you develop a profitable cinema company in Nigeria here.
3. Get some sort of authorisation
You need to sell VAS at your Cinema location to bring in more sales. That includes items such as snacks, meals , drinks and even movies. Though not compulsory, they are still required.
You must therefore obtain a franchise or authorisation from the companies that offer these products and services before retailing them at your cinema location
4. Be up to the task
You need some education and training so that your cinema company functions properly. Otherwise, you are going to run the company at a very large loss.
You need to be trained in areas such as the handling of Movie Tickets, cinematography, auditing and crowd control.
A simple few months of business school training can help fix these where there is a lack.
5. The Movie Dealer / Distributors contact
Reach out for trending yet to be released and anticipated movies to the movie dealers / distributors.
The higher the hype, of course the higher the prospects.
This would naturally translate into higher remuneration, as many customers flock to watch these movies at your cinema venue.
6. Rent Space
Today, your cinema business in Nigeria needs a good venue. Such a space should contain equipment and staff for your customers as well.
Most desirable is a busy part of the town as it has a lot of publicity. It is similar to the market, as well.
Of course, busy people are busy at making money.
People would definitely find a nice place to unwind after a long day.
At these times an insight into the cinema place would be more than welcome.
7. Get good equipment and facilities
The type of equipment and facilities used is one of the key selling points in the cinema business.
So make sure your lighting is more than good, and that your interior design is also good. You need portable speakers and sound systems, too.
Make your business convincing, because life’s first experience matters a great deal.
8. Plan for the worst, have a side income
No matter how juicy at first every company has a downside. Cinema sector is no exception in Nigeria.
Have a contingency plan as such by offering business at your Cinema venue.
This includes popcorn sales, drinks etc. This will help you to offset the financial gaps created to cover the costs.
9. Investing in Quality advertising
Advertising is the secret to generating more sales. Engage in putting your company up in professional print media as well.
This includes magazines , newspapers, posters , leaflets, etc. Take advantage of broadcast media too. These include channels such as television , radio , internet and so on.
Try as much as possible to drive increased exposure to your Cinema business.