Harrison's Reports (1950)

108 HARRISON'S REPORTS July 8, 1950 from percentage to flat rental where the percentage had previously been sold." "RKO — Mr. Robert Mochrie, General Sales Manager, on our first visit made no commitments on selling any theatre on flat rental basis. "On our visit in 1950 Mr. Mochrie stated that he was sympathetic to the Committee's plan on flat rentals. He said that he was selling more and more theatres flat rental today (and the Committee finds that this is true), but that he would make no general commitment." "United Artists — On our first visit (1949) Mr. Grad' well L. Sears, President, stated that he had no reservation in selling any of his pictures to any exhibitor on a flat rental basis. He advised the Committee that he had sold pictures like 'Red River' flat. He said his position was sometimes complicated by some producer reserving the right to ap' prove contracts. "In 1950 we attempted to contact both Mr. Sears and his General Sales Manager, Mr. Lazurus, but both of these gentlemen were out of town, and we were unable to see them." "Universal — On our first visit with Mr. William Scully, General Sales Manager, he would make no promises or commitments. "On our second visit in 1950 Mr. Scully still would make no commitments. "The Committee finds that Universal generally is demand' ing percentage not only on their top bracket pictures but in varying degrees on down the line into the second and even third brackets. "The Committee discussed with Mr. Scully changing to flat rentals instead of percentage and suggested that Uni' versal, where it found a situation unalterably opposed to percentage, offer a flat rental deal even on their A product, based on experience with other Universal pictures in the same situation. Mr. Scully and his assistant, Mr. O'Keefe, thought that suggestion might have merit and promised further consideration. "Within the past few days our Committee Chairman who had received a report from Iowa-Nebraska that Universal was starting such a practice, wrote Mr. Scully. We quote Mr. Scully's reply in answer to our letter: " 'We acknowledge a copy of your communication . . . in reference to the Universal deals in Iowa-Nebraska. 'This is being tried at the suggestion of you and your Committee and is also being tried in Texas and other parts of the country. 'We are trying out the suggestion made at our conference, and we hope it turns out satisfactorily for the Exhibitor as well as ourselves. 'Yours very truly, 'W. A. Scully " "Warner Brothers — In our 1949 interview with Mr. Ben Kalmenson, General Sales Manager, he stated that the Warner policy at that time was to eliminate percentage in theatres grossing up to $150 on A pictures. This was done by Warners for the reason that, on the average, checking costs more than offset the extra film rental. "On our second visit, April 1950, Mr. Kalmenson stated that he had gone further than his commitment in converting to flat rentals in the smaller theatres. He said that in all probability it would be still further expanded where this was economically sound. He said that Warners had sold more flat rentals this past year than in the previous ten years. From our information throughout the country, we believe this to be a fact." In making the foregoing reports available to all exhibitors, the Allied regional units point out that copies have been sent also to the branch managers of every exchange in the country so that they and their salesmen will know the flat selling policy laid down by their general sales managers. "If your theatre is one of those included in the classifica tion," says Pete J. Wood in the service bulletin of the Independent Theatre Owners of Ohio, "the sales policy has definitely and positively been laid down by the Big Boss of the salesman who visits you to sell pictures. Don't let that salesman bluff you into paying more." The Allied "Must" Percentage Committee, comprised of Col. H. A. Cole, chairman, and Irving Dollinger, Wilbur Snaper, Sidney Samuelson and Charles Niles, is to be congratulated for the fine progress it has made in the Allied campaign to eliminate "must" percentage terms in the nation's smaller theatres, most of which are having a difficult time to remain in existence. Allied may be proud of a service well done for all exhibitors, the smaller ones in particular, for the valuable information contained in the Committee's reports should enable many of them to combat the too ambitious salesman and to establish live-and-let-live film rentals. A PUBLIC RELATIONS JOB THAT IS AT ONCE A BOX-OFFICE STIMULANT National Kids' Day, the nationwide project sponsored by the more than 3100 Kiwanis Clubs of the United States and Canada for the benefit of underprivileged children, will be observed this year on September 23 and, like last year, the National Kids' Day Foundation, of which Jimmie Fidler, the famous syndicated columnist and radio commentator on motion picture matters, is president, is seeking the cooperation of the nation's exhibitors to make this worthwhile drive a success. Working with Roy Rogers, the cowboy star, and Herbert J. Yates, president of Republic Pictures, Mr. Fidler has devised a method of exhibitor participation that will not only cost the exhibitor nothing but actually increase his box-office receipts and at the same time win for him the good will of the community because of his support of so praiseworthy a cause. Briefly, the plan calls for a tieup of the exhibitor's theatre, its Roy Rogers Rider's Club members, numbering nearly 2,000,000 nationally, and the National Kids' Day lapel buttons. The exhibitor will be furnished with lapel buttons, free of charge, and each Rider's Club member would be given ten buttons to be sold for 10c each to friends, neighbors and relatives. When the youngster sells his ten buttons and turns in the one dollar collected, the exhibitor is to retain 50c, giving the boy or girl as many admission tickets as that 50c will buy, to be good until used. The remaining 50c is to go into the National Kids' Day Fund, and when the drive is over on September 23 one-half of all the money collected is to be forwarded to the National Kids' Day Foundation. The idea, of course, is for the exhibitor to generate a competitive spirit among the youngsters by offering prizes to those who sell the most buttons. An enterprising exhibitor should have little trouble promoting these prizes from local merchants. Since the drive will be given wide publicity on the national and local level, the idea of the button sales offers the exhibitor a golden opportunity to not only raise funds for a worthy movement and win genuine good will for his theatre but to also boost his theatre receipts through advance ticket sales — and all at no cost to him. The plan does not burden the exhibitor; on the contrary, the exhibitor is helped to fill his seats. Aside from the fact that the exhibitor who participates in this drive will benefit through paid-in-advance admissions, the plan is a natural insofar as it concerns the building of public relations for the individual theatre as well as the industry as a whole, for there is no quicker and better way to capture the good will of the public than by doing something for children, particularly the underprivileged. Those of you who are interested in joining this drive should communicate with Jimmie Fidler, National Kids' Day Foundation, 1765 Gower Street, Hollywood 28, California.