Galaxy Entertainment Corporation, the joint venture between the Ruias and the Chatterjee group, opened its second Sports Bar in south Mumbai last week.
The company's first property, located within its famous Phoenix Mills complex, has been growing at the rate of 20 per cent a year.
Top company executives say that if the second outlet, where Rs 1 crore (Rs 10 million) has been sunk in, succeeds, there will be at least another three bars in Mumbai and probably around 20 such Sports Bars across the country.
"But before taking on the world, we first want to saturate Mumbai," says Vinit Store, chief executive officer, Galaxy Entertainment.
Store is confident that the Sports Bar business alone will help him raise his operating revenue to Rs 30 crore (Rs 300 million) next year. Targeted at the 28-40 years age group, the bar is positioned as a fun place to unwind and watch sports on television.
And while Sports Bar has been doing great business for the Galaxy Entertainment Corporation, the same cannot be said of its other operations such as the Brew Bar, Rain restaurant and the bowling alley.
Store, however, insists that the Phoenix Mills complex is doing great business. "The company was looked upon as a perfect marriage between retailing and real estate," he says.
"The rental income for the group flows in, courtesy high-profile brands like McDonald's, Noodle Bar and Big Bazaar. The in-house properties have also been growing consistently," he says.
But the going has not been easy. The Brew Bar may be doing well at the complex, "but it's not a very hot venture to replicate," says Store.
The exotic appeal of beer varieties is limited and the business has little future in terms of franchisee operations, he adds.
Galaxy's other property, the Bowling Company, too, is successful primarily because of its current location and positioning as an entertainment hub. It does not have much hope elsewhere because bowling as a sport is dead in the country.
"Companies like Brunswick and AMF come to sell their equipment. But they should have also tried selling the sport, which they did not," he says.
Other than the Sports Bar, Galaxy plans to open more branches of its world cuisine restaurant, Rain, but probably under a different brand name.
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