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TOPIC: 2nd Run Movie Pricing and Projection

2nd Run Movie Pricing and Projection 05 May 2013 19:44 #39947

  • jmatts
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Hello everyone,

I'm doing some research for a possible 2nd run movie theatre opening in my neighbourhood. I'm hoping someone who knows about booking rates and movie leases can help me with a little cost analysis. If I were to give the names of some films and the lengths I would run them could someone give me some estimates?

I also have some questions with regard to digital projection.

Jay

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2nd Run Movie Pricing and Projection 05 May 2013 23:27 #39948

  • revrobor
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Since the film company distributors tell you what you will pay and how long you will run a film you need to hire a booker. Mike, the owner of this website does booking as do a couple of the other guys who post here as well as Frank Rash @ 402-223-5119. Not all films are available when you want them. Digital will cost you a minimum of $50,000. For more info on that contact American Cinema Equipment in Portland, Oregon or Brad Miller over at Film-Tech .com.
Bob Allen
The Old Showman
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2nd Run Movie Pricing and Projection 06 May 2013 11:18 #39954

  • rufusjack
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Oh Bob it is not quite that bad.

A coupe of studios (Disney & Warner) will have national subrun/discount periods to run a movie. These will typically be a pretty good wait. These are generally the titles you want.

Others are more aggressive in getting their movies on screen as soon as it is done playing first-run in a market. Universal is known to be like this as well as the smaller studios. The quicker a movie hits sub-run may not be a good thing though.

Most of the time the hits will be what you want.

40% movie rental (with a $250 min. over the entire run) are pretty good assumptions to go with. Studios seldom if ever tell you how long to keep a movie if you are discount theater. If you only want it a week, you can do that. Theaters that are successful with only 1-week runs of movies are generally way out in the sticks with a long way to another theater (an hour or so drive)

There are many discount theaters that play movies all the way till and past their dvd release date.

How big is your market? What other theaters are in your market? How many screens do you have?
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2nd Run Movie Pricing and Projection 06 May 2013 15:05 #39956

  • jmatts
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Hi Rufus, Bob,

Thanks for the info. Good news and bad news are both useful in their own right.

To answer your question Rufus, here are some details around the market and what I'm thinking with regard to the theatre:

Single screen, less than 100 seats. Sounds crazy sure but bear with me.
The city has two 5 screen multiplexs downtown and one 12 screen out of town. However the neighbourhood I'm considering is located in a very trendy and popular area in town where people would rather walk 10 minutes then drive 15 and would readily support and small venue if it became a popular evening activity.

Now here's the trick. There is one other small theatre in town, located on a university campus outside of the city proper. I'm looking at their setup as a potential model for my own (with a few changes to concessions). Ill give you the website so you can check it out. It's cinecenta.com. I'm especially curious as to how they balance the economics of running their movies for short periods.

Also, and again this question comes from complete ignorance of the subject material, is there a scenario where by a theatre operator can use digital production methods and source the movie from a blue ray as opposed to a film reel and still work out a payment plan with the studios?

Thanks in advance.
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2nd Run Movie Pricing and Projection 06 May 2013 18:55 #39957

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If you have the equipment that will project a good blue-ray (or DVD) picture then you (or your booker) contact the distributor for permission to run it and the rental rate. With a small house you may be able to use less expensive digital equipment.
Bob Allen
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2nd Run Movie Pricing and Projection 16 May 2013 00:13 #39989

  • Jordan
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Hi Bob,

Interesting idea to rent the DVD or Blue-ray directly from the distributor. I am also doing a small theater (2 screens @100 seats or less in each theater). I wanted to offer 3rd run movies (meaning once they've come out on DVD) on both of my screens.

Bob 2 questions:

1) Maybe a dumb question, but how do I find out who the film distributor is? I'd assume I could find this info on the DVD or Blue-ray case?

2) Do you have an idea of the price range between different DVD rentals from these distributors? I'm assuming that each distributor will have different prices and terms of the rental.

Thanks Bob,

Jordan
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