Harrison's Reports (1945)

Entered as second-class matter January 4, 1921, at the post office at New York, New York, under the act of March 3, 1879. Harrison's Reports Yearly Subscription Rates: 1270 SIXTH AVENUE Published Weekly by United States $15.00 RnnmlRI? Harrison's Reports, Inc., U. S. Insular Possessions. 16.50 ftuum 1014 Publisher Canada 16.50 New York 20, N. Y. P. S. HARRISON, Editor Mexico Cuba, Spain 16.50 A Motion pjcture Reviewing Service oreat ±sritain ............ A0'° Devoted Chiefly to the Interests of the Exhibitors Established July 1, 1919 Australia, New Zealand, India, Europe, Asia .... 17.50 Itg Editoria, Policy. No problem Too Big for Its Editorial Circle 7-4622 35c a Copy Columns, if It is to Benefit the Exhibitor. A REVIEWING SERVICE FREE FROM THE INFLUENCE OF FILM ADVERTISING Vol. XXVII SATURDAY, SEPTEMBER 8, 1945 No. 36 A FORMIDABLE THREAT FROM 16MM EXHIBITION There is a growing concern among many exhibitors over the possibility of the 1 6mm film business becoming a serious competitive threat to the established motion picture theatre. In fact, so great has become this concern that the subject was given the attention of National AlliecTs board of directors at its meeting held in Pittsburgh two weeks ago. As reported in last week's issue of this paper, Allied's board of directors, after hearing reports of conditions in different parts of the country as regards "jack-rabbit1'' 16mm shows, agreed that the situation was getting out of hand. Just how the expansion of the 16mm film business poses a threat to established exhibition is contained in a series of two very informative articles, written recently by James M. Jerauld, editor of Boxoffice, which appeared in the August 4 and 25 issues of that paper. Following are some of the highlights in Mr. Jerauld's articles concerning the expansion of the 1 6mm field : In seven years, the 16mm film business has expanded to a national enterprise with more projection outlets than the 35 mm standard theater film. This is in spite of the war, which diverted an estimated 25,000 16mm projectors to the armed services. Distributors of narrow gauge film say that they are on the verge of a tremendous expansion, and that large scale plans for the production of entertainment films exclusively for 16mm use are now under way, with no restrictions on their exhibition. Jack Seaman, president of Planet Pictures, a new 1 6mm entertainment project, estimates that the number of 16mm projectors now in use is about 70,000, and he says that certain financial groups are planning to open circuits of 16mm theatres. These same groups will rely also upon portable equipment for smaller communities. Seaman estimates that there is a potential audience of 10,000,000 persons in the United States alone. According to those in the 16mm field, any community of at least 500 persons is a profitable stopping place for a mobile unit using portable 16mm equipment. The most important element still lacking in the 16mm business is a system of national distribution, but two companies are now in the process of working out a method of supplying this element. "Anybody with a projector," writes Mr. Jerauld, "can get a complete entertainment program anywhere by simply writing a letter to one of the dozens of distributing companies and enclosing a check after specifying the subjects. These subjects run from the latest newsreels made from combat footage furnished free by the Government, through old cartoons and 20-minute name band numbers to features. Longest feature in circulation in the 16mm field is John Steinbeck's 'Of Mice and Men,' 104 minutes. Rental prices range from $2.75 to $17.50 per subject, some outstanding features correspondingly higher. "Many projector owners who started out with home entertainment for their families and friends are now exhibitors on a small scale. One California man has a big bus with 52 seats. Some furnish shows to organisations for which they are paid fees; others tour with their own shows and charge their own admissions. A book has been published on how to do this. "As no operators license is required, the stock being non-inflammible, and there is no overhead, the admissions are nominal. This puts the 16mm business into the free and easy era of the early 35 mm days 40 years ago, with admissions often as low as 15 cents." Elsewhere in his articles, Mr. Jerauld writes of the progress made by the 16mm business in the educational, religious, and advertising fields, and he indicates that the success of these operations has given many of the 16mm distributors, as well as operators, new ideas for expansion in the entertainment field. He points out also that some sizeable organizations have decided to go into 16mm distribution on a national scale. He reports that Ross Federal, for example, plans to maintain film libraries in its thirty-one offices throughout the country, and to handle projection equipment and supplies for all comers. Another one mentioned is George Hirliman, head of International Theatrical and Television Corporation, who intends to establish thirty exchanges. In addition to distribution, Mr. Hirliman is said to plan, not only to produce 16mm films for entertainment, but also to market a new 16mm projector for $149.50, as compared with the current price of $379. Thus it appears that the rapid progress made by the 16mm interests in the past seven years, together with their ambitious plans for expansion in the coming years, may develop into a serious competitive threat to established exhibition, particularly to exhibitors in situations that depend upon rural patronage from the outlying districts of the areas they serve. As it has already been said in these columns last week, there remains to be seen just how lucrative will be the new markets accessible to mobile 16mm projection units. However, since the indications are that these markets may turn out profitable, the thoughtful exhibitor will begin now to form his plans to counteract whatever competition 16mm exhibition may offer in his territory. Because some of the large motion picture companies may think of entering 16mm distribution in this country themselves, this paper suggested last (Continued on last page)