Banner
Welcome, Guest
Username: Password: Remember me
  • Page:
  • 1

TOPIC: Financial Data

Financial Data 05 Mar 2003 20:45 #23953

  • roetzelm
  • roetzelm's Avatar
  • OFFLINE
  • Fresh Boarder
  • Posts: 2
  • Karma: 0
I am an MBA student and I have been assigned a project to do a business plan on a movie theater.

I need help on How the rental of movies works between the studios and theaters and which theaters get films first. Also, how much does the theater pay the studio?

Can you also tell me the cost %'s for Labor, concessions, rent, etc.?

Also I need information on revenue and what percentage of total seats are sold on different days of the week on average.

Lastly, Is it better to have two big theaters or six small ones?

Thanks for your help.
The administrator has disabled public write access.

Re: Financial Data 05 Mar 2003 21:36 #23954

  • roetzelm
  • roetzelm's Avatar
  • OFFLINE
  • Fresh Boarder
  • Posts: 2
  • Karma: 0
I think I have the data on the cost of the film from reading the forums. Also the rent.

However, An additional question: If the theater is in a 500,000 population area (Large College Town), with 2 other nationally owned thaters (Very Ratty and poorly managed) as competition, what should the theater project as attendance per week with a 2 or 6 screen theater?
The administrator has disabled public write access.

Re: Financial Data 17 Mar 2003 11:03 #23955

  • Mike
  • Mike's Avatar
  • OFFLINE
  • Administrator
  • Posts: 5061
  • Thank you received: 45
  • Karma: 15
Hi Roetz/ I would suggest that you can find most of this research by working the forums.

It is in my opinion better to have 2 big (with more screens) that 6 small but : where are the six or 2? Who is your competition? Etc. etc.

In general it is always best to have more screens no matter how big-small-or whatever!

Michael Hurley
Impresario
Michael Hurley
Impresario
The administrator has disabled public write access.

Re: Financial Data 17 Mar 2003 14:54 #23956

  • revrobor
  • revrobor's Avatar
  • OFFLINE
  • Platinum Boarder
  • Posts: 1135
  • Thank you received: 23
  • Karma: -7
I believe even a single screen can be profitable in your situation, but it is the product you play not the number of screens that will make it successful.

You need to book films the other theatres are not playing rather than attempting to compete with them head-to-head.

In a college town you should run foreign and classic films and devote a lot of time to promoting them in both the college community and among senior citizen groups.

Major chain multiplexes rely on the distributor to promote films and then fight each other for that product being forced, at the same time, to pay higher rental prices thus minimizing their profit.

You need to acertain the demographics for your community (how many college students and seniors, etc. are in the area). The census bureau or perhaps the college (a center for population study) could help.

The multiplexes in you area will be of no help because, generally, they don't know the community, have no control over what films are booked and could care less about what the demographics are in the area because they are run by an out-of-state corporate office.

The revenue will depend on the number of people who attend a particular type of film in your theatre. For classic films you may get up to half the seniors in the area to attend on any regular basis. You will probable get a quarter of the college students (especially any film students). For foreign films more college students will come and fewer seniors. While the majority of the rest of the population will be in the multiplexes, with good promotion and good booking you will develop a loyal clientel among the general population (because many have tired of the vulgar and violent product Hollywood is pumping out), pehaps 10% of the regular movie goers.

Good luck with your project.

Bob Allen
The Old Showman
Bob Allen
The Old Showman
The administrator has disabled public write access.

Re: Financial Data 19 Jun 2003 05:12 #23957

Hi. I'm also an MBA candidate. I'm working on a similar project, but not necessarilly for class. Luckilly, I have been able to use this project in conjunction with several classes so for (Managerial Accounting, Marketing, Entrepreneurship, etc.), but that is just a bonus. I actually began business school so I could pull this business off. I'm curious if you are planning this as a legitimate venture as opposed to just an academic project.
I go to St. Ambrose University in Davenport, IA. Where do you go to school?
The administrator has disabled public write access.

Re: Financial Data 19 Jun 2003 10:51 #23958

  • Mike
  • Mike's Avatar
  • OFFLINE
  • Administrator
  • Posts: 5061
  • Thank you received: 45
  • Karma: 15
Hi Patrick/ I'd send him an e mail direct/ best/ Mike

Michael Hurley
Impresario
Michael Hurley
Impresario
The administrator has disabled public write access.
  • Page:
  • 1
Time to create page: 0.194 seconds
attraction attraction
attraction
attraction
attraction
attraction