The price the average moviegoer spent for a ticket in the first three months of 2013 is down from last year’s average of $7.96 and Q4′s $8.05, according to the National Association of Theater Owners. Prices also were basically flat vs early 2012 when buyers spent an average of $7.92. Ticket outlays peaked at $8.12 in last year’s Q2.
The Q3 figure out today from the National Association of Theater Owners represents a 4.2% decline from Q2 (when it was $8.12), and is down 2% vs the same quarter last year ($7.94). The drop is consistent with what we’ve heard …
Here’s the announcement in a letter today from National Association of Theatre Owners chief John Fithian seeking contributions from the group’s members:
Dear Exhibition Colleagues,
The tragic events that occurred in Aurora, Colorado have been devastating to the victims, their familiesand loved ones, the community, the state and the nation.
As we watch the aftermath unfold and try to make sense of this terrible crime, you should be encouraged by the leadership and dedication of the community of Aurora as they comfort and assist their families and neighbors. The courage of the victims, their families and loved ones, the theater employees involved, the first responders and hospital staff members has steeled the resolve of the community and its leaders to recover from this tragedy and to emerge even stronger than before.
The former senator made the comment as he defended the trade group’s ratings efforts. They came under fire when the MPAA initially gave Bully, a Weinstein Co documentary about teenage bullying, an R due to characters’ use of profanity. The rating would have made the film off-limits for the very teens the movie was designed to help. (The producers ultimately cut a few of the words, and won a PG-13 rating.) Although Dodd says that the public should have a clearer sense of what goes into the decision making, he told reporters in a meeting that the people who make the judgments have “a thankless job” in a system that basically “works well.” National Association of Theatre Owners CEO John Fithian concurred. If the MPAA didn’t take on the assignment then it could result in government censorship or local ratings. That would result in havoc because “what people care about in LA is vastly different than what they care about in Omaha.” Although the ratings process results in lost ticket sales, “the alternative is far worse.”
The CEOs of the MPAA and the National Association of Theatre Owners used their opening addresses to the exhibition industry’s CinemaCon convention today to advocate a new spirit of cooperation between the embattled and often warring businesses. Last year’s convention “ended on a sour note,” NATO CEO John Fithian said, when word spread that three studios planned to launch a premium VOD experiment — they let DirecTV offer some movies two months after their theatrical release for $30 a viewing. That threatened to give audiences an incentive to stay at home, theater owners feared. But Fithian says that the experiment “was not a resounding success.” Now, he says, theaters and studios are “talking about how to grow the business together.” MPAA chief Chris Dodd also talked up the need to persuade audiences that “the movie-going experience remains something special, something to be savored and enjoyed, something so innovative and creative that it cannot be duplicated at home no matter how many boxes they have.” He also thanked theater owners for supporting a big issue on his agenda: legislation to combat movie piracy. The MPAA ended up with a black eye this year when it failed to persuade Congress to pass the controversial bills that would have empowered the government to block sites run by overseas pirates. “I urge you to continue to be a part of a thoughtful and rational solution to protecting intellectual property,” Dodd told theater owners. He added that he remains “committed to doing all I can to achieve a satisfactory resolution to the protection of intellectual property” and is trying to build bridges to the tech industry which opposed the bills.
Some of Washington’s most powerful lobby groups ramped up their fight today over the Stop Online Piracy Act, which was just introduced in the U.S. House of Representatives. The Independent Film & Television Alliance echoed points that MPAA chief Chris Dodd made in a speech today — that the bill empowering the government to block overseas websites that traffic in copyrighted content would protect jobs. It’s needed to stop “drastic damage to the legitimate marketplace … measured both in films that cannot be produced and in lost returns on investment in films that have been,” IFTA CEO Jean Prewitt said. National Association of Theatre Owners CEO John Fithian adds that the legislation “is an important step to protect the jobs of 160,000 movie theater employees and sustain one of the vital engines of the nation’s economic growth.” The plan also was supported by a collection of unions including the American Federation of Musicians, American Federation of Television and Radio Artists, Directors Guild of America, International Alliance of Theatrical Stage Employees, International Brotherhood of Teamsters, and Screen Actors Guild. If the bill doesn’t become law, they said in a joint statement, then “rogue sites will continue to siphon away wages and benefits from members of the creative community, greatly compromising our industry’s ability to foster creativity, provide opportunities, and ensure good jobs.”
But Consumer Electronics Association CEO Gary Shapiro warned that if Congress passes the bill — also known as the Protect IP Act — then “the notoriously litigious content industry could simply accuse a site that it is selling a product that could ‘enable or facilitate’ a copyright infringement, thereby allowing accusations to shut down sites vital to the Internet economy.” He says that “could lead to mass shutdowns of websites and Internet-enabled services.” The group plans to bring several Internet venture capitalists to Washington tomorrow to make that case.
Creative America, the coalition formed by labor unions, guilds, studios and networks that launched in July, said today that it has kicked off awareness campaign as well as a redesigned website. The group also said the AFL-CIO, the Association of Talent Agents, …
(Washington, D.C. and North Hollywood, Calif., October 14, 2011) – The National Association of Theatre Owners (NATO) announced today the election of new officers by the Executive Board of Directors at the association’s annual meeting, October 5-6, at the Park Hyatt hotel in Washington, D.C.
Elected to two-year terms were – S. David Passman, III, President and CEO, Carmike Cinemas, Inc., as Chairman; Nora Dashwood, Chief Brand Officer, Pacific Theatres/ArcLight Cinemas, as Vice-Chairperson; Byron Berkley, President, Foothills Entertainment Co., as Treasurer; and re-elected as Secretary, Mark O’Meara, President, University Mall Theatres.
UPDATE, 1:30 PM: A Sony spokesman has just responded to NATO’s letter from this morning, essentially saying there has never been an agreement about who bears what costs for in the 3D biz — but we can talk about it anyway.
NATO’s statement that it has been “understood” that distributors would always bear the cost of 3D glasses is incorrect, because there never has been any such agreement. In fact, we have been speaking with people in the industry for a long time about the need to move to a new model, so this certainly comes as a surprise to no one in the business.
We invite theater owners to engage in a collegial dialogue with us about this issue, including at ShowEast next month. By working together on a business-to-business basis, we are confident a reasonable solution can be reached that brings benefits to consumers, the entertainment industry and the environment.
PREVIOUS, 10:36 AM: The National Association of Theatre Owners has lashed back at Sony for the studio’s recent decision to stop providing 3D glasses to moviegoers. It’s not sitting well with the exhibitors’ group, which contends that there is an understanding that theaters would pay for the tech upgrades to their facilities and distributors would provide the glasses — NATO says any shift to that model is at least worth a phone call to discuss. Not to mention that if exhibition won’t absorb the cost, those who already have to cough up for premium-priced tickets to 3D movies will have to. Here’s the group’s statement; expect Sony to have a reply shortly.
Theater Owners Fight Premium VOD In Canada, As Chris Nolan, Quentin Tarantino And Others Join Outcry
In a keynote speech at industry confab ShowCanada, NATO President & CEO John Fithian today urged Canadian movie theater operators to be vigilant in their focus on theatrical release windows. Challenging a recently announced proposal from four Hollywood studios to release movies early to the home on “premium” VOD, Fithian explained the dangers of the model. “Early VOD releases to the home could damage the movie industry in two significant ways,” Fithian asserted. “Early releases will reduce movie ticket sales, and will exacerbate movie theft by giving pirates an early pristine copy of movies.” Fithian also reiterated NATO’s call for the participating studios to release sales data from their experiment. “How can the industry evaluate the studios’ test if they continue to hide the facts.”
Fithian’s remarks at ShowCanada marked an expanded, global phase in NATO’s work to preserve the theatrical release window. Beginning with Canada this week, moving to Europe later in the month and onto Australia in August, Fithian will hold dozens of meetings with leading international exhibitors on the topic. “We hope that this early VOD experiment begins and ends in the U.S.,” Fithian continued. “But if not, we want exhibitors everywhere to be prepared.”
The Senate Judiciary Committee has approved the Preventing Real Online Threats to Economic Creativity and Theft of Intellectual Property Act (PROTECT IP Act), sending the legislation to the floor for a full vote. The unanimous bipartisan action today drew swift praise from the Hollywood creative community, which has lobbied for the bill, which would target foreign-based websites that are pirating American content for profit and close loopholes that shield them from U.S. laws. The Independent Film & Television Alliance, the National Association of Theatre Owners and the MPAA released statements in support of the vote, as did a group comprised of the American Federation of Musicians, AFTRA, the DGA, IATSE, SAG and the International Brotherhood of Teamsters (IBT). ”The Judiciary Committee took an important step today to stop theft and save jobs,” said Michael O’Leary, the MPAA’s EVP Government Affairs. “By helping shut down rogue websites that profit from stolen films, television shows, and other counterfeit goods, this legislation will protect wages and benefits for the millions of middle class workers who bring America’s creativity to life.”
Washington, D.C. (April 14, 2011)—The National Association of Theatre Owners does not and could not encourage its members to engage in any boycotts of any movies distributed by any company. Recent press reports to the contrary are completely false.
In an article published on April 13 in The Guardian, it was suggested that NATO indicated that cinema operators were prepared not to screen movies, and specifically referenced the coming Harry Potter film. No one from The Guardian contacted NATO before the original article was published. At our request, The Guardian did later change the article to remove the erroneous reference to the Harry Potter film.
Then later on April 13, the blog “Business Insider” entitled “Harry Potter 8 Dropped From Theaters?” suggested that NATO “is threatening to drop some of this summer’s biggest blockbusters” and that “screens under NATO are threatening to boycott upcoming studio releases, starting with Warner Bros. sure to be box office-gargantuan Harry Potter and the Deathly Hallows – Part 2.” Again, these stories, and others that have followed, are completely false and no one from the organizations responsible for the stories contacted anyone at NATO.