Movie Mart charts expansion plans; to raise Rs 500 million

Mumbai: Movie Mart has announced its plans to invest Rs 500 million over the next two years towards capacity enhancement and for marketing and brand promotion activities. The company is currently in talks with various venture capital firms which have contacted Movie Mart for funding.

Movie Mart has also partnered with leading logistics company TNT to provide delivery of its online DVD rental service across India. Most national players provide DVD delivery service only in select cities. In that sense the company has become India’s largest DVD rental and the only one of its kind to be national.

Movie Mart is also planning to include more verticals to the company like movie downloads on the website, DTH, television software and movie production.

Movie Mart CEO Rahul Mansharmani said, "We will make sure our DVDs are delivered safely and on-time using TNT’s integrated air and road network. Currently, we are delivering satisfactorily to an average of 10,000 customers in Delhi and NCR on a daily basis."

The company has also begun selling DVDs and VCDs online, which are available at 15% discount on its MRP. The orders are shipped within 24 hours (subject to availability) by the courier company to across the world.

Movie Mart plans to set up company-owned outlets in Mumbai, Bangalore, Chennai and Kolkata. The company is also looking at entering Tier-2 cities through the franchisee route. The company is targeting revenue of Rs 400 crores and a customer base of one million subscribers over the next five years. The company aspires to have a 10 per cent market share in DVD sales.