Boxoffice - October 2018

CINÉSHOW RECAP
CHUCK NORRIS AT THE VARIETY
OF TEXAS 2018 TEXAN OF THE
YEAR GALA
It’s a challenge shared by their corporate
compatriot, and competitor, Cinemex, which first
entered the U.S. market in 2017 under the brand
name CMX Cinemas. Newly appointed CMX
CEO Jose Leonardo Martí joined Acuña onstage
at a CinéShow panel organized by the Theater
Management System provider Cielo. Martí shared
his circuit’s own concerns in expanding across borders,
not only when it comes to alcohol but for its
dine-in operations as well. Entering a new market
like the United States, CMX was cautious in how
it pursued its expansion. “Wages in Mexico are
substantially lower, and so is the price of a ticket.
Rent, leases—they are also substantially higher in
the U.S. than in Mexico,” said the CEO. “It’s a
very different market, substantially more competitive
than it is in Mexico.” Due to these factors,
CMX grew in the U.S. by the strategic acquisition
of circuits like Cobb, which included CinéBistro
locations that were custom built with the correct
infrastructure for cinema dining.
In general, the diversity of exhibitors vying
for moviegoers’ time has made exhibition in the
United States extremely competitive.
Distinguishing your brand from the rest
of the pack has become crucial, a factor
that Dallas-based circuit Studio Movie
Grill acknowledges, especially in Texas’s
highly competitive dine-in cinema scene.
Studio Movie Grill has been able to
stand out from competitors by adopting
what CEO Brian Schultz calls a
“conscious capitalism model,” using its
business activities as a platform for social
good. “That’s behind all the decisions we
make as a team, from our local communities
to our vendors and investors.
It makes it pretty easy to create a brand
that’s defined and has a perspective.”
It’s not simply about competing with
other circuits or engaging in an arms
race of theater amenities—finding the
right real estate has become the latest
battlefront for circuits looking to expand
their operations. As retail destinations
struggle across the country, developers
have increasingly set their sights on movie
theaters as a viable alternative to big
box stores. “When it comes to shopping
malls—with all the important retail players
going away—they understand that
experiences like moviegoing aren’t going anywhere,
we’re going to endure,” said Cinépolis’s Acuña.
“Developers know this, and every time a big box
store disappears, everybody is talking about putting
in a theater. Retail is about buying products, cinemas
are about getting an experience.”
In the United States that experience begins
online. Whether it’s on Google or social networks
like Facebook, digital platforms have become a
highly influential source for trailer views, show
time discovery, and ticket purchases. According to
research conducted by Webedia Movies Pro (parent
company of Boxoffice Media), 90 percent of
today’s moviegoers begin their cinema journey on
the web. It’s one of the main focus areas for digital
ticketing start-up Atom Tickets, now entering its
second year in the market. “Social media is the
whole reason why Atom exists,” said Max Lynn,
director of corporate development at Atom Tickets.
“Our co-founders were trying to go to a movie
and couldn’t get through the pinpoints of texting,
calling, emailing—just to organize a four-people
trip to the movies. When we surveyed the land-
34 BOXOFFICE ® OCTOBER 2018