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TOPIC: New - lots of questions here...

New - lots of questions here... 20 Sep 2004 08:38 #9021

  • bschooley
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I'm looking at starting an old-fashioned style movie theatre in a small Texas town. One screen, seating for approximately 400 in the room. Heavy concessions - high end beer, appetizers, wine, etc.

here are my questions, and if you could help me with some or all of them I'd really appreciate it:

-how much approx. is the a/v requirements to create the theatre? Keep in mind the screen is going to be substantially smaller than a normal megaplex screen?

-what is the approx. percentage of folks that purchase concessions? How much do they spend?

-how does the breakdown of ticket sales work? Do the distributors simply take a percentage? Is this negotiable?

Well, obviously I'm brand new and don't know much, but I'd appreciate your help - THANKS A BUNCH.
Ben
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Re: New - lots of questions here... 20 Sep 2004 08:46 #9022

  • Mudbrother
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Hi bschooley, and welcome to the forums!
I think you will be able to find the answers to your questions here, but I'll recommend for you to read through the archives. You can find a great many of the answers to your questions in past posts to this forum. I'd say after reading through them, you'll answer your questions but have about 50 more, which we'll be happy to talk with you about.

Good luck and happy reading!
Rance
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Re: New - lots of questions here... 20 Sep 2004 17:41 #9023

  • Large
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-how much approx. is the a/v requirements to create the theatre? Keep in mind the screen is going to be substantially smaller than a normal megaplex screen?

$30,000 - $60,000 per screen buys you Platter, Projector/Soundhead, Dolby Processor, 7-Amplifiers, a dozen or so speakers, a screen, masking, automation, dimmers, Make-up table.

35mm film is still the industry standard. Video hasn't taken off yet.

-what is the approx. percentage of folks that purchase concessions? How much do they spend?

30% buy concessions. A cinema pub will be different. $2 is a good per-cap for a standard concession stand. $12 is a good per-cap for a cinema pub.

-how does the breakdown of ticket sales work? Do the distributors simply take a percentage? Is this negotiable?

70/30 vs. 90% first week with a sliding scale down to 35% vs. 90% in the later weeks. Subrun almost always runs at 35% vs. 90%. You pay 90% less your theatre nut if you get close to a sell-out. Commercial first run theatres pay about 55% aggregate of the box office revenue to the film companies over the course of the year.

Well, obviously I'm brand new and don't know much, but I'd appreciate your help - THANKS A BUNCH.

400 seats is not a small theatre.

A single screen theatre is a very hard economic model to make work.

The standard industry model is that you need 10,000 people per screen to make a theatre work. Some, especially on this forum, have made lesser populations work, but it's not the norm. There is a reason some small towns don't have movie theatres.

Per capita movie consumption for cinemas in the United States is 2 movies per year.


[This message has been edited by Large (edited September 20, 2004).]
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