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Michigan Man, Sues Movie Theater Over Expensive Snacks

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I don't see how they can be seen to be gouging on a totally optional item.

"Optional" doesn't negate the illegality of monopolistic behavior.

1. They are selling a product that is independent of food or drink.
2. They do not allow outside food or drink.
3. They allow their own food and drink, meaning there's no actual incompatibility with "food and drink."

Now, given that they massively overcharge for their food and drink, and all other theaters also massively overcharge, there is obviously a lack of competition on that front.
 
This is echoes the piracy stuff. Why do things cost so much? Because people bring their own from home? Why do they do that? Because prices are so high. Why don't they lower prices? Because people bring their own from home.

I think suing them is stupid, although concessions (not just at movie theaters) has gotten pretty fucked up. I know some people argue that its just free market, but that's definitely not true as most venues specifically lock out any competition and don't allow you to bring any of your own with you. Now that's fine for totally privately funded places, but take sports stadiums or concerts in venues paid for by public money? Its not cut and dry.



What if you're already paying a $25 ticket? :colbert:

No.

prices are high because theaters get about $0.10 profit on each ticket sold.

Concessions are their only other source of revenue. Though, now advertising before the show has become popular for theaters, so at least that's a newer source.
 
good luck with that, it's the only profit that the theaters see.

better just to not go the theater if one is that offended.

As less and less people go, maybe the movie industry will start to adjust their percentages, I doubt the theaters will drop the prices though.
 
There are two reasons I won't go to the theater.

People who yell "Oh no he didn't" or "He's gonna die!" at the screen and kids. Also the price of food.

There are three reasons why I won't go to the theater.
 
oh geeze, i hate it when people are stuffing their faces during a movie and all you hear is them chewing like cows. I just want to know if it's going to be edward or the werewolf guy. we need a fat tax or something in this country.
 
We all know its Obama`s fault!!
If it`s not Obama`s fault the Israeli`s are at fault!!

High prices at the concession stand are clearly a product of Obama's secret pact with the Liberal Jewish media. This is just a repeat of what Obama did with the moon landing and all those Hitler clones. :whiste:
 
Good for him. Fucking theaters are just too god damned ridiculous on their pricing. And for those that say bring your own snacks, a lot of people do ( I did when I used to go to theaters) but considering that you have to sneak the stuff in, it's not a viable solution sometimes. Winters are ok cause I have a bulky jacket but summer times, it's more difficult.
Knapsack.
 
did you even read the article?

"Typically, movie theaters make around a quarter of their entire operating revenue from concession sales"

Revenue sure. Not net income.

3/4 of their revenue comes from movie ticket sales where they pay 90% of the revenue to the movie producer. At a 10% margin, they get 7.5% of revenue as margin.

1/4 of their revenue comes from concessions, which likely have a 90% margin. .9*.25 = 22.5% of revenue as margin.

So they're on a 30% margin business (reasonable) with fixed costs to pay out of that before they get to net income.

So 22.5/30 = 75% of their total margin comes from concessions.

Ball park.
 
No.

prices are high because theaters get about $0.10 profit on each ticket sold.

Concessions are their only other source of revenue. Though, now advertising before the show has become popular for theaters, so at least that's a newer source.

This is bullshit, and both them and studios have been saying how its the other side getting the better box office deal forever. There's no way they're making $0.10 off of a $10+ ticket, especially past opening weekend. One of my parents used to manage a theater and ticket receipts was never a problem such that it forced them to jack up concession prices like they are at too many theaters now.

There have been ads at theaters for a pretty damn long time, especially if you go to a corporate run theater.

Concessions are important to theaters, and they do bring in a substantial amount of the operating profit. However, they are just killing themselves by pricing them unreasonably as they're completely losing out on sales this way. I know people who have stopped going to the theater because of concession prices. The few times I go to the theater any more I don't bother with concessions because of prices and so I make plans to go eat at a restaurant beforehand. If they were more reasonable I'd skip going to eat first and get something at the theater.
 
What is really hurting them is the cost of a good sound system, 55 inch tv, my comfortable couch, and being able to pause the movie.
 
What is really hurting them is the cost of a good sound system, 55 inch tv, my comfortable couch, and being able to pause the movie.

Not really. The appeal of the films on offer are far and away the largest factor.

15-20 years ago there used to be a thriving second run industry. Home video (in all its incarnations) has effectively captured that market but first run does fine...as long as there is stuff people want to see.
 
He should just do what I do and sneak in a plastic flask filled with rum or whiskey. Then buy a giant coke for 5 or 6 bucks and have rum/whiskey cokes during the whole movie. It's cheaper than going to a bar even!

Oh, and I don't know if you'll win a lawsuit on something you voluntarily did and paid for.

You can't agree to buy a car for $X and then sue them for charging to much.
 
Besides, who the hell can't go 2 hours without have to eat and drink junk food? If you don't like the high prices and don't want to "sneak" your own food in, then just don't eat for those 2 hours you fat sacks of crap.
 
not at AMC, at least here... they allow you to bring in outside food.

National Amusements most certainly did/does not, however, I had no idea AMC actually permits that.
When I worked at a NA theater as an usher, I absolutely despised the policy of forcing people to "shed" their outside food and drinks (whether they gobbled it up right there or threw it away, nobody enjoys that, though the policy of no outside consumables was clearly stated so that was the risk they/we took). Even when I worked there and went to free movies (that was a nice bonus, plus free tickets for friends/family, that and the early screening for employees too), I still, on occasion, brought in my own stuff. Concessions are expensive as fuck!

But yeah, a lot of us [employees] were absolutely annoyed by the one or two policy sticklers that we worked with. If I "missed" something, if this one guy was around, he'd stop them and then scold me. lol
Of course, thanks to cameras and shit, if something was super obvious, I had to be the dick that made people get rid of something - just to cover my own ass. But usually, especially when busy ("was swamped, sorry I missed it"), I just let them go. Sometimes I gave them a little smile immediately after noticing something and some of them recognized that I was letting them go. Shit, I was only part-time making only a buck or two more than minimum wage, I couldn't force myself to be that much of a dick/care that much, for so little. You get what you pay for. 😛

I have no idea about Rave Motion Pictures (company that bought the local NA theaters a few years back) and what their policy is towards outside food and drinks. Hmm.
 
MMmmmmmmm.....plasti-butter.

Whatever it is, I like it.

I'm not a huge fan of popcorn (especially theater popcorn), but that shit is crack, it has to be. Theater popcorn is so easy to devour thanks to the addition of butter-flavored liquid crack. :awe:
 
There are two reasons I won't go to the theater.

People who yell "Oh no he didn't" or "He's gonna die!" at the screen and kids. Also the price of food.

There are three reasons why I won't go to the theater.

On top of these, I also don't typically go to the theater because they make a big stink about masturbating during nude scenes. They bother me so much about it I can barely enjoy my popcorn :|
 
Knapsack.

In the summer, I tend to just choose my bulkiest cargo khaki shorts, the ones with the most room. Though if I really pack a few things in the pockets, it's still decently obvious and really requires an inattentive or non-caring theater employee to let me by.

But usually, I'll just either accept the convenience of getting something there (especially if running late), or stick to trying to sneak in something to drink and that's it. I can't go two hours without sipping on something - I sip on water all day.
Those high-alcohol malt beverage energy drinks are something I've enjoyed sneaking in from time to time as well. 😀
 
I love the theatre experience, but I don't go to near as many movies as I did in the past because

1) The number of good movies has stayed the same, while the number of complete garbage movies has increased exponentially. No, I don't want to see "Tyler Perry's Give Me More of Your Money" or "Scary Movie 27."
2) Price of admission. If I go at a normal time, it's $12 per person for the ticket. So it's $24 for my wife and myself for tickets. 3D is an extra $3 per ticket.
3) Price of food. I don't want a gallon of Mountain Dew for $5, and I'm not upgrading it to 2 gallons for "only 50 cents more." Halve the size of the pop and halve the price. On top of that, if I want a candy with it, it's $4.75 for what costs $1.19 at the grocery store.

The entire industry is shooting themselves in the foot and pushing away more and more people each year. The higher they raise prices for the overall experience, the more people they will alienate/drive away from the theatre.

I've been going to the movies since I was a kid and still enjoy it, but it's to the point that if prices increase much more, I'll just start waiting for them to come to DVD. I have no issue with waiting an extra 4 months to watch a movie.
 
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