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This topic comprises 2 pages: 1 2
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Author
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Topic: More Advertising On The Way
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Mark J. Marshall
Film God

Posts: 3188
From: New Castle, DE, USA
Registered: Aug 2002
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posted 12-11-2005 01:05 AM
There are already ads in the bathrooms at the Regals around here. They're hanging right over the urinals.
So let me get this straight.... box office ticket sales are down, which means the number of customers is down, but advertising revenue is UP? How is that even possible? If fewer people are patronizing theaters, how does the price of advertising in those theaters go up?
It also strikes me as odd that theater companies are relieved that they can replace missing box office revenue with more advertising revenue. If we follow that through to conclusion, we'll have all ads all the time generating all the revenue, and no customers in the building, which of course is ridiculous, and doesn't work.
We do a lot of work to make the presentations and the customers' experiences the best they can be here. And I don't know about anyone else, but I'm getting a little tired of going the extra mile for an industry that is TRYING to collapse in on itself.
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Jack Ondracek
Film God

Posts: 2348
From: Port Orchard, WA, USA
Registered: Oct 2002
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posted 12-11-2005 01:03 PM
quote: But they _are_ paying to see commercials! ...Again, customers are paying to see a _show_ and it is the theatre owners' responsibility to put on a _show_.
Back when the fallout over Regal's digital ad installs was just hitting, a Regal Cinemedia rep was presented with this argument. His response was something along the lines of "The customer pays for the movie. That's his time. Everything before that is our time"
quote: Richard C. Wolfe If the industries business is down by 7% and mine is up by 7%, maybe those "few dorks" aren't giving up going to the movies, but rather are patronizing the theatres like mine that don't run screen ads.
We noticed that at our indoor. What's more interesting is that we're just starting to hear that from customers at our drive-in!
quote: Mark J. Marshall So let me get this straight.... box office ticket sales are down, which means the number of customers is down, but advertising revenue is UP? How is that even possible? If fewer people are patronizing theaters, how does the price of advertising in those theaters go up?
Matt could be right; that revenues could be up because of increases in advertising rates. It could also be a matter of how the industry manipulates the way they calculate the number of visual impressions an ad will get (which is the "benefit" that is sold to the advertiser).
The only way a theatre really knows they have a customer for "auditorium 3" is when they actually sell the ticket, which means that "the 2wenty", or "First Look" is useless as long as nobody's watching it but the cleanup crew (where one might actually exist). The theatres sure don't want to dwell much on the notion that a large percentage of their patrons might intentionally wait until just before showtime, specifically so they can avoid the ads... nor will they be likely to discuss that phenomenon in the media.
The theatres also have no idea when a customer actually enters the auditorium, even if he buys the ticket early enough to potentially be in there. So, while it might be as simple as the ads in an auditorium being credited to a viewer by virtue of the ticket sold.... my bet is there's a lot of voodoo involved in how the numbers are really guessed at, which may even vary between chains or even regions.
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