PVR Inox, India’s largest multiplex chain, is rolling out a new format called SMART Cinemas for the country’s Tier III cities. The company plans to open nearly 300 such cinemas over the next three years, starting with Muzaffarpur in Bihar. Barrackpore in the east and Hanumangarh in the northwest are among other towns on the list.

The cinemas will run on a Franchise-Owned, Company-Operated model, with local partners owning the properties while PVR Inox operates them. Muzaffarpur was picked as the launch city for its growing commercial importance, expanding retail base and rising demand for organised entertainment.

Ticket Price Cut

Tickets will cost under $2, or up to ₹175, roughly 30-35% cheaper than a regular PVR Inox multiplex and about 40% below the company’s metro average.

Food will be limited to popular items like popcorn and nachos, priced lower too. Lower land, capex, electricity and manpower costs in these towns make the pricing possible. Each screen needs an investment of about ₹1.9 crore.

Screens To Watch

Six more SMART Cinemas have already been signed and are due to open within nine months, with talks on for several other cities. Each property will have 2K laser projection, 7.1 surround sound, modern auditoriums and curated food and beverage options, though without recliners or formats like IMAX and 4DX.

Of PVR Inox’s 1,780 screens nationwide, only 3-4% are in what the company calls “growth towns.” It plans to add around 150 regular screens a year over the next three to four years, alongside piloting photo booths and virtual reality games in its multiplexes.

Managing Director Ajay Bijli called SMART Cinemas the company’s “next phase” of growth, building on nearly three decades of “transforming the way India experiences cinema,” and said the aim was to make such experiences “more accessible than ever before.”

Executive Director Sanjeev Kumar Bijli said the model lets the company “grow alongside our partners” through a “scalable, capital-efficient” approach.

Speaking separately, Sanjeev Kumar Bijli said smaller towns represent “the next wave” of growth, as people there are “aspirational” and want facilities matching those in big cities.

Ajay Bijli said the pricing came from “tweaking the engine” without compromising quality, and that distributors would ensure smaller markets get a steady film supply.

PVR Inox expects the rollout to create jobs, boost state and local tax revenue, and strengthen organised entertainment infrastructure in these markets.

Beyond The Box Office

The launch coincides with one of PVR Inox’s strongest box-office runs in years, backed by hits like Dhurandhar: The Revenge, Project Hail Mary, The Odyssey and Spider-Man: Brand New Day, with Toxic, Ramayana and Dune: Part Three lined up next. Shares have risen about 17% this year, beating the Nifty 50’s 5.9% decline.

Motilal Oswal said in a 26 July note that Hollywood’s recovery and a strong content slate “bode well,” but flagged that occupancy remains highly dependent on content quality, a factor outside the company’s control.

To cushion this, PVR Inox is leaning on sports screenings, concerts, TED Talks, devotional events and corporate meetings, which brought in 1.2 million admissions last year, a figure it expects to grow 10% this year.