Seventymm plans to roll out the service to the four metros and Hyderabad by the end of 2006 and to B and C class cites over the next three years. For Bangalore, Seventymm plans to use in-house services for collection and handling on a model similar to the one that Pizza Hut has. For other cities Seventymm is working on the supply chain and logistics management and may tie up with outside agencies.

The portal offers over 10,000 movie titles in Hindi, English and Kannada languages.

"We are aiming at revenues of Rs 2 billion over the next three years and 300,000 customers," Seventymm Founder Raghav Kher said during the launch, which saw special invitee Cinestar and Bangalore's brand ambassador Vasundhra Das being handed a honorary membership. "Since the next wave, that is Video-on-Demand, is still some way off, we see a big opportunity here," adds Kher.

Kher received venture funding of Rs 100 million from Draper Fisher Jurvetson (DFJ) as initial seed capital. Another Rs 500 million is in the pipeline, according to DFJ managing director Raj Atluru. Kher has already roped in NetFlix co-founder Eric Mayer and Microsoft director of MSN and Windows Live Gurprit Pall on his advisory panel.

Seventymm COO Subhankar Sarker has approached various banks for carrying their ads on on-line statements that are sent to their net savvy customers. Sarker is working with on a low-key-low cost campaign with a local agency named Creative and plans to increase marketing spend as the business grows. TVC's on the local cable channels are being considered and a nation wide TV campaign is on the cards once Seventymm goes national.

Sarker is looking at the on-line media as an avenue for popularising his portal, besides a rewards initiative to customer. "Bring six of your friends to join Seventymm and your Rs 199 subscription will be free as long as they continue paying," Says Sarker elaborating further on the offers.

Home entertainment is a Rs 250 billion industry in India having growth potential of 18 per cent per annum, with films taking up about Rs 70 billion of the total pie, and 36 billion movie tickets were sold last fiscal, almost double that sold in the US and 50 per cent of the movie tickets sold worldwide. India has a base of 20 million DVD/VCD players with an expected growth by another 7 million in 2006-07.