Movie theater chains are accustomed to periodic showdowns as new technologies change the media landscape. They faced the rise of video rental stores in the 80s, the arrival of DVD in the 90s, cable TV video-on-demand (VOD) in the early aughts, and now the vast choices offered by streaming services.
This year, however, movie theaters are finding out how technology can also be an ally.
Illuminating issues facing movie theaters as the pandemic does a slow fadeout, a Gallup Poll released in January found that “Americans watched an average 1.4 movies in a movie theater over the past 12 months. This includes a historically high 61% who did not visit a movie theater at all, 31% who saw between one and four movies, and 9% who attended five or more.”
“While the three in five Americans who did not go to a movie in the past 12 months is likely inflated because of the pandemic, the industry is grappling with the fact that the habits Americans have fallen into at home may be a barrier to getting them back into theaters when the pandemic ends,” Gallup said.
Worsened by a light pipeline of new films in 2022 due to production shutdowns, theater chains are joining the connected economy any way they can to attract moviegoers.
AMC Takes Connected Lead
AMC is currently leading the connected charge, partnering with virtual reality (VR) concert platform AmazeVR last year to create an immersive experience featuring Megan Thee Stallion and a release in theaters specially outfitted with haptic motion chairs and a metaverse experience available through at-home VR headsets.
See also: AMC Wants to Turn Its Movie Theaters Into Virtual Concert Venues
AMC announced Tuesday (March 1) that it is testing a new variable pricing model with the theatrical premier of franchise reboot “The Batman” opening in theaters Friday (March 4).
Read more: AMC Tests Variable Pricing With Higher Tickets for ‘The Batman’
Speaking with analysts on its fourth-quarter 2021 earnings call Tuesday, AMC Chief Financial Officer Sean Goodman noted that attendance at large-format offerings like IMAX and Dolby Cinema rose year over year, indicating that customers are willing to pay a premium for a moviegoing experience they can’t get at home.
“This reflects our guests increasingly wishing to experience going to the movies as a special immersive event, and thus, they are more and more selecting to upgrade to the best possible sight and sound experiences available,” he said.
Seeking revenue streams outside its theater, the chain said in a November press release that it would start selling popcorn at standalone mall locations this year — as well as offering popcorn and other treats through food delivery platforms. The plan calls for up to five AMC Theatres Perfectly Popcorn stores, counters and kiosks in shopping malls around the country in the first half of 2022, with up to 15 by year’s end and even more expansion in coming years.
In another connected economy move, AMC CEO Adam Aron tweeted Feb. 28, “This might rev up the cryptocurrency fans amongst you. AMC IT says that BitPay will be live for AMC online payments on our web site by March 19, and live on our mobile apps by April 16. Possibly a few days earlier. BitPay, and therefore soon AMC, accepts Dogecoin and Shiba Inu.”
This might rev up the Cryptocurrency fans amongst you. AMC IT says that BitPay will be live for AMC online payments on our web site by March 19, and live on our mobile apps by April 16. Possibly a few days earlier. BitPay, and therefore soon AMC, accepts Doge Coin and Shiba Inu. pic.twitter.com/M8lM3Rz2vY
— Adam Aron (@CEOAdam) February 28, 2022
See also: ‘No Time to Die’ — But Plenty of Time to Buy 007 Tickets and Merch
Regal Goes Full Immersive, MoviePass 2.0 Reboots
Meanwhile, Regal Cinemas continues its partnership with cinema tech firm CJ 4DPLEX, employing its immersive 4DX and ScreenX technologies. The 4DX system creates genuine atmosphere, as auditoriums are equipped with motion-enabled chairs and environmental controls that simulate lightning, rain, fog and strong scents.
ScreenX is described in a press release as “the world’s first multi-projection cinema with an immersive 270-degree field of view. By expanding the image beyond the frame and onto the walls of the theater, ScreenX places the audience directly at the center of the story, creating a visually immersive viewing experience unlike any other.”
Back with new CEO Stacey Spikes and connecting more moviegoers with more flexible options, MoviePass 2.0 launched in February with a new pricing model that CNET likened “to more of a credit-based marketplace” and with new connected features allowing “movie theaters to set different prices for off peak times, … let credits roll over and … also allow advertising partnerships where customers can earn more credits by watching ads.”
Spikes laid out the MoviePass 2.0 vision in a Feb. 22 video presentation.
Last summer, AT&T and Cinemark joined forces on a connected theater experience coinciding with the release of “Space Jam: A New Legacy” with 5G-powered tech.
“As moviegoers approach the screen, Bugs Bunny & Friends encourage fans to scan the QR code, which will bring them to a secure website to select the characters desired in the picture,” a press release stated. “After entering an email and phone number to receive a copy of the picture, fans are prompted to strike a pose, and the characters will walk in and take a picture. The picture will have a customized Cinemark hashtag and be sent to moviegoers.”
Read also: MoviePass Agrees to Implement Data Security Protocols to Settle FTC Complaint
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