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'To Woo Young Moviegoers, AMC Thinks More Like McDonald’s' the New York Times summarizes the cinema chain's strategy that focusses on expanding beverage offer and rolling out recliner seating, over improved audio-visual experience, in its interview with AMC CEO Adam Aron. As AMC has already upgraded a portion of its screens, including Dolby Cinema at AMC. Cinemark CEO Mark Zoradi seems even more focussed on recliners in an interview with Box Office Magazine.
AMC:
Beating its national competitors to the punch, AMC Feature Fare will include cheeseburger sliders, four types of stone-fired pizza, chili dogs, salami bites, chicken tenders, three new popcorn flavors and — for the health-conscious — seven gluten-free snacks.
“And, yes, we now have a curly fry in the portfolio,” said Nels Storm, AMC’s senior culinary director, sounding like a proud papa. “We wanted to think more like a restaurant company.” Mr. Storm promoted the offerings as the most important advancement in multiplex concessions since the invention of the armrest cup holder.
AMC Feature Fare, which will begin rolling out nationwide this summer, comes with risks, starting with the cost of installing equipment and retraining staff. Mr. Aron said AMC planned to spend $700 million on theater upgrades in 2017. (That includes improvements well beyond food, including reclining seats.)<\q>
Cinemark:
Cinemark has increased the footprint of premium seating options across its U.S. circuit. What has been your overall experience implementing the concept?
It has been a huge priority for us. We put in recliner seating in over 600 auditoriums during 2016. We’re now at over 1,000 auditoriums domestically, just over 20 percent of our circuit. I anticipate that we’ll be equally aggressive in 2017 because it stands out in our customer research as the single most important amenity—followed by enhanced food and beverage. We’re seeing attendance lifts of 40 percent when we add recliner seating into a theater. In addition to that lift, it tends to increase use of our reserved-seating feature, meaning people aren’t in as big a hurry to lock down their seat and are more likely to stop by the concessions stand. It’s been a very good concept at returning our investment, and I expect that we’ll continue to expand that rollout in 2017.<\q>
AMC:
Beating its national competitors to the punch, AMC Feature Fare will include cheeseburger sliders, four types of stone-fired pizza, chili dogs, salami bites, chicken tenders, three new popcorn flavors and — for the health-conscious — seven gluten-free snacks.
“And, yes, we now have a curly fry in the portfolio,” said Nels Storm, AMC’s senior culinary director, sounding like a proud papa. “We wanted to think more like a restaurant company.” Mr. Storm promoted the offerings as the most important advancement in multiplex concessions since the invention of the armrest cup holder.
AMC Feature Fare, which will begin rolling out nationwide this summer, comes with risks, starting with the cost of installing equipment and retraining staff. Mr. Aron said AMC planned to spend $700 million on theater upgrades in 2017. (That includes improvements well beyond food, including reclining seats.)<\q>
Cinemark:
Cinemark has increased the footprint of premium seating options across its U.S. circuit. What has been your overall experience implementing the concept?
It has been a huge priority for us. We put in recliner seating in over 600 auditoriums during 2016. We’re now at over 1,000 auditoriums domestically, just over 20 percent of our circuit. I anticipate that we’ll be equally aggressive in 2017 because it stands out in our customer research as the single most important amenity—followed by enhanced food and beverage. We’re seeing attendance lifts of 40 percent when we add recliner seating into a theater. In addition to that lift, it tends to increase use of our reserved-seating feature, meaning people aren’t in as big a hurry to lock down their seat and are more likely to stop by the concessions stand. It’s been a very good concept at returning our investment, and I expect that we’ll continue to expand that rollout in 2017.<\q>