Attendence Falls But Prices Go Up

As our economy dwindles, movie theatres are raising prices and adding fees. While there are various reasons why overall movie attendance has noticeably fallen across the nation, the industry definitely has no one to blame but itself.

 

In 1947, with a population of nearly 150 million, American movie theaters sold 100 million tickets a week. In 2005, with a population of more than 270 million, 25 million tickets were sold a week. What gives?

 

A movie theater provides a type of sanctuary. It is a place where you can escape from the outside world and joyfully suspend reality. While commercials had long ago become an accepted staple of television, I naively never suspected that this poisonous crass commercialism would be permitted into the theater.

 

We get more minutes of advertisements before the movie starts than is allowed on network television. As a movie reviewer I see a lot of movies and recently I noticed that the numbers of ads before a movie begins is increasing rapidly. Not only that they are no longer just advertising future movies. They are now advertising cars, candy, Coca-cola, dancing paper bags, and many other things.

 

Shane Michael another journalist here at Local News Day and I decided to start timing the previews before a movie starts. The last eight movies we saw averaged 18 minutes of commercial time before the movie started. But I have to add that one was 22 minutes and another was a whopping 27 minutes.

 

And then there is the highway robbery known as concession prices as seen in the picture above illustrated by Jeff Swenson. With all due respect, if you want to define corporate greed, go see a movie at any of our two major theatre chains here in Portland. What those chains charge for refreshments is astonishing, and they should be ashamed of themselves!

 

Three dollars and fifty-cents ($3.50) for a small bottled water? Is anyone else insulted when you order a small Diet Coke and find that you are not only charged over five dollars ($5.25), but their definition of "small" was yesterdays "water cup?"

 

They are selling a small bag of popcorn for $6.25 now. A Medium is 6.75, a large is 7.25, and a Jumbo is $8.00. Has anyone noticed that the price of a matinee ticket is the same price as a large popcorn now?

 

Is it any wonder that many people, particularly with families, sneak refreshments into the theater? Why not pop your own popcorn at home, particularly when it is not only overpriced at the theater, but in most cases it is not even fresh? Why not sneak some soda in under your coat when the cost at the counter for you and a couple of kids is equivalent to one day's child care? Why do we let this continue? They are selling popcorn at a 2500% markup. And that is if I went to the store and popped it myself!

 

Like anyone else in America, they are entitled to make a profit. But there is a clear difference between reasonable overhead and pure greed. That is the reason I will not buy refreshments unless given absolutely no other alternative.

 

Unfortunately, movie chains seem to be involved in a zero sum game as it relates to discouraging potential theatergoers. What could be more absurd for any company than engaging in a pricing policy that eliminates a large potential market? And yet that is exactly what theater chains are doing.

 

A trip to the theatres for a family of four to get movie tickets, popcorn, a drink, and an item from the candy counter is now over $80.00. Absolutely ridiculous. Say they have young ones at home and they have to pay a baby sitter. Better ad another $25.00 to the cost. With very little money left over for the average middle class family as it is, they almost have to save for two or three months for one night at the movie theatres.

 

It's no wonder why almost everyone I talk to about movies says, "I'll just wait until it is $1.00 to rent at Red Box in a month or two to see the movie." Think about it for a second. The largest potential market for most Hollywood films is the sixteen (16) to thirty (30) year old demographic. And yet their pricing policies discourage that market from attending, rather than the other way around. What could be more financially absurd?

 

I am appalled by what is happening here in Portland but in New York theatres it's even worse! I recently visited New York and decided to go to the theatre there. The tickets were $17.50 each to get in. The small popcorn was $9.00 and if I wanted butter, better add $.50 cents. Absolutely crazy! When i talked to the manager about it she said that they had just started charging for the butter but did so only after their competition started charging the fee. So if it is started there it won't be long before the chains here start doing the same thng. Your popcorn will cost $10.00.

 

In this recession period, I have noticed the prices for a movie ticket have been going up $.25 ever three months or so as well. Good grief, most of these theatres sit largely empty now except for the big hit movies. Additionally, why don't all movie theaters offer students at least one-half price discounts by showing their Student ID? I think we all know many who would love to go to the theater but simply can't afford the full price.

 

Make it affordable and attendence will go back up, you'll make the same amount of money if not more, and consumers will be much happier.