Inflation affects movie ticket prices

December 13, 2011 Leave a Comment 

By Iris Harris

Echo Staff

The cost of going to see movies in theaters has steadily increased and has recently concerned local avid moviegoers.

According to the New York Times website, the executives of the Regal Entertainment Group, the nation’s largest theater chain, predict an average price increase of 3 percent or more by the end of 2011.

According to The Los Angeles Times,“The average ticket price at theaters in theUnited States last year rose to an all-time annual high of $7.89, up 5 percent from $7.50 in 2009.”

Inflation is usually the cause of price increases; however, the movie industry has outpaced the effects of inflation since 1999, according to the National Association of Theater Owners.  So, what are the factors that contribute to the rising ticket prices?

According to The New York Times, theater chains have recently turned to price increases to pay dividends to shareholders or to pay off debt. Another contributing factor is the increased production of 3-D movies that ads an average $3.00 surcharge to movie tickets, from which the theater owner, the studio, and the technology provider each receive a portion.

According to Mr. Blakely, manager of Carmike 6 inNacogdoches, local movie prices have increased about $.50 in three years.

He said Carmike 6 recently began “Super Bargain Matinee” at the theater, which lowers the prices of all tickets to $5.00 for show times between 4 and 5:30 to provide financial relief to consumers.  Several years ago, the theater started “Stimulus Tuesdays” which lowered concession prices to $1.00 for popcorn and drinks and $2.50 for candy on Tuesdays.

Blakely of Carmike 6 says that movie ticket prices have not affected attendance and that it remains “about the same.”  Nationally, however, movie theater attendance has decreased an average 10 percent in the last twelve years, according to The New York Times.

NacogdochesHigh Schoolstudents have noticed the price increases at movie theatres recently. Senior Blake Nichols said he feels irritated by the high prices at the local movie theater. Students like Nichols seek alternatives to avoid paying high prices.

Senior Renee Jamar and junior Dagon Gosesaid they rent movies from Red Box or attend the SFA movie theatre because these options are cheaper. Junior Blair Madkins waits until movies are released on DVD. Senior Xavier Fowler has resorted to similar measures. “I just go [to the movies] if it’s a really good movie that I want to see.”