Cineworld
PCMG help Cineworld reduce their electricity & water usage and costs
Cineworld is one of the UK’s leading cinema groups. Founded in 1995, the Group operates 75 sites across the UK and Ireland, with over 45 million admissions per year. The Cineworld portfolio includes five of the eight highest grossing cinemas, including the top two. The Group philosophy is to provide a modern, clean environment that makes cinema going a pleasurable experience, coupled with the highest levels of customer service.
Following its acquisition of UGC in 2004, Cineworld has pursued a strategy of rolling-out best practice across its expanded portfolio of cinemas; it was this strategy which led to the engagement with PCMG in 2006.
Cineworld has consistently utilised the services of specialist procurement and bill validation (bureau) services to effectively manage its energy costs. In 2006, the Group recognised that PCMG’s Cost Recovery service could provide additional value and agreed an initial scope for PCMG to review the previous 6-years electricity and water costs.
This initial project resulted in 16 individual refunds, across 6 different UK-wide suppliers, delivering a significant 6-figure refund to Cineworld. However, utilising the data, analytical expertise and site visits, PCMG was able to identify and implement an additional 70 individual cost reduction opportunities.
Suki Dhadwar, Vice President of Financial Operations at Cineworld commented, “At the outset, we were sceptical as to what additional value PCMG could add, over and above our existing partners – however PCMG very quickly delivered both cash and margin improvement, exceeding our expectations and with minimum fuss.”
Following this successful initial phase, Cineworld asked that PCMG expanded the scope of work, to review recommend and implement other cost saving areas, including;
- Water conservation
- Power factor correction & associated equipment
- Energy efficiency
To date, PCMG has recovered over £300,000 for Cineworld from 10 electricity and water suppliers across the UK and generated annual savings of a further £300,000 across 14 different suppliers – equating to an annual reduction of around 5% of Cineworld related expenditure.
Suki continued, “Cineworld takes its environmental responsibilities very seriously and a key project I am driving is energy conservation – PCMG has understood our business, its goals and drivers and continuously brings new ideas to the table. The PCMG team has a wide range of skills and experience and have consistently delivered results, both financial and operational. Their services and our relationship continue to grow as they add more value.”
Ian Yates, PCMG Managing Director stated; “PCMG is in a very privileged position because our clients provide us with consumption and billing data to undertake our Cost Recovery service. Analysing these data, our Energy experts enable Clients to reduce usage and associated costs, not only delivering a tangible financial benefit, but also helping reduce our Clients carbon footprint and all the associated financial, operational and marketing benefits.”