When two argue, both win

Mediavision plans to establish itself as a movie theater marketer in German-speaking Switzerland soon

Mediavision soon wants to gain a foothold as a cinema marketer in German-speaking SwitzerlandBy Markus Knöpfli According to Mach Basic 2002, the cinema medium can once again report growing visitor numbers with an increase of 1.8%. However, this growth is limited to German-speaking Switzerland and Ticino. In French-speaking Switzerland, the figures are declining. The competition between the marketers Mediavision and RMB Switzerland is all the fiercer there - a battle that is also underway in German-speaking Switzerland.
Between April 2001 and April 2002, according to Mach Basic 2002, the medium of cinema recorded an average of 457,000 weekly contacts throughout Switzerland, 8,000 more than in the same period the previous year. However, the increase was exclusively in German-speaking Switzerland (+12000, +4.1%) and in Ticino (+2000, +15.4%), whereas in French-speaking Switzerland cinema admissions fell by 7000 to a total of 137000 visits (-4.2%).
The growth in German-speaking Switzerland and Ticino is primarily due to two new multiplex cinemas, the Kinepolis in Schaffhausen (in operation since the beginning of 2001) and the Cinestar in Lugano (since mid-2001). As the marketer RMB Switzerland was able to lease both, it continues to hold a market share (MA) of 100% in both parts of the country. Because of the two multiplexes, RMB has also established two new large center pools, which has led to shifts in contact numbers and corresponding "losses" in the regional pools and corresponding "gains" in the large center pools. The pool figures at RMB are therefore only comparable with those of the previous period to a limited extent.
While RMB gained all of its contacts in German-speaking Switzerland, it lost all of its contacts in French-speaking Switzerland. In addition, RMB lost a further 12.4% MA to Mediavision (MV), meaning that RMB now has an MA of 54.7% in French-speaking Switzerland. In Geneva, MV was able to overtake RMB for the first time and now has an MA of 54.7% (+24.2%). The situation is similar in Valais: according to an estimate by RMB CEO Matthias Luchsinger, MV now has around 60%.
However, one region is an exception: in Lausanne, RMB was able to maintain its contacts at the level of the previous period - thanks to the newly opened multiplex cinema Cinétoile, which has been leased by RMB since late fall 2001. As MV also lost 6000 contacts in the same region, RMB now has an MA of 78.3% (+9.1%).
In Switzerland as a whole, MV has now achieved an MA of 13.6% since it entered the market at the end of 1999 - something that Luchsinger seems to be taking in his stride. "When we broke into Cefi's cinema marketing monopoly in 1992 - back then as Digital Cinefilm - we achieved an MA of 33 percent throughout Switzerland within two years," he comments.
For Olivier Bloch, Managing Director of MV Suisse, however, the new Mach Basic figures raise three questions: Why did the RMB Jura-Wallis pool lose just 8,000 contacts when MV's new Valais pool has 14,000 contacts in one fell swoop? Why did MV lose 4000 contacts in Fribourg-Neuchâtel, even though the number of cinemas remained the same and even 500 more admissions were recorded per week? And how could MV lose 6000 contacts in Lausanne, even though it has gained four new cinemas there and ticket sales per week have also risen massively?
New multiplex cinemas extend the reach of marketers
For Harald Amschler, Head of Research at Wemf, MV already had a few cinemas in Valais, but these were booked under the Fribourg/Neuchâtel center pool. In the new
In the Valais pool, these cinemas have now been combined with the newly acquired Valais cinemas, which is why MV has not gained 14,000 new Valais contacts, but perhaps 8,000. The repackaging also explains the loss in the Fribourg-Neuchâtel center pool. However, Amschler has no explanation for the heavy loss of MV in Lausanne apart from the multiplex: he has checked the figures again and found that they are correct.
However, the showdown between the two marketers is not only exciting in French-speaking Switzerland. It is also in full swing in German-speaking Switzerland - albeit still behind the scenes. "The current lease situation in Switzerland will remain the same for the next two to three years, MV will not win any new contracts in 2003," says Luchsinger firmly. "In German-speaking Switzerland, things are in motion, and I'll be able to say more in a month's time," says Olivier Bloch mysteriously.
One thing is certain: every expiring lease in German-speaking Switzerland is a potential Achilles heel for RMB. But so does every new multiplex: in the next six months, two more will open in Wil SG and Baden, and the Cinemax in Zurich will be extended by two screens. Does RMB already have these screens under contract? Luchsinger's answer is diplomatic: "They belong to cinema owners who have existing contracts with RMB." In other words, there is still a lot of bidding and advertising going on.

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