Have you ever ordered a ticket to a new superhero movie or concert at home? It is likely that you were on the red application or website called BookMyShow. It feels like magic. One or two clicks and you have the ticket in your phone.
But have you ever thought about the way BookMyShow makes money? It is a big business. In 2023 it received approximately 976 crores which is a massive rise compared to the previous year. It made a profit of 85 crores after some difficult years. The online movie tickets market in India is over 90 percent, and the site is highly popular. This implies that among every 10 tickets that are purchased online, 9 will be BookMyShow.
It is time to take a closer look and get to know more about this bookmyshow revenue profit business model. We are going to find out how it began, how it functions, the origin of its finances and what lies ahead.
What is BookMyShow?
BookMyShow is the largest online booking entertainment system in India. Imagine that it is a massive electronic ticket booth to virtually all fun things you can do outside your house. It is not only the movies, a window into a world of entertainment.
A Quick Trip Back in Time
BookMyShow had not begun with an app. It began way back in 1999. It was established by three friends Ashish Hemrajani, Parikshit Dar, and Rajesh Balpande. Their business is, as a matter of fact, named Bigtree Entertainment Pvt. Ltd. and BookMyShow is their very superstar product.
It started as a mere software company that sold ticketing software to theatres. However, the founders possessed a greater vision. They desired to ensure that making reservations was very easy to all. Their dream took off like a rocket when the internet and smartphones became common in India. They have started BookMyShow and it transformed the entertainment planning process.
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Services Offered
BookMyShow revenue profit business model began by selling movie tickets but currently it is a one stop destination to have fun of all types.
- Movies: Book tickets for any cinema hall, multiplex or single-screen, with seat selection.
- Events: Live music concerts, stand-up comedy, plays, workshops, exhibitions, and festivals.
- Sports: Tickets for IPL, ISL, kabaddi, tennis, marathons, and other major sports events.
- Activities & Experiences: Amusement parks, water parks, go-karting, travel experiences, food festivals.
In Which Countries Does BookMyShow Operate?
BookMyShow is an Indian champion. It has operations in India in more than 650 towns and cities. But its aspiration does not end there. It has also extended its wings to other nations such as Indonesia, Sri Lanka, Singapore and the UAE. It is bringing the easy concept of easy ticketing to the global scene!
How BookMyShow Works?
BookMyShow is as simple as 1 -2 -3. Let us dissect the mere process that you go through when booking a ticket and what is going on behind the scenes.
Suppose you are interested in seeing the new Shah Rukh Khan film.
- You Open the App or Website: You open the BookMyShow app on your phone. The application already has your position already and tells you what is trending in your city.
- You Select your Fun: You choose Movies which are the type of film you wish to watch. BookMyShow will display all the movie theatres in which the movie is being shown, as well as the schedule of the shows.
- You Pick Your Seat: You select a theatre and a movie time. There is a theater map and you are able to choose your favorite seats. Do you like the middle row? Or the corner recliner seats? The choice is yours.
- You Pay it: You are taken to the payment page. This is where you have the cost of the tickets and a little additional fee known as a convenience fee. You make a payment through your card, UPI or digital wallet.
- You Get Your Ticket: Ta‑da! Your ticket is confirmed. QR code is sent to you on the app and email. You don’t need a paper ticket. The only thing you need to do is to present this QR code at the cinema hall and they allow you to enter.
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BookMyShow Revenue Overview: How does BookMyShow make money?
When a company makes money it is called revenue. This is the sum of money that is received before any payment of expenses. BookMyShow is already gaining rich amounts of it, and its income is increasing at a rapid pace!
In FY23, BookMyShow generated a total revenue of ₹976 crores, a massive jump from ₹277 crores in FY22, reflecting more than a threefold increase as audiences returned to theaters and events post-pandemic. The company also achieved a profit of ₹85 crores, reversing the previous year’s loss of ₹92.2 crores. Analysts expect continued growth in FY24, with revenue projected to surpass ₹1,200 crores, driven by movies, live events, sports, and diverse entertainment offerings.
The Revenue Strategy: More Than Just Movies
BookMyShow’s revenue profit business model is smart. It understands that it cannot rely on just one source of income. What happens if people stop attending movies in theaters? This is why it has diversified to make a profit from a wide variety of sources.
- Movies Are the Core: Movie tickets remain the backbone of BookMyShow. It has partnerships with nearly all cinema chains in the country, ensuring a steady stream of revenue every day.
- Live Events Are the Growth Engine: Live events are now the real growth driver. Big festivals such as Lollapalooza, which BookMyShow brought to India, have ticket prices significantly higher than movies, generating considerable profit per ticket.
- Sports for the Fans: India is passionate about sports. BookMyShow taps into this enthusiasm by selling tickets for cricket (IPL), football (ISL), kabaddi, and other events.
- Special Events: From food festivals to adventure sports, BookMyShow continually expands its offerings. This attracts individuals looking for unique experiences beyond movies and concerts.
Types of Business Models
BookMyShow operates as an aggregator. Just as Uber connects riders with drivers without owning cars, or Swiggy brings restaurants onto one platform without owning them, BookMyShow consolidates thousands of cinemas and event organizers onto its single, easy-to-use platform. It acts as a mediator between customers and entertainment providers.
The Multiple Revenue Streams
BookMyShow does not rely on a single income source. It has developed multiple money-making methods:
Ticketing Fees & Commissions (The Main Engine): This remains the largest source of revenue, including:
- Convenience fees charged to customers
- Commission from movie theatres and event organizers
Advertising and Promotions (Riding on Popularity): Millions visit the BookMyShow app and website each month, making it valuable online space. This includes:
- Banner Ads: For movies, gadgets, and brands, paid by producers and companies
- Promotions: Movie producers may pay to feature special messages or highlight their films
Partnerships and Sponsorships (Teamwork for Success):
- Bank and Wallet Promotions: Discounts like “10% off with this credit card” or buy-one-get-one offers generate payments from banks promoting their services
- Event Sponsorships: Major sponsors such as Coca-Cola, Vodafone, or Budweiser contribute to large events, a portion of which goes to BookMyShow
Selling Data & Analytics (Smart Insights): BookMyShow gathers insights about popular movies, actors, and events. These reports (without sharing personal data) help producers and organizers make informed decisions.
All these revenue streams work together, making BookMyShow’s business model robust, diversified, and highly profitable.
Is BookMyShow Profitable?
Making revenue is good, but profit is what really matters. For example, if you sell mango juice for ₹50 a glass and sell 10 glasses, you earn ₹500. After spending ₹350 on ingredients and rent, your profit is ₹150.
BookMyShow used to focus on growth, spending heavily on technology, marketing, and expansion, which meant high revenue but losses. That changed in FY23, when it made a profit of ₹85.1 crores, reversing the previous year’s loss of ₹92.2 crores.
This turnaround came from blockbuster movies like Pathaan and KGF 2, along with a surge in live events. By controlling operational and marketing expenses, BookMyShow ensured more of its revenue turned into profit.
BookMyShow Commission and Charges.
Then, what is the source of money at BookMyShow? Not only through the price of the ticket. It is out of little charges and commissions that sum up to a large figure.
We can divide the various charges.
Commission: A Little Slice of the Ticket.
In selling a ticket to a cinema hall or an organizer of an event, BookMyShow is allowed to retain a small portion of the price of the ticket. This is called a commission.
- Commission on Movie Ticket: It is a confidential agreement between BookMyShow and the movie hall but normally it is a percentage of between 5 to 15 percent of the base price of the ticket (price before taxes). Therefore, when the base cost of a ticket is 200 rupees, BookMyShow would receive a commission of 10-30 rupees on the part of the cinema owner.
- Commission on Event Tickets: The commission is usually higher in events such as concerts and sports. It may be between 10 and 25 percent or even higher, particularly in exclusive events where the BookMyShow is the sole ticketing agent. This is one of the reasons why events are so lucrative to them.
Listing Fees: This is a Fee to Be on the Platform.
In some cases, in terms of smaller events, BookMyShow can charge the organizer to list their event on its site and app. It is similar to renting your shop in a shopping centre. This makes sure that in case of low sales of tickets, BookMyShow still gets something.
Additional Charges for You, the Customer
This is what appears on the payment page when you are purchasing a ticket.
- Convenience Fee: This is the most widespread fee. BookMyShow charges a little bit of premium on a ticket as a convenience of not having to go to the counter and purchase tickets but do it at the convenience of your own home and 24/7 without having to wait in a line. The fee can be ₹20 to ₹50 per ticket. It is a significant income-generating source to the company.
- Service Fees and Internet Handling Fees: These are simply alternative names of the convenience fee.
- Goods and Services Tax (GST): GST is charged on the convenience fee by the government. It is this portion of the money that is distributed to the government and not BookMyShow. As an example, an 18 percent GST is 5.40, which is 30 times higher than the convenience fee of 30. So you pay ₹35.40 in total.
Therefore, when you purchase a 250 rupee movie ticket and pay a total of 285, the convenience fee of BookMyShow and GST to the government is 35.
BookMyShow Latest Valuation and Funding
The valuation of a company is its value. It is the cost of the whole company. In the case of a large business enterprise such as BookMyShow, the price is in the thousands of crores.
How Much is BookMyShow Worth?
By the time of its most recent significant funding round, in 2018, BookMyShow was worth approximately $300 million. That is close to ₹2505 crores!
The company has since then expanded considerably, and it has also become lucrative. Analysts are of the opinion that should it continue to attract additional capital through investors today, its valuation would be in excess of 1billion dollars, becoming a Unicorn. A Unicorn is a privately held startup organization that is valued at more than $1 billion.
Key Investor and Investment Milestones
BookMyShow revenue profit business model has a few extremely strong investors who are confident with its success. Some of the major investors are:
- Reliance Industries: Reliance is a heavy investments company, through Network18 group, of which Mukesh Ambani owns a significant portion.
- Accel Partners: it is a well-known international investment company that has also made investments in such companies as Facebook and Flipkart.
- SAIF Partners (formerly Elevation Capital): One of the most successful venture capital firms that invest in Indian startups.
- TPG Growth: An international investment company.
Competitor Comparison.
BookMyShow is the online ticketing king of India, yet it is not the sole competitor. Its main competitors are:
- Paytm: The digital payment giant has an event and movie ticketing section on its application, known as Paytm Insider. It is the largest competitor of BookMyShow and usually competes with big cashbacks and discounts.
- Insider.in: It is a more event-oriented, workshop-oriented, and experience-oriented platform. Interestingly, Paytm holds a majority stake in Insider thus they are a joint force against BookMyShow.
Despite this rivalry, BookMyShow revenue profit business model still reigns as the leader due to its good brand name, massive network of cinemas and organizers as well as its easy to use technology. BookMyShow is trusted by people and this is its greatest strength.
Conclusion
The bookmyshow revenue profit business model experience of becoming a billion-dollar entertainment company out of a small software company is an incredible tale of foresight, timeliness, and shrewdness. It realized a mere necessity, which is the need to have hassle-free entertainment, and applied technology to address it in an incredible manner.
Its business model is a masterpiece of diversification. It has engineered a profitable business by not depending on movies alone, by creating several sources of revenue through commissions, convenience fees, advertising and partnerships. The fact that it became profitable in 2023 was a significant milestone that demonstrated that its model is not only about expansion, but also sustainable success.
Next time you buy a ticket on that red app, therefore, consider the complicated but genius business operating in the background. BookMyShow is not merely selling tickets, but convenience, selection, and joy in a single click.
FAQs
Who owns BookMyShow?
The product, BookMyShow, is a product of the parent company, Bigtree Entertainment Pvt. Ltd. Ashish Hemrajani, Parikshit Dar and Rajesh Balpande are the founders of this company. It is also the investor of a number of key investors, such as Network18 of Reliance.
Is BookMyShow profitable?
Yes! Following years of growth targets, BookMyShow became profitable in the Financial Year 2023 and generated a profit of 85.1 crores.
What is the purpose behind BookMyShow paying a convenience fee?
The convenience fee that BookMyShow offers is not free. This involves the expense of operating the application and the site, 24/7 customer care and the ease of making ticket reservations anywhere without having to stand in line.
What is the commission charge of BookMyShow?
Precisely, the amount of commission is determined, but it is typically between 5 and 15 percent on movie tickets and 10 to 25 percent or higher on live events. The cinema owner or event organizer pays this commission, and not the customer.
