You make a good point. It really depends on the situation, a family with kids may argue the opposite that food and movies go hand in hand.zod wrote: ↑ I would counter argue that the price of food doesn't impact my willingness to see a movie at all. I see the food and the movie as two completely separate things. I don't need to eat while I watch a movie. It's only two hours (maybe 3 for a long one). I eat before I go or after it's done. I'm not going to see more movies because they lowered the price of food. I already go see the movies I want.
To me the Movie Theater is akin to going to a Hockey Game or a Concert. The exclusive rights to selling cause the food to be expensive (like any other public event). It doesn't mean you have to buy it. I don't think Cineplex halfing the price of their food means they sell twice as much, so it could impact their bottom line (as their profit is all from food sales, they break even on the movies).
Cineplex Odeon Food Prices - Outrageous!
- Last Updated:
- May 4th, 2017 6:46 pm
Tags:
- SCORE+1
- carmaster
- Deal Expert
- Jun 30, 2006
- 21132 posts
- 9788 upvotes
- Toronto
- Talamasca
- Deal Guru
- Apr 26, 2004
- 13165 posts
- 3738 upvotes
- Mississauga
I don't buy concessions when I go to the movie theatre. I just don't feel a need to eat while watching a movie and popcorn is such a meh food for me. From what I see though, the lineups for food are always long, so obviously plenty of people are buying popcorn, drinks, and other snacks at these inflated prices. Cineplex (and all other movie chains) have analyzed price points to find that magic figure to maximize profit and still ensure enough sales. If that's too high for you, so be it. Bulk Barn is your friend.renoldman wrote: ↑ My point was that if they lowered prices, people would likely go more often and would buy food.
It is not that difficult to replicate a movie experience at home for a fraction of the price.
Cineplex is focused on the short-term hoping to extract the most out of the least amount of visits.
I understand that a company needs to have profits to exist. I am just saying that Cineplex seems to be willing to kill long-term customers for short-term gain.
Pop and Popcorn costs less than $2.00 to make at home, so charging me more than $12.00 and expecting me to be happy about it and pay every time is ridiculous.
Charging as much as they do makes me want to go out once every 2-3 months instead of once every 2 weeks.
So, instead of me paying Cineplex $40 for $8 of "food" they would rather me pay $12 for $2.
Again, as a company, I can see why Cineplex charges what they do, but if they lowered prices to some more reasonable point, I think more people would pay and they would go more often. I also think that people would buy more snacks if the price was more reasonable.
Let's use an example of an 250-seat auditorium, completely sold out for XYZ movie. From my observations, a lot of people tend to buy concessions so let's say 150 people have bought food at $20/person, or $3,000. If they dropped the price point to $12/person, you might get another 20 people to buy food, which is just $2,040. If they drastically dropped the food price to $7/person and all 250 people bought food, that's just $1,750.
- zod
- Deal Guru
- Mar 12, 2005
- 11677 posts
- 3489 upvotes
- Victoria
Well posted. I find that when people argue supply/demand, they assume dropping the price increases demand enough to make up the difference. That's not often true. As you said you might only get X amount of additional customers but you lose the additional money from the higher price on all customers. Like halfing the price they would need more than twice as many people to buy food. The marginal addition to the price doesn't require any more materials/staffing etc.... but the first half does. If you half your price and sell twice as much, you make less too (because you had to buy twice as much material, and staff more to pay for it).Talamasca wrote: ↑ I don't buy concessions when I go to the movie theatre. I just don't feel a need to eat while watching a movie and popcorn is such a meh food for me. From what I see though, the lineups for food are always long, so obviously plenty of people are buying popcorn, drinks, and other snacks at these inflated prices. Cineplex (and all other movie chains) have analyzed price points to find that magic figure to maximize profit and still ensure enough sales. If that's too high for you, so be it. Bulk Barn is your friend.
Let's use an example of an 250-seat auditorium, completely sold out for XYZ movie. From my observations, a lot of people tend to buy concessions so let's say 150 people have bought food at $20/person, or $3,000. If they dropped the price point to $12/person, you might get another 20 people to buy food, which is just $2,040. If they drastically dropped the food price to $7/person and all 250 people bought food, that's just $1,750.
I agree that Cineplex probably has figured out the balance that yields them the most profit. It doesn't necessarily mean the price point they have the most customers.
- JKKim2983
- Deal Addict
- Sep 19, 2015
- 2282 posts
- 874 upvotes
- Kleinburg, ON.
LoL you honestly think lowering concessions would drive more people to the movies?? LoL!!!!renoldman wrote: ↑ My point was that if they lowered prices, people would likely go more often and would buy food.
It is not that difficult to replicate a movie experience at home for a fraction of the price.
Cineplex is focused on the short-term hoping to extract the most out of the least amount of visits.
I understand that a company needs to have profits to exist. I am just saying that Cineplex seems to be willing to kill long-term customers for short-term gain.
Pop and Popcorn costs less than $2.00 to make at home, so charging me more than $12.00 and expecting me to be happy about it and pay every time is ridiculous.
Charging as much as they do makes me want to go out once every 2-3 months instead of once every 2 weeks.
So, instead of me paying Cineplex $40 for $8 of "food" they would rather me pay $12 for $2.
Again, as a company, I can see why Cineplex charges what they do, but if they lowered prices to some more reasonable point, I think more people would pay and they would go more often. I also think that people would buy more snacks if the price was more reasonable.
God forbid they go to the movies to actually see, you know, a movie!!
Oooo what will I do today, oh I know, food is so cheap at the theatres, think I'll go there today. Oh, what's this "movie" thing they got there?
They don't need to lower anything, they are making record profits (Cineplex) specifically year after year! You're completely 100% wrong with your logic.
Lower prices so more people will go while profits are soaring. Funniest thing I've read all year!
- Mr_Fanta
- Deal Fanatic
- Nov 20, 2010
- 6230 posts
- 4830 upvotes
My new year's resolution for 2017, I'm gonna try my best to not splurge for popcorn and drinks at the concessions anymore. It's just too damn expensive! The only time I plan to have popcorn/drink at the movies is when I use 1000 SCENE points to get the large combo.
This year, I've been trying to see more movies at a Cineplex with a Tim Hortons at the movie theatre. You are 100% allowed to bring the TH food into the auditoriums and it is so much cheaper. Since my biggest problem is staying awake for movies these days, I instead buy a coffee and a muffin (total was $2.96 last night) now and bring it into the show.
This year, I've been trying to see more movies at a Cineplex with a Tim Hortons at the movie theatre. You are 100% allowed to bring the TH food into the auditoriums and it is so much cheaper. Since my biggest problem is staying awake for movies these days, I instead buy a coffee and a muffin (total was $2.96 last night) now and bring it into the show.
- tk1000
- Deal Expert
- Dec 7, 2012
- 32228 posts
- 8694 upvotes
- GTHA
Cineplex Earnings Rise on Premium Ticket, Concessions Sales
http://www.hollywoodreporter.com/news/c ... les-999553
"customers spent more on expensive snacks as concessions revenue per-patron rose 5 percent to a record CAN$5.71 (US$4.16)."
http://www.hollywoodreporter.com/news/c ... les-999553
"customers spent more on expensive snacks as concessions revenue per-patron rose 5 percent to a record CAN$5.71 (US$4.16)."
- zod
- Deal Guru
- Mar 12, 2005
- 11677 posts
- 3489 upvotes
- Victoria
I'm still as cheap as ever. I don't buy food unless it's one of those free popcorn coupons that comes with the coupon books they give out with gift card purchases... lol.
- playnicee1
- Deal Expert
- Feb 9, 2012
- 21708 posts
- 9002 upvotes
- Toronto
Popcorn is a must for me at a movie theatre, but I'll most likely only buy the small bag unless there is a special promotion.
1000 scene points gets me a free large bag. 2000 points gets me a free bag and a free movie.
Collecting points at fast food places etc is helping.
If my movie was free (1000 ponits) I really don't mind splurging on (at least) a small popcorn.
If I go on a Tuesday, maybe I'll pay the movie ticket price and cash in on that 1000 points for a free popcorn...it'll be cheaper that way.
1000 scene points gets me a free large bag. 2000 points gets me a free bag and a free movie.
Collecting points at fast food places etc is helping.
If my movie was free (1000 ponits) I really don't mind splurging on (at least) a small popcorn.
If I go on a Tuesday, maybe I'll pay the movie ticket price and cash in on that 1000 points for a free popcorn...it'll be cheaper that way.
If it ain't broke, don't fix it!
- carmaster
- Deal Expert
- Jun 30, 2006
- 21132 posts
- 9788 upvotes
- Toronto
If the popcorn was actually good, I wouldn't mind spending the money on it. I rarely go to the theatres now.
Thread Information
There is currently 1 user viewing this thread. (0 members and 1 guest)