EasyCinema
Subject
Economics, Management Science and Operations
Authors / Editors
Voss C A
Biographies
Publication Year
2003
Abstract
Stelios Haji-Loannou had led the way in creating high value, low frills airlines in Europe with EasyJet, which he founded in 1995. Early success led him to develop the use of the brand in other industries and he has been aggressively applying the same principles to internet cafes, car rental, pizza deliveries and other low costs service businesses. In early 2003 he leased a 10-screen multiplex cinema, The Point, in Milton Keynes, a new town of about 200,000 people north of London, and set about applying these principles to the cinema industry. In the months following the launch of EasyCinema (May 2003) there was much speculation as to whether the business model that had worked so well elsewhere would also work here. On the one hand, Stelios saw this as a logical extension of his concept bringing value to this industry in the same way that EasyJet had done with air travel in Europe. On the other hand, there had been fierce resistance to his concept by film distributors. In addition his direct competitors in the cinema industry were watching with interest, but felt that the well-established mainstream multiplex model was better.
Industry
Cinema Industry
LBS Case Number
CS-03-007
Project Funder
Newton Int Fellowship
Available on ECCH
No
