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BLOG | INDUSTRY NEWS

This Week's Handful of Must-See Headlines

Cast & Crew
| 02/10/2023
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Movie Theaters

Tiering Tickets: AMC Plans To Restructure Pricing Model 
On Monday, popular theater chain AMC announced a new pricing program which lowers the price of front row seats. The program, called “Sightline,” won’t change the cost of a standard ticket. Instead, audience members can opt for “value sightline” (tickets in the front row) for a reduced cost. They can also choose “preferred sightline,” made up of centralized seats, for a higher cost. Sightline is currently being rolled out in several theaters but will expand to all domestic locations by the end of the year. The program won't be in place on Tuesdays, which is currently the theater’s discounted ticket day for AMC Stubs loyalty members. The move towards adjusted ticket pricing is another attempt to lure people back to theaters and raise movie attendance. AMC had previously toyed with raising ticket prices for more popular films with the release of last year’s The Batman. Other recent pricing adjustments have included upping the price for popular weekend showtimes and increasing matinee prices for films like 80 for Brady, leaving a total of 25% of all shows at the discounted matinee price. Eliot Hamlisch, chief marketing officer and executive vice president at AMC Theatre, noted that this move is for the benefit of both the individual (with prioritized seat assignments) and for those who value ticket deals. Hamlisch said, “Sightline at AMC accommodates both sentiments to help ensure that our guests have more control over their experience.” 

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Advertising

Super Bowl Is Sold Out: The Big Game’s Ads Worth Up to $7 Million Per Spot 
95% of 2023’s Super Bowl ad inventory was sold by September of last year, and Fox finally unloaded the remaining 5% a week before kickoff. The demand for ad space was so high that 30-second spots were selling for an average of $6-7 million. However, the market shifted in October, making companies less willing to pay the high price tag for a brief Super Bowl spot. The network struck a deal in late January to get rid of the remaining in-game inventory, demonstrating that sales efforts don’t truly end until right before the game. Last year’s NBC broadcast of Super Bowl LVI made a whopping $578.4 million in advertising sales—$143.8 million more than in 2021, according to Vivvix. Combining both in-game and post-game commercials, 2022’s Super Bowl brought in a total of $636 million. Fox started selling ads for this year’s game in the fall of 2021, before NBC began the process for their own 2022 game. During the ambitious start, the network asked $6 million for each 30-second spot, which will ideally translate into another jump in revenue. Some inventory was created this year, as companies that’d purchased spots sought economic relief. This year’s market looks a lot different than last year’s, as some companies (Crypto, anybody?) no longer exist or no longer have interest in ad placement. Fortunately, most losses in inventory were salvaged by companies buying up more time, either extending their existing slots to 60 seconds or placing a separate 30 second slot. Other companies that haven’t placed ads before showed interest in buying space this year as well, so audiences can expect a wide range of commercials during the game. 

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International

China Film Censors: New Law Limits U.S. Cooperation  
Hollywood is finding itself in the middle of international politics, as a recently passed provision in the National Defense Authorization Act is restricting the amount that the U.S. spends on films that must eventually be altered in order to enter the Chinese marketplace. The bill is part of an increased focus on foreign affairs with China regarding the entertainment, sports, and social media industries. In recent years, filmmakers have had to alter or adjust their work in significant ways to make their way into China’s restrictive cinema landscape. Along with the establishment of a new select committee, this provision will prohibit U.S. government spending on any project that will modify or delete content based on a directive from the Chinese government. While only a small number of films seek help from the Department of Defense, China has been accepting fewer and fewer U.S.-made films over the past few years. This provision is likely to reduce that number even more. The practice of altering projects to fit a country’s requirements is longstanding. In 2019, Taiwanese and Japanese flags were removed from the trailer for Top Gun: Maverick, though they were restored for the full film (released everywhere except China). Similarly, 2013’s World War Z made waves by changing details to earn distribution abroad. With this new provision, the current system of international distribution is bound for restructuring.  

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Television

TV Crystal Ball: Experts Debate the Future of the Medium 
The media industry has seen a great deal of change in the past few years, and TV’s relationship with streaming is at the center of it all. CNBC interviewed more than a dozen thought leaders to get an idea of the changes in store. Peter Chernin, CEO of The North Road Company, believes that while there will be restructuring and budget cuts, the TV format will continue. Sports rights, including the upcoming deals for the NFL and NBA, will be at the center of the conversation, dominating programming. Ann Sarnoff, former Warner Bros. chairwoman and CEO, believes that linear bundles will be the focus of the next three years, including how cable and streaming channels will come together to get the attention of passionate fans. The Ringer’s Bill Simmons believes that the shift to TV will continue to be slow, playing out like the transition from radio to digital audio, because it's still more competitive than was expected at this point. Bela Bajaria, Netflix’s chief content officer, agrees, noting that people have always discussed the death of linear TV. Yes, it will be a smaller market share in the next three years, but not gone. Kathleen Finch of Warner Bros. Discovery thinks that there will still be a demand for linear TV. She feels that “people still like to sit down as a group in front of the TV. It’s very communal. And advertisers love it — whether they’re selling a new movie coming out or launching a car sale.” Byron Allen, Allen Media Group chairman and CEO, also believes that linear TV has specific draws that keep it valuable, including things like local TV. 

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Film

Women-Driven Cinema: 80 for Brady is Making the Case for Female-Led Films 
Since the early days of the pandemic, the industry has been worried about how to bring older audiences back to the cinema. 80 for Brady (which brings together four older Hollywood icons) is a light-hearted romp with a short run time, and it may just be the industry’s recipe for success. The film had an opening weekend of $12.8 million, which was at the high end of expectations, landing in second place at the box office. Starring Lily Tomlin, Jane Fonda, Rita Moreno, and Sally Field, the traditional comedy depicts four best friends who attend the Super Bowl. The movie differentiates itself from other action-packed or suspenseful fare in today’s cinemas by skewing toward the older female demographic. Jeff Bock, a box office analyst at Exhibitor Relations, believes that this is a highly neglected audience, and the film is creating a healthy balance at the box office. Additionally, 80 for Brady is different from other female-driven films, including Oscar nominees like Tár, Women Talking, and She Said, which are all much heavier in tone. While reviews vary (it sits at 68% on Rotten Tomatoes and has an A- on CinemaScore), the movie is certainly reaching its target audience. The opening weekend crowd consisted of 68% women, nearly 50% of whom were 55 or older. Paramount’s Chris Aronso argues that this proves the old saying, "you don’t have to make a movie for everyone, but you do have to make it for someone.” Originally set for a streaming-only release on the Paramount+ platform, positive test screenings motivated the film’s theatrical exhibition. 80 for Brady is also being used to test another distribution strategy by partnering with distribution chains to offer matinee prices for more showings of the film.  

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