I’m a big movie fan, and I especially love going to see a film on the big screen. What I don’t love, however, are those prices at the concession. A medium bag of movie popcorn costs about 60 cents to make, but can retail for as much as $6, a whopping 900% markup. But according to The Globe and Mail’s Susan Krashinsky and John Sopinski, concession profits can actually mean survival itself for movie theatres.
“A Canadian movie theatre’s profit margins on a movie ticket are roughly 48% of sales, but that theatre gets to keep about 80% of what you pay for food. In the United States, those margins are closer to 90%.” Continue reading