This is topic AMC Entertainment CEO Open to Allowing Texting in Some Theaters in forum Ground Level at Film-Tech Forum ARCHIVE.


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Posted by Jason McMillan (Member # 5542) on 04-14-2016, 08:44 AM:
 
So AMC is looking in to allowing either certain sections or certain auditoriums where Millennials can use their phone during the movie. What is wrong with Millennials that they can't put their phone away for 2 hours? I swear, if there ever were a major war, Millennials would try to win it with Twitter.

http://variety.com/2016/film/news/amc-texting-theaters-phones-1201752978/

Adam Aron has been head of AMC Entertainment for less than four months, but in that short time he’s already orchestrated one of the most significant deals in the country’s history. In February, AMC announced that it has an agreement to buy Carmike, propelling it from being the second-biggest exhibitor in the country to the world’s top movie theater chain.

Aron has a diverse resume, having been head of Starwood Hotels and Resorts, CEO and co-owner of the Philadelphia 76ers basketball team, chairman and CEO of Vail Resorts and president and CEO of Norwegian Cruise Line. But in an industry dominated by lifers, he is a newcomer to the exhibition space.

That’s giving him a willingness to experiment. He’s pushing to expand AMC’s food options, bolster its loyalty program and market more aggressively. Some moves may ruffle feathers. In a bid to attract younger, smartphone savvy consumers, Aron said he was open to making some theaters texting and mobile device-friendly.

That may make him unpopular. When Regal Entertainment CEO Amy Miles mused in 2012 that theaters should consider experimenting with relaxing cellphone bans, the blowback was intense.

Aron sat down with Variety during CinemaCon, the annual exhibition trade show unfolding this week in Las Vegas, to discuss the planned merger with Carmike, ticketing advances and Screening Room, the controversial start-up that wants to debut movies in the home the same day they hit theaters.

You’ve worked in a number of different industries, but you’re new to exhibition. What perspective do you bring?

Coming in fresh, it seems like there’s lots of opportunity to propel revenues or to give consumers better experiences. AMC has been a leader in that regard for a few years now, but I think we will pick up even more of a reputation for that going forward. Already, having been here a couple of months, I know we can step up our marketing activity in a big way. The food that we serve in our theaters can be much more exciting than the current stable of chicken tenders, hot dogs, pizza, in addition to the standard soda and popcorn and candy. A lot of change is possible in this industry for the betterment of our shareholders and our customers.

Marketing costs money. Why do you think it’s worth the expense?

Next year, assuming the Carmike acquisition is consummated, AMC is going to have in the neighborhood of $4 billion worth of revenue. It’s almost irresponsible for a company with $4 billion worth of revenue on the line not to aggressively market. That’s one of the things that can ensure that the $4 billion comes in, and that’s one of the things that can ensure that more than $4 billion comes in. We wouldn’t be spending for additional marketing if we didn’t think we’d be driving big revenue gains.

Are there particular demographics that you plan to target with your marketing?

We ought to be looking at three things. People who are already interested in movies and maybe in a big way, where if we up our game, we could get them to come to more movies. That’s one of the reasons to have a better loyalty program with bigger, broader participation, because loyalty programs work. We can convince people who think they are seeing the most movies they can possibly see to go to more movies.

The second is market share we can take from our competitors if we market AMC better than they market their theaters.

And third, there does seem to be a consensus that there are pockets of consumers who do not see as many movies as other segments of the population and that we can be doing more to attract those people. Millennials come to mind. We need to reshape our product in some concrete ways so that millennials go to movie theaters with the same degree of intensity as baby boomers went to movie theaters throughout their lives.

Would appealing to millennials involve allowing texting or cellphone use?

Yes. When you tell a 22-year-old to turn off the phone, don’t ruin the movie, they hear please cut off your left arm above the elbow. You can’t tell a 22-year-old to turn off their cellphone. That’s not how they live their life.

At the same time, though, we’re going to have to figure out a way to do it that doesn’t disturb today’s audiences. There’s a reason there are ads up there saying turn off your phone, because today’s moviegoer doesn’t want somebody sitting next to them texting or having their phone on.

Would you have a certain section for texting?

That’s one possibility. What may be more likely is we take specific auditoriums and make them more texting friendly.

There are reports that you have signed a letter of intent to partner with Screening Room. What is your position on the company?

I’m not commenting publicly on Screening Room. I know it’s a topic of hot debate amongst my brethren and sister-en, and I prefer to keep our counsel private right now. Until such time as Screening Room is real, we don’t have to spend a lot of time talking about it publicly.

How open are you to different distribution strategies that might modify the theatrical window?

For all the talk of the Paramount test a year ago [Editor’s note: AMC signed a deal that allowed the studio to debut two films on home entertainment early] and all the talk of Screening Room now, you may be surprised to hear that I think windows are very important. There’s a lot of evidence that shorter windows put theatrical exhibitors at risk. Studios themselves benefit from posting big global box office numbers, which comes from theatrical distribution.

So I start from a general premise that I’m a big fan of windows. Having said that, I’m also a big fan of experimenting and testing on everything that we do to see if there aren’t alternative ways of doing business. I generally look at our 385 theaters as laboratories where we can test lots of different concepts without being afraid that there’s going to be a cataclysmic, sky’s falling in, if we do. I believe in innovation and being imaginative and forward thinking. There are some bedrock principles though.

What are those bedrock principles?

I have two bedrock principles and only two bedrock principles. One is that it’s our burden as managers of the company that runs movie theaters to make sure that the moviegoing experience is as wonderful and spectacular as it possibly can be. The surest way to grow our business and protect it against erosion is to make sure that going to an AMC theater is a pleasing and memorable experience.

The second is the consumer is king. Giving the consumer more choices, more amenities and price points. If we put ourselves in the head of our customer and design our theatrical experience and marketing activity to make their lives better, we’ll have a successful company. Other than that we’ll be flexible and willing to experiment.

Where are you in terms of closing the Carmike acquisition?

There are really only two hurdles to go through. Carmike’s shareholders have to vote to approve the transaction. I expect that’s going to be some time in June. I don’t think they’ve set a date.

We need to get through the Justice Department approval, but we’re optimistic that we will get through both of these hurdles. The contract we have with Carmike requires that we get through this a year from the date of the merger transaction, so early in the first quarter of 2017. It would be nice if we could get it done before that.

What does the merger do for AMC?

By putting together the No. 2 and No. 4 players in the industry, we create a new No. 1 player. There’s extraordinary amounts of research that say that No. 1 players in industries are often the most successful players in their industries. If that turns out to be true, I’d rather be the No. 1 player than the No. 2 player.

Why did you recently sign a deal with ticketing app, Atom Tickets?

They’ve got a great social media platform where when you buy a ticket for a Wednesday night at 7:00 show, it sends a text message to all your friends asking if they want to go to the theater and sit next to you. They click a couple of buttons and your friend can buy a ticket at the same theater and showtime in a reserved seat. That’s a great concept and that’s one of the ways that we can make it easier for Millennials — who live on social media — to meet up with their friends in movie theaters.

Megan Fox delivered a pizza to your seat during Paramount’s CinemaCon presentation this week. What was that experience like?

They took the pizza away as quickly as they delivered it. It was warm, and I could smell it, but we didn’t get to eat it. I can’t tell you how it tasted, but in terms of who and how it was delivered, I can tell you that’s the best pizza delivery I’ve ever had.
 

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Posted by Mike Schulz (Member # 4297) on 04-14-2016, 10:24 AM:
 
In regards to the pro-texting policies that might get enacted, I have no problem with this if they are completely segregated and have a listed auditorium and showtime that I can avoid. However, if they try to have a texting 'area' of any given auditorium, the experiment will be a disaster. Even in a fairly large 400-seater, you can still see a phone screen light up from somebody sitting 10 rows away from you. Once is it legalized it will also encourage chatting, giggling, having phones not on silent modes, etc.
 

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Posted by Tony Bandiera Jr (Member # 2365) on 04-14-2016, 10:43 AM:
 
AMC/Carmike merged = Titanic
Adam Aron = Captain of Titanic
Allowing texting + playing around with exhib window = Iceburg

I think we all know how this is gonna end....
 

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Posted by Bobby Henderson (Member # 840) on 04-14-2016, 10:48 AM:
 
I won't set foot in a movie theater auditorium where texting or other phone activity is encouraged. AMC is in the process of monopolizing the movie-going market here in Lawton. If both first-run theaters here in town are made phone friendly I won't visit them at all. Then the only movie-watching I'll do is when I happen to be in the Oklahoma City or Dallas areas and have time to take in a movie.

Apparently the guy who runs AMC's parent company in China is a big wig in the Communist Party. They bought the Legendary Pictures production company recently. This is just another thing taking away the value of movies. Not only is Hollywood drunk on Sequel-itis, remakes, Save The Cat story templates, etc., but they're going to quietly get some institutionalized censorship in the mix as well. China is an oppressive country, but you're not going to see any more about that in any Hollywood movie.

I'm starting to think if America's movie industry goes bust it may be an industry that dies an un-mourned death.
 

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Posted by Martin McCaffery (Member # 37) on 04-14-2016, 11:25 AM:
 

quote: Jason McMillan

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Yes. When you tell a 22-year-old to turn off the phone, don’t ruin the movie, they hear please cut off your left arm above the elbow. You can’t tell a 22-year-old to turn off their cellphone. That’s not how they live their life.

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quote: derp

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There’s extraordinary amounts of research that say that No. 1 players in industries are often the most successful players in their industries.

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AMC LISTENS TO OUR AUDIENCE: YES TO THEATRE ENHANCEMENTS, NO TO TEXTING

To our AMC Guests,
At AMC, we are committed to innovation and to being imaginative in our efforts to deliver you the best. We strive every single day to make your movie going experience at AMC Theatres simply amazing. You love the magic of movies, and we love doing all we can to make them all the more magical for you.
During the past few days, you may have heard media reports about another idea AMC Theatres was considering, testing whether some movie goers might want texting allowed in a small selection of our theatres. Unlike the many AMC advancements that you have applauded, we have heard loud and clear that this is a concept our audience does not want. In this age of social media, we get feedback from you almost instantaneously and as such, we are constantly listening. Accordingly, just as instantaneously, this is an idea that we have relegated to the cutting room floor.
With your advice in hand, there will be NO TEXTING ALLOWED in any of the auditoriums at AMC Theatres. Not today, not tomorrow and not in the foreseeable future.
Instead, we'll focus on our other ideas to delight and entertain you. In the next few years, we intend to invest more than $1 billion to continuously enhance our theatres and systems. At AMC, you'll feel our commitment to providing you with the absolute best in sight and sound technology, a significant increase to the number of our large screens including the incomparable experiences created by IMAX and Dolby Cinema, much more comfortable seating including our hugely popular recliners, new sumptuous food and beverage offerings, a more engaging AMC Stubs program, as well as dramatically richer content in an enhanced web site and more functional smartphone app. These are all in our immediate future- and yours -- across the country at AMC.
We'll continue to be as creative as we can to elevate the AMC experience, doing so in partnership with you, our guests, and never in a way that will compromise your love of coming out to the movies.
So, as always, we invite you to join us in sharing the excitement of seeing stories told well. However, when the lights dim, we'll remember your advice that your fellow moviegoers should turn off their phones.
Adam Aron
CEO
AMC Theatres

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quote: Justin Hamaker

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Plus, trying to force people to put their phones away creates an adversarial relationship with our customers.

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quote: Justin Hamaker

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People under the age of about 25 have grown up or come of age in a world of technology. Having constant access to social media and texting is something that has always been part of their world. It shapes how they live and how they consume. There is something to be said about the idea of adapting to our customers, rather than forcing our customers to adapt to us. At least if we want to attract that segment of the population. Plus, trying to force people to put their phones away creates an adversarial relationship with our customers.

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First off, I'd like to say that I am very excited for Adam Aron to be taking the helm at AMC. I am a fan of the Starwood Hotel and Resort brand and the customer experience that his former company consistently delivers. Bringing that leadership focus to our industry will undoubtedly yield positive results and drive healthy, innovative competition.

That said, I disagree with his statements on texting in a movie theater. Innovation in this direction could seriously hurt our industry.

My first objection stems from cinema's relationship with directors and producers, the content creators. Auteurs focus for years to complete their films. We as exhibitors rely completely on these creators for our content and have an unwritten obligation to present their films in the best possible way: on a big screen with big sound and a bright picture in a silent, dark room. You can only be immersed in a story if you are focused on it. If while watching a film you are intermittently checking your email, posting on social media, chatting with friends, etc., there is no way you are fully engaged in the story on screen. I find that to be disrespectful to the creators, those who make the very existence of cinema possible.

My second objection stems from the generalization of millennial behavior.

"When you tell a 22-year-old to turn off the phone, don’t ruin the movie, they hear please cut off your left arm above the elbow. You can’t tell a 22-year-old to turn off their cellphone. That’s not how they live their life." - Adam Aron, quoted in Variety.

22-year-olds aren't alone; heavy cell phone use is far more widespread. Today, 68% of U.S. adults have a smartphone, a staggering increase from 35% just five years ago.

I spend a great deal of my life on my phone, too. I check news, social media and email obsessively. If there is the slightest of lulls in my day, a 20 second pause in an elevator, for example, I impulsively break out my phone and check something. I always carry an external battery because I can't make it through the day on the standard power. I am not alone. According to some reports, the average American checks their phone over 100 times a day.

This isn't just a millennial behavior, it is a global attention span epidemic.

Regardless of your age, turning off your phone and focusing on a good movie is much-needed therapy. This time of focus in a darkened room is core to the experience of cinema. Only with this focus can you lose yourself completely in the story and really fall into the magic spell of the movies.

Plenty has already been written about glowing screens and unchecked chatter driving people from the cinema experience, so I won't belabor that point further. And I'm fine with "second screen" experimentation with regards to alternative content, gaming, interactive screenings, etc.

But when it comes to our core business, creating a special environment for our customers to experience new stories for the first time, there is absolutely no place for the distraction of a lit phone screen.

At the Alamo Drafthouse we are actively engaged in trying to make sure cinema remains a compelling destination for young people, and I agree this should be a focus for the whole industry. I just don't believe that this line of experimentation is the right tactic. A firm policy against talking and texting in the cinema is about respect: for the filmmakers and fellow cinephiles of all ages.

Outside of this issue, however, I look forward to being challenged and inspired by what innovations and enhancements Adam Aron brings to the cinema experience.

- Alamo Drafthouse Founder/CEO, Tim League

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Posted by Alan Plester (Member # 852) on 04-16-2016, 07:17 AM:
 
Sanity rules, by the look of it, as just read on BBC website, AMC
has reversed decision after bad publicity, we wait.
 

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Posted by Martin McCaffery (Member # 37) on 04-16-2016, 10:45 AM:
 
Trial balloon goes "POP"
 

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Posted by Lyle Romer (Member # 1266) on 04-16-2016, 10:51 AM:
 
One thing that Mr. Aron mentions in the article which was refreshing to hear is the emphasis on marketing AMC. It has always perplexed me why exhibitors don't market their theatres and experience.

Almost all of the marketing in the industry is around the movies (or IMAX). Even when a theatre runs a promotion, the messaging is come see The Avengers 17 at our theater and dress up like Iron Man. It isn't come see it at our theatre because we have bigger screens, better sound and more comfortable seats. It is never come see it here because it will be better than watching it at home in a couple of months.
 

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Posted by Frank Angel (Member # 248) on 04-29-2016, 01:43 PM:
 
A few years ago I heard rumor that NATO and some restaurant trade org were petitioning the FCC to do what the EU has done, i.e., allow both passive and active blocking of cell signals in theatres and restaurants as long as it is within the confines of the establishment. There is absolutely no reason why mobile signals need to be available every place on the planet all the time. The FCC has always been resistant, and my take is that they simply have capitulated to the mobile phone industry which doesn't want any of their customers not not be able to rack up data charges 24/7.

As long as a theatre posts that cell phone reception is not available in this auditorium, there is no reason why cell signal blocking should be illegal. As long as the patron knows that in this space, sorry, no cell, that should cover all so-called emergency issues for those who might be assuming they need their cell service for things like communication with the baby sitter, or the hospital for a doctor, etc. Although the earth seemed to be able to spin nicely on its axis BEFORE there were such devices, it does seem that now it would be necessary to alert people to the fact that this room in an establishment gets no cell service. If a customer MUST use their cell, they know they will need to go to the lobby to make that life-and-death call.

We have a theatre in the basement of a building constructed in the 50s and in that room, there is NO cell reception -- period -- it is a natural cell dead area; I can attest that life does continues unabated down there.

Under today's FCC regs, I believe a theatre can use passive blocking -- a Faraday type blocking, but they still outlaw active transmission blocking like they what is available in Europe. I also hear that at one time some company was making a paint that attenuated cell signals to the point where they were too degraded to be useful.

I, on the other hand, just to see what would happen, brought my own blocking transmitter to an IMAX show. Dozens of these things are readily available for purchase on the internet -- as I said, they are used in Europe routinely. It's about the size of a modem; I wanted to see how well it would work. As far as I could tell, it shut down connectivity at least 5 rows in front and back of me and from one side of the room to the other. Could have been even more, but I figured those distances only because I could actually see people attempting to use their phones before the film started and then when they discovered there was no coverage, I watched them chewing off their arms in frustration. It was a delight to behold...more entertaining than the movie, actually!

I don't see any downside to having theatres able to block cell service -- cell service is not constitutionally guaranteed. Patrons don't have a right to smoke in our theatre; why do they (and the FCC) think they have an inalienable right to use their cell phones? I'm just sayin...
 

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Posted by Scott Norwood (Member # 30) on 04-29-2016, 01:55 PM:
 
My understanding is that the FCC objection to active cell phone blocking is largely related to concerns about its effect on legitimate, licensed broadcasts outside of the venue where the blocker is transmitting its signal. If you block cell phone signals in your facility, but your neighbor cannot watch TV or listen to the radio (or talk on his cell phone), that would be a problem. And cheap, Chinese electronics (like the cell jammers that are widely available online) tend not to be of the highest quality or built with much concern about radio and television interference.

The only real way to limit the effect of cell phone jammers would be to build a Faraday cage around the building or have a jammer that is weak enough to not cover the entire building, which puts us back to either passive blocking or ineffective attempts at jamming. And a weak or nonexistent cell phone signal does not really prevent people from pulling out their devices and lighting up the room while trying in vain to use them, unfortunately.

The only real fix seems to be customer education, coupled with a firm policy of kicking out offenders without refunds.

I would still like to see someone do a "cell phone check" desk (like a coat check) at movie theatres, but I am not optimistic about the results.
 

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Posted by Mike Blakesley (Member # 26) on 04-29-2016, 02:11 PM:
 

quote:

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I could actually see people attempting to use their phones before the film started and then when they discovered there was no coverage, I watched them chewing off their arms in frustration. It was a delight to behold...more entertaining than the movie, actually!

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quote: Frank Cox

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There is a problem with unauthorized cell phones in jails being used for everything up to coordinating drug buys and arranging hits on witnesses. Yet the powers that be don't use cell phone jammers in prisons either.

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