Originally posted by dave123
yes, but u must also take into account sales of popcorn, soft drinks, sweets, etc.... which is how they get lots of their money, THEY ARE ALL OVER-PRICED.they would still make $$$ from that, just not much
Actually, the popcorn, etc. is the way theaters make most of their profits. When you buy a ticket at a theater, it is not a simply split (say 50-50) between the theater and the movie maker (or producer, in this case WB).
There is usually some kind of sliding scale split based upon how long the movie has been out. In the beginning, this sliding scale favors the producers, in the end it leans more toward the theater.
For example:
1st week, the split might be 75-90% to the producer (WB), 10-25% to the theater.
2nd week, the split moves to something like 66% producer/33% theater.
3rd week 50-50,
4th week, etc.
Because so much of the movie proceeds in the first two weeks go to the producers the theaters really make money on the popcorn and stuff. This is also why you see companies really pushing for a big opening weekend. After 2 weeks, you get almost no promotion of the movie, which usually results in the theater being empty.
Becuase of this deal, the theaters need people to buy the overpriced food to make a profit.
When movie companies ask for an extended engagement, (Star Wars has done this each time) it is out of the ordinary. It is also frowned upon by the theaters because 3-4 weeks after a movie opens, the theater may only be 25% full. While they get money from each patron, if the theater is 100% full, because of an opening weekend, the theater will actually make more money on the popcorn and soda because they do not share these profits with the movie company. Hence, ergo, indubitably, quid pro quo, therefore and hereinforeverafter, theaters do not want to do these long deals which will lead to empty theaters for several weeks.