CJ CGV, the South Korean cinema chain that dominates Vietnam's theater market, plans to invest US$200 million in more outlets by 2020.
The Hollywood Reporter shares that CGV hopes to open 12 to 15 cinemas per year nationwide over the next three years. The company opened its 50th outlet in Vietnam earlier this month.
This investment plan will include cinemas in second-tier cities and in more remote areas than major metropolises like Saigon and Hanoi.
CGV entered Vietnam's theater market six years ago when it took over MegaStar Cinemas, and it now accounts for 45% of the country's box office, which generated US$130 million overall last year.
Dong Won Kwak, CGV Vietnam's head, told the news source that he expects the firm's market share to grow in the future, as the cinema market is expanding at roughly 20% annually.
Vietnam's theater market is dominated by foreign brands, with Lotte, a South Korean competitor, trailing CGV with 30% of the market share. Platinum Cineplex, an Indonesian company, holds 10%, while Vietnam's Galaxy and BHD Star Cineplex account for 9% and 6%, respectively, the news source shares.
[Photo via Hitecon]
