The Exhibitor (1956)

EXTRA PROFITS EP-5 f I' Sales Price For many, many years the five cent price was almost universal in indoor the None Better An exceptionally fine chocolate flavored drink, specially prepared for drive-in theatres —will not be sold retail. Gives you an excellent profit mark-up without competition from local stores. A high quality beverage, in an 8 oz. can, that tastes good and is good for you and your customers. National Sales Agents for the Drive-In Theatres George DeRisi, general manager for Bert Nathan's Drive-In Concessions is now using special Coca-Cola and Flavo-Rite point of pur¬ chase signs in all drive-ins in Long Island, FABCO ASSOCIATES 643 Brook Avenue, New York 55, N. Y. • MO. 5-3823 Distributed by FULLY ANIMATED Color Movie Trailer Available To Boost Dutch Treete Sales Connecticut, New York state, Massachusetts, and DUTCH HOUSE, INC., 1411 North Sydenham Street, Philadelphia, Penna. Survey ( Continued from page EP-3 ) Diversification A very signifiant trend unveiled by this survey, confirming reports from the field in recent months, is that the indoor theatres are selling a much greater variety of merchandise than at any other time. That great old American tradition, the hot dog, was considered as something that could not be practically sold in a roofed theatre. Obstacles such as necessary cooking equipment, the odors, objections of patrons, etc., seemed to relegate this traditional snack to the outdoors. How¬ ever, the development of low-cost, com¬ pact grills, the almost universal theatre use of air conditioning, and a few the¬ atres willing to take a chance are quickly breaking down this barrier. Today there are over 1,500 theatres offering hot dogs to their patrons, repre¬ senting a surprisingly impressive 15 per cent of the total indoor market. One method which appears to have merit is limiting the sale of hot dogs to matinees and other kiddie shows. A number of theatres have found this method to be remarkably profitable. Based on the sur¬ vey, and from the personal experience of those theatremen who have successfully sold this item, it appears that the hot dog will become a familiar sight in more and more locations. Although the hot dog appears to be winning a place in the concession pic¬ ture, the sandwich is finding the going much more difficult. The EXTRA PROF¬ ITS DEPARTMENT’S survey finds that only 2.8 per cent of the theatres, or a little more than 400 houses, are selling this item. Factors such as variety of choice, problems of storage and serving, reluctance of the average patron to eat a sandwich at a roofed theatre, and the traditional “after the show” trip to a soda fountain or restaurant all present for¬ midable opposition to the sale of sand¬ wiches in all but a few individual spots. The sale of coffee has not, as yet, made any substantial impact on the overall concession market. Only three per cent of the theatres, or about 450, handle coffee. Most of these theatres are in the art house category, and sell the coffee as a prestige item more so than as a money-maker. atre concession operations. However, this price barrier has been rather thoroughly shattered, the survey shows, with 9.7 cents per item now the average price. Since popcorn, candy, and soft drinks dominate the market, it was decided to obtain specific price information on this trio of products. For ease of operation it was decided to consider all odd prices, such as eight cents, 17 cents, etc., as the closest “standard” price; such as putting a 17 cent answer in the 15 cent category, etc. Using this method the following re¬ sults were obtained: Popcorn: About 70 per cent of all pop¬ corn sales at indoor theatres is for 10 cents; 23.5 per cent, 15 cents; six per cent, 20 cents; and 11.1 per cent, 25 cents. (The average is more than 100 per cent as some theatres prefer two or more price scales.) The fact that almost 2,800 theatres sell a 25 cent popcorn package indicates the growing popularity of such things as adding butter and other flavoring to the popcorn, and the gradual acceptance of larger and higher priced items. Soft Drinks: The day of the five cent soft drinks is almost over, as the survey shows that only 16.4 per cent of the indoor houses, or about 3,500, still offer a five cent drink. That 10 cents is most widely accepted as the standard price is proven by the survey, which shows that about 11,500 theatres sell soft drinks for that amount. The higher priced beverage items ( Continued on next page ) Dutch Treete Chocolate Drink delicious hot or cold May 30, 1956 MOTION PICTURE EXHIBITOR