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New Dine in Movie Theaters


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http://finance.yahoo.com/family-home/article/111755/double-feature-dinner-and-a-movie

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To Upgrade From Dirty Carpets and Tubs of Popcorn, Theater Chains Try Full Menus, Seat-Side Service

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The AMC Menlo Park 12 Cineplex in Edison, N.J., is trying to woo viewers with meals and more spacious seating. (Bryan Derballa)

As Hollywood churns out ever more attractive
big-budget films, laden with 3D and other special effects, little has
changed at theaters, where audiences can find worn seats, stale popcorn,
and overpriced candy.

Under pressure from viewers as well as movie-industry
executives, the country's theater chains are trying to win back
moviegoers—with food. Audiences at a growing number of theaters can
order such dishes as chinois chicken salad rolls or limoncello-tossed
shrimp. More middle-of-the-road fare is also available, like
cheeseburgers and chicken caesar salads. Seats in these so-called
"in-theater dining" cinemas are big and plush. Lobbies are luxurious,
with art on the walls and mood lighting. Popcorn is often complimentary
and a full bar is de rigueur.

Theater
chains hope the new style of film-watching—which has previously been
the realm chiefly of small independent theaters—will help boost the
number of moviegoers after years of flat attendance. Other recent
efforts to get more people in the doors include offering reserve seating
online and more movies in 3D. But in-theater dining represents one of
the movie-theater industry's biggest bets to expand its static audience
size.

"I am one hundred percent sure that these theaters are the
future of movie-going," says Jeffrey Katzenberg, an industry veteran who
once served as studio chairman at Walt Disney Co. (NYSE: DIS - News) and is now chief executive of DreamWorks Animation SKG Inc. (NasdaqGS: DWA - News)
"These new theaters really up the quality of experience because they
require a high degree of service that movie theaters have lost."

A
few years ago, a handful of such theaters existed in the country. Now,
the National Association of Theatre Owners estimates that the U.S. plays
home to roughly 300 to 400 cinemas with restaurant service out of
roughly 5,750 total theaters. Industry analysts predict that number
could double over the next few years.

Regal Entertainment Group (NYSE: RGC - News),
the largest U.S. theater chain, has opened five premium locations as
part of its new Cinebarre line, a combined movie theater and restaurant
concept the company began in 2007. IPic Entertainment, which acquired
Gold Class Cinemas last year, recently opened its eighth dine-in cinema
in Scottsdale, Ariz., and plans to open another five to six theaters a
year. Gerry Lopez, AMC Entertainment Inc.'s chief executive, says he can
envision converting 10% of the company's total theaters, which now
number about 375, into ones that offer in-theater dining.

Horror
movies don't play quite as well in the format because consumers
apparently don't enjoy eating while watching blood and gore, theater
executives say. Listening to others chewing, and smelling their food,
might also be a turn-off for some moviegoers, although the wide seat
spacing may help to minimize any annoyance. And the premium prices may
seem high, but movie-chain executives say in-theater dining is a more
time-efficient way for some people to spend an evening out.

Keeping
the multiplex clean is harder than it looks, theater executives say.
Tight time slots between showings, and large auditoriums, sometimes
confound efforts to keep floors and seats clean.

[see the Sexiest Movies of 2010]

At
dine-in cinemas, seats typically come in pairs of two, with wide aisles
between couples to allow waiters to navigate in and out the theater
during screenings without blocking views of the movie. Many guests order
during the film by pressing a small button near their chairs. Some
theaters have small tables in front of the seats; others feature folding
trays that extend across the seat for easy eating. Many dine-in
theaters have some age restrictions; some don't allow anyone under 21
years old.

Ticket prices vary. Some chains, such as AMC, charge a
flat fee of $10 or $15 above the usual price of a ticket but include
that amount as a credit toward food purchases. Others, like Gold Class
Cinemas, price tickets between $17 and $29 just for a ticket and then
charge for food separately.

Some theaters offer alcohol, luxury
seats with armrests and footrests, blankets, pillows, or moist towels
before the film begins—as well as chocolate mints afterward. The actual
auditoriums are often significantly smaller than those of the vast
multiplexes, featuring fewer than 30 chairs, along with assigned
seating, digital sound and super-wide screens.

Casey Mead, a
21-year-old student at University of California, Los Angeles, drove with
his girlfriend last month to Gold Class's location in Pasadena—a small
theater with six screens and a dimly lit lounge decorated with modern
art—to view the latest installment of the "Harry Potter" series. Mr.
Mead says they were willing to pay extra for the higher-end experience.
"We never go to the movies normally because for the same price you could
buy a DVD and not have to sit in a dirty theater to watch it," he says.

AMC's
Mr. Lopez says the company's research shows that most customers don't
mind the higher cost of dine-in theaters. And he says it's not simple or
cheap to turn theaters into full-service restaurants. It requires
kitchens, on-site food preparation, chefs and trained waiters who can
navigate in the dark during a screening.

"We had to play with the
menu to figure out what worked best for eating in the dark—you can't
have a dollop of ketchup fall on your skirt. And china plates are too
noisy, although composite works great," he says.

Arlene
Evangelista, 69, was upset when she visited AMC's renovated dine-in
theater in nearby Edison, N.J. The retired legal secretary wanted to
catch "The Fighter"—the new Mark Wahlberg movie about boxing—during the
Christmas holidays but was surprised to find a $10 surcharge for the
dine-in experience. Instead, she turned around and went home.

"I
think it stinks!" she said while walking out of the Menlo Park Mall that
houses the theater. "This place used to be a date place. It was so
nice. I think it's terrible to charge 20 dollars for a movie, especially
in this kind of economic climate. What about families?"

Movie
attendance has remained sluggish over the last decade. Last year, North
American movie theaters sold 1.35 billion tickets, down about 5% from a
year earlier and down about 6% from 1.44 billion in 2000, according to
the box-office division of Hollywood.com. But higher ticket prices
helped boost box-office sales to $10.57 billion last year, down slightly
from a year earlier but up about 36% from 2000.

It's too soon to
know whether dine-in theaters will be profitable. Theater chains note
that profit margins on concessions, such as popcorn and candy, are far
higher than on ticket sales. Half of a ticket sale represents profit for
a theater, compared with 85% from the sale of concessions. Executives
hope the dine-in theaters will also benefit from higher food margins,
although not as high as for snacks.

Movie-industry executives say
theaters have done little to innovate even as studios continue to spend
lavishly on movie budgets. To make matters worse, consumer spending on
DVDs, which for years propped up the studios' bottom lines, has
plummeted more than 40% since its peak in 2006, according to
media-tracking firm IHS Screen Digest, making the studios more reliant
on profits from the theatrical window.

Hamid Hashemi, iPic
Entertainment's chief executive and founder, says dine-in theaters,
although still a niche market now, could become mainstream especially as
audiences clamor for a higher-end experience. "The movie-going business
has always been one size fits all, but now we are realizing that if you
give people amenities, they are more than willing to pay for them," he
says.

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although the concept seems cool, i can't stop thinking about the undercooked chicken that i ate for lunch yesterday. not paying attention and eating very fast, i was almost done before i noticed that it needed several more minutes on the grill. this was from a food court at the mall by my office. if i was in a dark theatre, i would have ended up eating the rest. i guess my concern is more directed at the skill of the cooks and my inability to examine the food before i eat it (which i obviously don't do so good anyway).

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A brand new Muvico/Splitsville opened up here in Fredericksburg behind the mall that is directly across the street from my place just this past spring. That place is friggan NICE! They don't have in-theater dining, but you can take drinks into the theater from the bar. Not only that, just outside the actual theater is a full-service restaurant and they actually got some really good food. I was also impressed that it was actually pretty reasonably priced. Not only that, but to get tickets for the "VIP" section, which is also open to over-21 is worth the extra 5 bucks (especially on Wednesday nights when a ticket to see a movie there is only $5 to begin with). I've seen a few movies in that place already and it is tough to go back to a "regular" theater (considering there is a 15-screen Regal right across the street from my office (and also within 1/2 mile of my place). However, that Regal did do some recent renevations and it really does look nice. Just last week, say that new Tron movie in there and was pleasantly surprised at how nice it actually was.

In this day-and-age of ready access to high-def TV and good surround-sound setups, seems these theaters start needing do something above and beyond the old standard popcorn and candy affair to attract people to come and see a movie. Could we possibly be seeing a resurrgance of the "movie palace"?

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A brand new Muvico/Splitsville opened up here in Fredericksburg behind the mall that is directly across the street from my place just this past spring. That place is friggan NICE! They don't have in-theater dining, but you can take drinks into the theater from the bar. Not only that, just outside the actual theater is a full-service restaurant and they actually got some really good food. I was also impressed that it was actually pretty reasonably priced. Not only that, but to get tickets for the "VIP" section, which is also open to over-21 is worth the extra 5 bucks (especially on Wednesday nights when a ticket to see a movie there is only $5 to begin with). I've seen a few movies in that place already and it is tough to go back to a "regular" theater (considering there is a 15-screen Regal right across the street from my office (and also within 1/2 mile of my place). However, that Regal did do some recent renevations and it really does look nice. Just last week, say that new Tron movie in there and was pleasantly surprised at how nice it actually was.

In this day-and-age of ready access to high-def TV and good surround-sound setups, seems these theaters start needing do something above and beyond the old standard popcorn and candy affair to attract people to come and see a movie. Could we possibly be seeing a resurrgance of the "movie palace"?

5 dollars? woah its minimum 10 dollars here and some places 20. That is a steal.

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5 dollars? woah its minimum 10 dollars here and some places 20. That is a steal.

Yeah, I could not believe it myself. I've only recently just started dating my receptionist from work (talk about a cliche there - going out with the secretary [:)] ), and I took her to go see Red the Wednesday right before Veterns Day (which we had off from work). I went to buy the tickets for the show, as well as access to the "VIP" lounge upstairs, only to have it tell me it was only $20 for the both of us. I was like, "Wait a minute - did I put that in correctly?" It was a touch-screen affair to buy the tickets, so I thought I made a mistake. Double-checked it again, and found out that movies where only $5 on Wednesday nights there, plus the extra $5 for the over-21 VIP lounge access (and believe me it is WORTH it!). As a result, I've actually found myself starting to go there more often to check out movies, as that place really is nice, plus it is only just across the street from my house. I also just decided to treat her to dinner right there in the theater as well, and it really did turn out to be a very pleasent dinner (plus it was the perfect excuse to try the restaurant there as I've always wanted to). That upstairs lounge features a really nice, full-service restaurant as well, plus the food was quite good and actually reasonably priced.

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We have a movie tavern chain in our area and even a location in our town. It was fun to watch the Simpsons movie while drinking beer (what else?). Obviously I'm not much of a movie theater patron since that was quite a while ago, but I'd rather go to the movies there than at the megamall-o-plex.

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Guest Anonymous

Alamo Draft House in Austin, Texas, has been doing this for quite a while. Whenever I visit my son who lives in Austin I try to arrange to see at least one movie there. When you take into account what a typical trip to the movies costs plus dinner before or after, the cost is pretty much equal with the overall advantage going to the dine-in theater for conveniece. I like it. I wish we had one here in Colorado Springs.

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  • 2 weeks later...

There's a place called Hollywood; in the suburbs of Chicago. (I think that is the name).

We saw Inception there.

The sound was surprisingly good; (It was JBL Pro stuff).

The food was pretty good. (Many burgers named after different stars, plus chicken; etc).

They also serve beer; I had 3 Heinekins and was very relaxed by the end of the movie.......

The seating is spaced; and very comfy. I would say maybe 40 people max; if filled up.....

Not a bad seat to be found.

I would like to do it again, soon......

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We have had one of those for a while here: http://www.raleighwoodmovies.com/

It was an old 2 screen theater. They took out the theater seating and put in tables and chairs. Waitstaff takes your order before the movie starts and you get typical sport bar type menu items, nachos, burgers, wings, etc. Oh yeah, and beer. [H]

They also have digital TV hooked up to the big screens, so they do the Super Bowl and other big TV events as well. It's an awesome little place.
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We had one of those for years in Indianapolis, Hollywood Bar & Filmworks, but it closed in 2006. Largely b/c of the high cost of parking during events at the then new Conseco Fieldhouse. I saw True Lies there.

It's a good idea, but ultimately, I didn't enjoy hearing other people eat while I was trying to watch a movie. Popcorn is bad enough.

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