The way Cineplex benefits is that due to being the monopoly, they benefit in two ways. One being that ticket prices exceed inflation by a wide margin (much like tuition). Secondly, even with lower attendance, because of the price increases to tickets and concessions they can keep earnings headed in the right direction (to a degree).Mike15 wrote: ↑Sep 12th, 2017 10:13 amThe movie side gets them customer volume for them to sell their money-makers to (beer/wine/cider at Cineplex now? I have to try this out). It's so hard finding an actual Canadian statistic, but attendance being down this summer (when CGX has 70% theatre market share) can't be good for selling pop & popcorn, compared to a quarter with a few good movies.
I think they suffered because of their association with the rest of this industry this summer. Time will tell if this is truly going the way of Blockbuster. If that's the case, it will require a few more quarters of hard data before I bail on my long position.