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Are snacks and drinks overpriced at the cinema?


Nagel

What do you think of cinema snack and drink prices?  

118 members have voted

  1. 1. What do you think of cinema snack and drink prices?

    • I think they are underpriced and good value.
      1
    • I think they are overpriced.
      85
    • I think they are fairly priced.
      5
    • I take my own snacks and drinks.
      27


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Considering how soon movies end up on DVD I'd much rather wait a month or two and get it from Lovefilm.

 

Considering how soon movies are available on the internet, you only have to wait a week before you can watch 'em in your own home (not that I am in any way advocating any form of copyright infringement - I like © law;)).

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The reason the sundries are so expensive is because they are what the cinema makes money from. Approximately 80-85% of the ticket is returned either to the films distributor and/or is VAT.

 

Leaving about £1.50 for the Cinema. Meaning that the cinemas rely on selling snacks and drinks to make any money. I can't give you the exact breakdown but Beakerzoid is/was the Cineworld manager so he can no doubt give the exact breakdown (I would imagine it also differs from distributor to distributor) but the figures I give wont be to far off.

 

It does differ from distributors to distributor, or from film to film, but in general the majority of the ticket price goes to the film-makers. What little the cinema gets barely covers the cost of running the projectors. Therefore, as rightly pointed out by a few others, the snacks are priced how they are to pay staff, maintain equipment, and obtain profit. It has always been the same in cinemas and I recall my mother telling me that it was too expensive to buy snacks back when she used to take me to the ABC in St Helens.

 

Even on the Unlimited tickets we have to pay distributors, and in some cases we can pay out more than the price of a card. I was about to type out an example, but recalled doing one a while back on another thread http://www.sheffieldforum.co.uk/showpost.php?p=5859161&postcount=72

 

 

 

Regarding taking your own food in - general policy is that is ain't allowed. However, we have been know to turn a blind eye...so long as you are not taking the mick! If someone turns up with Burger King/KFC or pizza, they will be asked to eat it before the go in. If, however, you have a few cans of pop and snacks that you picked up from the garage, then we are not as strict.

 

Last time I mentioned this on a thread here someone tried to tell me I couldn't stop them taking anything they wanted in as it was their "human right" to eat what they wanted. Sadly it is still private property, and if we chose to we could stop people being admitted with external snacks (think it was discussed on a thread when the Stockport cinema was in the papers for turning a family away...slow news day).

 

 

Anyway, for those who say it is expensive to go the pics...get an Unlimited Card (shameless plug). Alternately get a job there and watch stuff for free :)

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They are overpriced but I don't mind paying as I love the whole Cinema experience. I support them because it would be a shame to loose them.

 

I know... then I'd have to get another job to annoy people in :)

 

So support your local Cineworld, or you may find me working alongside you, muttering things in Klingon!

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I find it quite ironic that the distributors/film makers take so much, afterall if there are no cinemas in which to show their films they wouldn't make any money.

 

it's not 1938 any more. Cinemas aren't the only places where people can watch movies.

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Don't think the argument of they can't survive without selling popcorn argument is correct, just one that certain cinemas tell you.

 

Take VUE early tickets today are £5.30

Cineworld are £7.60 all day.

 

So assuming VUE are making £0 on the early tickets (probably not true) Cineworld are making £2.30 a ticket.

 

On Saturday I was in a full screen say 150 people (and many other bigger screens were near capacity looking at amount of people). So my one film made Cineworld £345. £115 a hour for just my film. Even on half capacity based on just my screen (a small one) multiplied by 20 screens that is £1150 a hour, even before popcorn.

 

Places like VUE may only survive on Popcorn at these low rates, but places like Cineworld at £7.60 a ticket do not. But price dictate demand, if there is demand they can raise prices.

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Don't think the argument of they can't survive without selling popcorn argument is correct, just one that certain cinemas tell you.

 

Take VUE early tickets today are £5.30

Cineworld are £7.60 all day.

 

So assuming VUE are making £0 on the early tickets (probably not true) Cineworld are making £2.30 a ticket.

 

On Saturday I was in a full screen say 150 people (and many other bigger screens were near capacity looking at amount of people). So my one film made Cineworld £345. £115 a hour for just my film. Even on half capacity based on just my screen (a small one) multiplied by 20 screens that is £1150 a hour, even before popcorn.

 

Places like VUE may only survive on Popcorn at these low rates, but places like Cineworld at £7.60 a ticket do not. But price dictate demand, if there is demand they can raise prices.

 

 

That's all well and good, but Cineworld do early bird prices until 1pm too...and (as mentioned) the share taken is a percentage, not set value. So if the ticket costs more, the cinema pays out an equivalent share more (and the difference between the 2 examples will be almost 50p share of the ticket, not £2.30 - and that is disregarding the fact that Cineworld Early Bird is £5.10 for all tickets)

 

That is just based on the basic breakdown - distributors can negotiate better (or worse) terms for screen rental from cinema to cinema based on screen size, % of admissions (if it fills, the cinema gets a better deal, if not the cinema pays out more) etc.

 

Having looked at the P&L figures for a good few years now, I can say with honesty that cinemas need the profit made on snacks in order to thrive and grow. A small percentage on each ticket will not cover the costs of running.

 

Anyway, why should I try to convince when the shareholders report will match up http://www.cineworldplc.com/ir/cine/download/pdf/ar2009.pdf (the one for 2010 is due soon)

 

In that you will see that EBITDA (operating profit before depreciation etc) is 55.7 mil, and yet retail (ie. snacks) takings is 84.4 mil - you would think with them allegedly making so much on box office that all of the retail would become profit wouldn't youYet profit is less than retail takings! Almost as if the box office takings didn't cover much....

 

BTW: That is company wide.

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