This. I worked for AMC Theaters for 4 years as a developer. One of the wonderful things about that company is that every employee has to go thru a week long training program in the theater business, to include working at a theater.
One of the things I'll never forget is the trainer telling us one day, "We're not in the movie exhibition industry. We're in the snack concession industry. We just use movies to get the patrons in the door."
The reason is that, in the movie industry, the Hollywood studios have almost all the power. When the original Batman came out and lines were around the block, the company actually lost money on ticket sales (after theater costs). That's because Batman cost the theaters 90% of the gross ticket sales.
If the theaters were really making big profits the companies would have margins -- and stock prices -- akin to Apple's. They don't. Check the stock listings: they have a marginal business.
One of the things I'll never forget is the trainer telling us one day, "We're not in the movie exhibition industry. We're in the snack concession industry. We just use movies to get the patrons in the door."
The reason is that, in the movie industry, the Hollywood studios have almost all the power. When the original Batman came out and lines were around the block, the company actually lost money on ticket sales (after theater costs). That's because Batman cost the theaters 90% of the gross ticket sales.
If the theaters were really making big profits the companies would have margins -- and stock prices -- akin to Apple's. They don't. Check the stock listings: they have a marginal business.