Johannesburg, 28 Sep 2004
In spite of competition from multiple sources including cable and satellite TV, VHS and DVD rentals, pay-per-view and illegal downloads, the movie industry continues to grow and prosper.
This has led the way for Regal Entertainment Group, the largest motion picture exhibitor in the US, operating 6 045 screens in 550 locations and in 39 US states, to expand its services.
Regal made a decision to develop a new source of revenue and cash flow, and has deployed Regal Express, a self-service kiosk developed in conjunction with Fujitsu that allows moviegoers to purchase tickets, print online tickets and even withdraw cash, in the theatre lobby.
Regal is implementing a two-part deployment that includes both the Regal Express kiosk and an upgraded POS system. The POS roll-out began in January 2003 and was completed in mid-2004, while the kiosk roll-out started in August 2003 and will be completed in 2005.
The goals are simple: for the POS upgrade, Regal seeks reduced downtime and enhanced ease of use, while looking to the kiosk to provide a robust multifunction device capable of additional applications without excessive cost. Fujitsu products were chosen for both projects.
Regal`s existing POS units were experiencing a high rate of failure, says JE Henry, senior vice-president, Regal Entertainment Group. "The determining factor in the POS implementation was usability by theatre staff."
The kiosks were a slightly different story, as they had to be essentially created from the ground up specifically for Regal.
"Fujitsu was introduced as a company that was innovative in the ATM industry," says Henry. "We had a need to replace proprietary ticketing kiosks with a device that could perform multifunction tasks such as gift cards, cash transactions, ticket purchase and ticket retrievals."
The kiosk accepts both debit and credits cards. To date, both the POS and kiosk deployments have been an unqualified successes. The POS units are reporting a failure rate "of less than half a percent", according to Henry, while the Regal Express Kiosks, at an early state of deployment, are already within reach of the goals for those units and looking at an ROI with "significant payback".
Some 1 200 of Fujitsu`s TeamPoS terminals will be rolled out, supporting the Linux operating system, at nearly 200 cinemas. The systems will include a colour touch-screen terminal, magnetic card reader for credit card customers, cash drawer and receipt printer.
"Fujitsu`s technology allows patrons to bypass a box-office line, walk directly to the machine, purchase and pick up their tickets. They can even buy advance tickets. Some Regal Express terminals are installed through a wall for outside access so customers can purchase tickets and get cash 24 hours a day," Henry says.
According to Henry, the theatre concession environment presents one of the most challenging retail arenas for ease-of-use and system reliability and durability, due to extremely high volumes during peak usage times such as weekends and holidays. If a "down" terminal creates long lines at the concession stand, it can create an unacceptable customer experience, he says.
"During a particularly difficult week, Fujitsu systems won the Oscar for best performance in a sticky situation," Henry says. "Fujitsu successfully passed a creatively devised Coke spill-test. The terminals where not only easy to clean, but continued to perform without a hitch throughout the holiday season. The pilot terminals performed more than a quarter-million transactions flawlessly."
"This win is further testimony to Fujitsu`s focused retail technology lifecycle model and the market momentum we`ve been rapidly gaining over the last 18 months," says Austen Mulinder, president and CEO of Fujitsu Transaction Solutions.
"Fujitsu has demonstrated flexibility, creative thinking and assistance in every engagement, and the relationship we have with them is one of the best I`ve experienced in 34 years in the IT industry. We are totally impressed by their retail systems," says Henry.
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