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Marketing and AMC Theatres - Essay Example

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The concept of theatres came up with drama as can be seen from the period of William Shakespeare, but when movies became popular and as attractive to the layman as drama; the theatres were converted for showing movies. At their peak, the numbers of theatres also increased, but…
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Marketing and AMC Theatres
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That aside, one of the most reliable of all surveys for the country is conducted by Gallup and one of their latest surveys on the subject of going to movies have been conducted from December 5 to December 8, 2005. The number of movies now seen by an American has now come down to four movies during a period of twelve months. This does not mean that all Americans see the same number of movies since among the entire population there are 33 percent who claim that they have not seen any movie in a year, and 42 percent say that they have seen more than one but less than four movies in a year while 24 percent claim to have seen more than five movies in a year.

(Americans Saw Average of Four Movies in Last Year) This can be seen pictorially in the appendix. The position had started quite early, and it was seen even from the beginning of summer. One of the largest chains of theatres in the country, Regal Entertainment Group, which is based in Colorado and registered on NYSE as RCG as well as Carmike cinemas, which is recorded as CKEC on NASDAQ had shown drops in attendance in the first quarter. The first is the largest chain in the country and the second is the fourth largest chain in the country.

Compared to the previous year, 2004, the drop in net income of Carmike was by 76 percent. (Lights dimming on movie attendance) Part of the drop in attendance can be explained by the observation recorded above, but, in general, trends do not move so sharply and in the case of AMC theatres, for the change to have taken place would have a sharp change in habits of persons staying in a relatively restricted area. This is again unlikely to happen so one has to look at some other reasons. The position is clear in that younger Americans are more likely than older individuals to go to the movies and the study by Gallup has shown that Americans between the ages of 18 and 29 had

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