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FBO Productions, Incorporated
PRODUCER AND DISTRD3UTOR — MOTION PICTURES
Sales Cancellations — Decrease in Number of Cancellations of Contracts. A producer and distributor of motion pictures, wishing to determine the underlying causes of exhibitor contract cancellations, made a study of the number of cancellations from each exchange, classified according to the reasons for the cancellations. Subsequently, similar reports of cancellations, classified by reasons and by exchanges, were submitted weekly to the general sales manager. These reports, supplemented by periodic audits, enabled the general sales manager to take appropriate steps to maintain and increase the efficiency of the salesforce.
(1927)
In 1927 the general sales manager of FBO Productions, Incorporated, a large producer and distributor of motion pictures, wished to obtain information which would enable him to determine the causes of cancellations of exhibition contracts and, if possible, to reduce the amount of such cancellations.1 To this end he obtained from the company's statisticians the figures on cancellations of contracts with exhibitors which are shown in Exhibit 1.
In addition to securing these figures, the sales manager had the record of every exhibition contract examined at least once every five weeks to see that exhibition dates were being set promptly for all pictures. Whenever it appeared that a theater was not showing pictures promptly or that it was making numerous cancellations, the sales manager asked an explanation of the exchange manager of the district in which that theater was situated.
Sales of motion pictures were in reality leases of the pictures for exhibition. Generally the dates for the exhibition of the various pictures under a contract were not specified in the contract but were arranged at a later date by negotiation between the exhibitor and the representative of the distributor. Payment for the use of a picture always was made in advance of exhibition or obtained by the distributor by shipping the film of the picture
1 See Electro Film Corporation, page 93.
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