Merch at the Movies

Those supersized popcorn buckets are not big enough to plug the looming gap in movie theater chainsamp8217 revenue reportsAs a result of the disastrous quotHollywood Double Strikequot which recently saw the writers return to work as actors39 labor action continues as of this writing cinemas are likely to see less content coming to the screens next year Naturally that would mean smaller audiences at the box officeBut it doesnamp8217t have to be that wayAs with most things related to pop culture Taylor Swift may have the answer All theater owners need to do is follow her lead in thinking beyond the typical concession stand fareWhile media consumption habits are rapidly upending traditional entertainment models the desire for inperson entertainment is still strong Now would be a good time to not just meet consumers where they are but to get them to change their habitsItamp8217s an opportunity Swift has seized with an impressive entrepreneurial acumen and zeal Now itamp8217s theater chainsamp8217 turn to copy her moves and run with itBeyond the PopcornWhile group sales have always been offered for special events theaters have rarely put much marketing behind such effortsThat is until now AMC Theatres has struck a groundbreaking deal with Swift to distribute the singeramp8217s New Eras concert tour film starting Oct 13Itamp8217s a smart move by the chain The chances of attracting large audiences on the heels of this summeramp8217s amp8220Barbenheimeramp8221 blockbuster season is huge and tying merchandise to movie content may prove a breakthrough move on Swift and AMCamp8217s part But it is a tad controversialMost of the discussion surrounding the deal focuses on AMC bucking the traditional movie release model by serving as the concert film39s distributor as well as one of the venues showing it Since the antitrust era of the 1930s film studios handled the distribution and were prohibited from also running the theaters As a cinema owner AMC could invite monopoly charges in this aggressively regulatory environment But the company appears to have exercised caution by ensuring access to the film by its theater rivalsMoving Pictures Moving InventoryFinancially the deal is in favor of Swiftamp8217s company According to reports in Puck and Insider 57 of box office earnings will be shared between AMC and the Swifts with the other 43 going to other theaters showing the film The majority of the split between Taylor and AMC will likely go to the singer and her teamTheaters showing the movie will be required to play it for a minimum of four weeks The higher audience volume comes at an important time for AMC which has been weighted down with heavy debt issues for yearsAnd concession sales will have to do more lifting It39s the one area where movie theaters traditionally donamp8217t have to split the sales with studiosAMC is already promoting commemorative Swiftbranded popcorn tubs and cups at higher prices At a time of stilltoohigh inflation estimates that Swift fans spent an average of 300 at her shows must have theater owners salivatingamp160amp160So the question to theater owners is are you going to consider offering movie merchandise on a regular basis With shrinking audiences more room could be found for retail space by reducing the number of screensThere could also be clear mobile commerce play involved Before telling moviegoers to shut off their phones theater owners could present a QR code that opens to an online store for that particular movieAnd with film TV and video production held up for 143 weeks due to the strike this is a perfect time for theaters and studios to fully amp8212 and finally amp8212 tap into the massive engagement power of influencers Could movie theaters become the next playing ground for creators What about inviting groups of Swifties to take over a screen for an afternoon or eveningThese venues are tailor made for experiences that offer more to audiences than popcorn and candy in support of a filmIt wonamp8217t take muchMovie theaters saw how audiences value the inperson experience All they have to do now is present shopping experiences that enhance that valueOr they could just wait for the next Barbenheimer moment to come alongPosted at MediaVillage through the Thought Leadership selfpublishing platformClick the social buttons to share this story with colleagues and friendsThe opinions expressed here are the author39s views and do not necessarily represent the views of MediaVillageorgMyersBizNet

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Merch at the Movies

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