Sorry for interrupting, this website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Learn more
Accept & Close

Movie Theaters - US - July 2009

While the recession has been bad news for most sectors of discretionary spending, revenues from domestic box offices have seen a large boost in early 2009. For the first time in years, theater operators find themselves in the position to take advantage of a potential trend reversal. In this report, Mintel takes a look at how the recession is impacting attendance and the revenue generating potential of theater exhibitors.

Analysis and insights offered include:

  • How admissions and concession revenue are faring during the recession
  • Which alternatives to the cinema experience continue to grow
  • What strategies Hollywood studios are using to cut costs and minimize risks
  • How leading operators are innovating to reinvent the cinema for certain targets
  • Which demographics are increasing attendance over last year
  • Where and when do moviegoers most often buy their tickets
  • What factors are most important in theater selection
  • Which media are most effective in reaching key moviegoer demographics

What you get

What's included

Why buy from us?

Succeed

Our reports will provide you with market data, consumer research and competitive intelligence to succeed in your market.

Instant Access

Buy now and you'll have instant access to the information you need to make the right decisions.

Opportunities

Find out what's next in the markets that matter to you: where opportunities lie and what challenges you will face.

Trusted

A business Superbrand, Mintel is a source you can trust. We have been defining and refining the Market Intelligence mix since 1972.

Table of contents

  1. Scope and Themes

    • What you need to know
      • Definition
        • Data sources
          • Sales data
            • Consumer survey data
              • Abbreviations and terms
                • Abbreviations
                  • Terms
                  • Executive Summary

                    • Declining admissions trend reversed by recession
                      • Cinema experiences see competition from internet and home theater
                        • Hollywood studios continue to dominate and seek low-risk hits
                          • Recession boosts admissions but slows digitization
                            • Megaplex strategy continues to perform
                              • Studios get more creative as marketing budgets are cut
                                • Moviegoing remains a largely impromptu activity
                                  • Comfortable seats and convenient movie times are most important factors in theater selection
                                    • Popcorn and soda tradition remains intact for now
                                      • Traditional TV and radio ads still the best way to reach moviegoers
                                        • Minority moviegoers show higher frequency of attendance
                                        • Insights and Opportunities

                                          • Industry moving toward dual segmentation
                                            • Using the admissions boost to revive the tradition
                                              • Making moviegoers commit earlier
                                                • Use social networking sites to facilitate collective action
                                                • Inspire Insights

                                                  • Trend: Experience is all
                                                    • The full experience theater
                                                      • Trend: You are in control
                                                        • Letting the moviegoer choose
                                                        • Market Size and Forecast

                                                          • Movie theaters a growth story during recession
                                                            • Figure 1: Total domestic revenues of movie theater operators, at current prices, 2004-14
                                                            • Figure 2: Total domestic revenues of movie theater operators at inflation-adjusted prices*, 2004-14
                                                        • Competitive Context

                                                          • Box office recovers but growth lags behind video games and internet
                                                            • Figure 3: Hours of filmed entertainment consumption per person per year, 2003-07
                                                          • Adoption of more sophisticated televisions continues
                                                            • Figure 4: Types of televisions owned, 2007 and 2008
                                                          • Home video revenues decline despite home theater trend
                                                          • Segment Performance

                                                            • Ancillary revenues grow faster through 2008
                                                              • Figure 5: U.S. sales and forecast of movie theater operators, by revenue stream, 2004-14
                                                              • Figure 6: Movie theater sales, by revenue stream, 2006 and 2008
                                                          • Segment Performance—Admissions

                                                            • 2009 breaks trend as growth is driven by admissions
                                                              • Figure 7: Sales of movie tickets at box office, 2004-14
                                                            • Admissions boom in 2009 after weak 2008
                                                              • Figure 8: Movie theater admissions and average ticket prices, 2003-08
                                                          • Segment Performance—Concessions

                                                            • Concessions revenues stall as consumers pull back
                                                              • Figure 9: Sales of theater concessions, 2004-14
                                                            • Growth of concession revenue slows even for megaplex operators
                                                              • Figure 10: Average ticket and concession revenue per patron at regal cinemas, 2003-07
                                                          • Segment Performance—Cinema Advertising

                                                            • Cinema advertising slowed down by recession but still growing
                                                              • Figure 11: Sales of cinema advertising*, 2004-14
                                                          • Supply Structure

                                                            • Blockbusters key to market share but growth through niche still possible
                                                              • Figure 12: Box office share of major media conglomerates, 2007-08
                                                            • Comedy genre gains share during hard times
                                                              • Figure 13: Box office share, by genre, 2007-08
                                                            • Studios avert risk through franchises, remakes, and building on known brands
                                                            • Market Drivers

                                                              • Core demographics more likely to increase attendance during recession
                                                                • Recession slows revenue boost from 3D releases
                                                                  • Studios turn to franchise tentpoles to guarantee attendance
                                                                    • Figure 14: Movie sequels grossing over $100 million, 2004-08
                                                                • Leading Companies

                                                                  • Regal and AMC outpace overall box office in admissions growth
                                                                    • Figure 15: U.S. box office revenues, by theater exhibitor, 2006 and 2008
                                                                  • Megaplex strategy continues to perform for AMC
                                                                    • Figure 16: Selected statistics for major U.S. theater exhibitors, 2008
                                                                  • Leading chains move ahead with 3D and IMAX
                                                                    • Personalized gift cards and promotional tie-ins make gift cards more fun
                                                                      • Regal seeks to expand social networking presence
                                                                      • Innovation and Innovators

                                                                        • AMC targets adults with new upscale concepts
                                                                          • Motion-enhanced seating intensifies action experience
                                                                          • Advertising and Promotion

                                                                            • Major studios cut back on media buys
                                                                              • Figure 17: Media expenditures and total sales for major movie studios, 2006 and 2007
                                                                            • Studios get creative to do more with less
                                                                              • Network TV courts movie advertisers
                                                                                • Figure 18: Movie studio spending on network and cable TV advertising, 2004-08
                                                                            • Movie Attendance

                                                                              • Age and household income are greatest determinants of movie attendance
                                                                                • Figure 19: Movie attendance, by age, household income and presence of children, Oct 2007-Dec 2008
                                                                            • Change in Movie Theater Attendance

                                                                              • Higher box office receipts may comes from core demographics
                                                                                • Figure 20: Change in movie theater attendance, April 2009
                                                                              • Core segments of males and 18-24 year-olds are more likely to report higher attendance
                                                                                • Figure 21: Change in movie theater attendance, by gender, April 2009
                                                                                • Figure 22: Change in movie theater attendance, by age, April 2009
                                                                              • Financial conditions impact attendance of lower-earners and larger families
                                                                                • Figure 23: Change in movie theater attendance, by household income, April 2009
                                                                                • Figure 24: Change in movie theater attendance, by children in the household, April 2009
                                                                            • Method of Purchase

                                                                              • Tickets still predominately purchased right before the movie
                                                                                • Figure 25: Method of movie ticket purchase, April 2009
                                                                              • Moviegoers aged 18-24 most likely to buy tickets right before movie while 24-34s most likely to buy online
                                                                                • Figure 26: Method of movie ticket purchase, by age, April 2009
                                                                              • Males, higher earners, and families more likely to purchase online
                                                                                • Figure 27: Method of movie ticket purchase, by gender, April 2009
                                                                                • Figure 28: Method of movie ticket purchase, by household income, April 2009
                                                                                • Figure 29: Method of movie ticket purchase, by children in the household, April 2009
                                                                            • Factors in Theater Selection

                                                                              • Comfortable seating and convenient movie times are most important factors
                                                                                • Figure 30: Factors in theater selection, April 2009
                                                                              • Male respondents more likely to value megaplex qualities
                                                                                • Figure 31: Factors in theater selection, by gender, April 2009
                                                                              • Youngest respondents aged 18-24 more likely to value title selection and fun ambience
                                                                                • Figure 32: Factors in theater selection, by age, April 2009
                                                                              • Families want discounts but others want quiet
                                                                                • Figure 33: Factors in theater selection, by children in the household, April 2009
                                                                            • Concessions Purchased

                                                                              • Popcorn and drink combo still the most widely purchased concession
                                                                                • Figure 34: Concessions purchased at movie theater, April 2009
                                                                              • Popcorn tradition stronger among over-35s
                                                                                • Figure 35: Concessions purchased at movie theater, by age, April 2009
                                                                              • Kids drive concession purchases as well as alcoholic beverage sales
                                                                                • Figure 36: Concessions purchased at movie theater, by children in the household, April 2009
                                                                            • Sources of Information

                                                                              • Internet significant but traditional media has greatest reach by far
                                                                                • Figure 37: Sources of information on movies, April 2009
                                                                              • TV, internet, and billboards more noticed by key under-35 demographic
                                                                                • Figure 38: Sources of information on movies, by age, April 2009
                                                                            • In-Theater Advertising

                                                                              • Lobby and pre-show commercials more likely reach under-45s and blacks
                                                                                • Figure 39: Interest in in-theater advertising, by gender, age and race/Hispanic origin, October 2007-December 2008
                                                                            • Movie Theater Gift Cards

                                                                              • Movie gift card purchase driven by children and mothers
                                                                                • Figure 40: Movie theater gift card purchase, by gender, age, HH income, race/Hispanic origin and presence of children, April 2009
                                                                            • Impact of Race and Hispanic Origin

                                                                              • Hispanics of all ages attend movies more frequently
                                                                                • Figure 41: Movie attendance, frequency and average times, by race/Hispanic origin and age, Oct 2007-Dec 2008
                                                                              • Blacks and Hispanics under 45 more likely to have increased attendance
                                                                                • Figure 42: Change in movie theater attendance, by race/Hispanic origin among 18-44 year-olds, April 2009
                                                                              • Black and Hispanic respondents more likely to look for larger screens, fun ambience, and wider selection of concessions
                                                                                • Figure 43: Factors in theater selection, by race/Hispanic origin among 18-44 year-olds, April 2009
                                                                                • Figure 44: Concessions purchased, by race/Hispanic origin, April 2009
                                                                              • Black and Hispanic respondents more likely to pay attention to movie ads on radio, television, and outdoors
                                                                                • Figure 45: Sources of information on movies, by race/Hispanic origin, April 2009
                                                                            • Cluster Analysis

                                                                                • Infrequents
                                                                                  • Who they are
                                                                                    • Opportunities
                                                                                      • The Unperturbed
                                                                                        • Who they are
                                                                                          • Opportunities
                                                                                            • Avid-goers
                                                                                              • Who they are
                                                                                                • Opportunities
                                                                                                  • Cluster characteristics
                                                                                                    • Figure 46: Moviegoing clusters, April 2009
                                                                                                    • Figure 47: Movie attendance, by moviegoing clusters, April 2009
                                                                                                    • Figure 48: Change in movie theater attendance, by moviegoing clusters, April 2009
                                                                                                    • Figure 49: Factors in theater selection, by moviegoing clusters, April 2009
                                                                                                    • Figure 50: Method of movie ticket purchase, by moviegoing clusters, April 2009
                                                                                                    • Figure 51: Movie theater gift card purchase, by moviegoing clusters, April 2009
                                                                                                    • Figure 52: Concessions purchased, by moviegoing clusters, April 2009
                                                                                                    • Figure 53: Sources of information on movies, by moviegoing clusters, April 2009
                                                                                                  • Cluster demographics
                                                                                                    • Figure 54: Moviegoing clusters, by gender, April 2009
                                                                                                    • Figure 55: Moviegoing clusters, by age, April 2009
                                                                                                    • Figure 56: Moviegoing clusters, by HH income, April 2009
                                                                                                    • Figure 57: Moviegoing clusters, by race, April 2009
                                                                                                    • Figure 58: Movie-going clusters, by Hispanic origin, April 2009
                                                                                                  • Cluster methodology
                                                                                                  • Custom Consumer Groups

                                                                                                    • Change in attendance
                                                                                                      • Figure 59: Change in movie theater attendance, by gender and children in household, April 2009
                                                                                                      • Figure 60: Change in movie theater attendance, by gender and age, April 2009
                                                                                                    • Method of purchase
                                                                                                      • Figure 61: Method of movie ticket purchase, by age and gender, April 2009
                                                                                                    • Sources of information
                                                                                                        • Figure 62: Sources of information on movies, by age and gender, April 2009
                                                                                                    • Appendix: Other Useful Consumer Tables

                                                                                                      • Theater selection
                                                                                                        • Figure 63: Factors in theater selection, by household income, April 2009
                                                                                                      • Sources of information
                                                                                                        • Figure 64: Sources of information on movies, by gender, April 2009
                                                                                                        • Figure 65: Sources of information on movies, by children in the household, April 2009
                                                                                                      • Concessions purchased
                                                                                                        • Figure 66: Concessions purchased, by gender, April 2009
                                                                                                    • Appendix: Trade Associations

                                                                                                      Companies Covered

                                                                                                      • AMC Entertainment Inc.
                                                                                                      • Cinema Advertising Council
                                                                                                      • Entertainment Merchants Association
                                                                                                      • Facebook, Inc.
                                                                                                      • Greenfield Online
                                                                                                      • Hasbro Inc
                                                                                                      • Independent Film & Television Alliance
                                                                                                      • Mattel Inc.
                                                                                                      • Metro-Goldwyn-Mayer Inc.
                                                                                                      • Motion Picture Association of America
                                                                                                      • MySpace.com
                                                                                                      • National Association of Theater Owners (NATO)
                                                                                                      • National Broadcasting Company, Inc. (NBC)
                                                                                                      • Sony Pictures Entertainment
                                                                                                      • Starbucks Corporation
                                                                                                      • The National Cable and Telecommunications Association
                                                                                                      • Twitter, Inc.
                                                                                                      • U.S. Bureau of Labor Statistics
                                                                                                      • Viacom Inc.
                                                                                                      • Video Software Dealers Association
                                                                                                      • Yahoo! Inc
                                                                                                      • YouTube, Inc.

                                                                                                      Movie Theaters - US - July 2009

                                                                                                      £3,199.84 (Excl.Tax)