Movie refunds

How's this for confidence in your film? (Or cheap marketing gimmick... you decide)

From the good ol' NY Times, original article here

Good job they didn't try this with "Gigli"
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June 30, 2005

Like the Film or Get a Refund (Pay for Popcorn, Regardless)

By FELICIA R. LEE

You've bought the tickets, loaded up on popcorn and dashed to find good seats. But the film turns out to be a snooze. Not to worry, if that film happens to be "Cinderella Man." AMC Entertainment is offering viewers in 30 major markets refunds on the spot if they don't like what they see and Cinemark will offer the same beginning tomorrow at many of its theaters.

"Cinderella Man," a Universal Pictures film starring Russell Crowe as the Depression-era boxer James J. Braddock, has received mostly good reviews, but flopped at the box office, taking in just $34.6 million after its first two weeks. That was below projections, since it was supposed to take in $28 million on its opening weekend alone; it made only $18.3 million.

So an advertisement for the film in 30 markets now reads: "AMC believes 'Cinderella Man' is one of the finest motion pictures of the year! We believe so strongly that you'll enjoy 'Cinderella Man,' we're offering a MONEY-BACK GUARANTEE."

Pam Blasé, a spokeswoman for AMC Entertainment Inc., the nation's second-largest theater chain, said such a guarantee is "very unusual," but a measure of the company's faith in the film. Ms. Blasé said that Richard T. Walsh, chairman of film for AMC, contacted Universal executives for their endorsement of the idea after it became apparent that "Cinderella Man," as Ms. Blasé put it, was a "great film that got lost in the summer fare."

She did not have exact numbers, but recalled that AMC last undertook such a program in a few theaters in 1988 for Julia Roberts's first major film, "Mystic Pizza."

Though it will take a while to collect data on how many people requested a refund, Ms. Blasé said that preliminary numbers show that "only a handful" have done so. The offer, in about 150 of AMC's theaters, including ones in New York City and Los Angeles, began on Friday. Theatergoers must show their ticket stubs or proof of purchase for the refund.

The similar promotion by Cinemark Inc., the nation's third-largest film exhibitor, will be in about 25 markets that not do compete with AMC theaters, said Terrell Falk. These include Colorado Springs, Colo.; Louisville, Ky.; and Amarillo, Tex.

"We saw the promotion AMC did and talked to Universal about doing something similar," Ms. Falk said. "It opened our eyes," she said of the AMC promotion. "This movie is a gem."

The money-back offer is one of a few devices used to boost summer filmgoing. Weekend box-office receipts have been down for 18 consecutive weekends when compared with last year, and box-office revenue is down 6 percent and attendance by 10 percent compared with last year, according to the Exhibitor Relations Company, which tracks box office.

To lure theatergoers even into blockbusters like "Star Wars: Episode III - Revenge of the Sith" this weekend, 20th Century Fox is offering a "buy three tickets and get one free" deal through the Fourth of July. And on June 19, when Walt Disney offered sneak previews of the film "Herbie: Fully Loaded," on 800 screens, free tickets went to anyone named Herb, Herbert or Herbie.

But a money-back guarantee is not necessarily a smart marketing strategy, said Tom Sherak, a partner in Revolution Studios ("Anger Management," "Christmas With the Kranks").

"I hope it works for them, but unfortunately the moviegoing public's interest will not be piqued by getting their money back," Mr. Sherak said. He found the strategy a miserable failure in 1994 for the 20th Century Fox remake of "Miracle on 34th Street." That film did not do well. Of the comments accompanying the roughly 1,500 ticket stubs returned to the studio for a refund, he said, very few people said they did not like the film. Some, he said, admitted that they just needed the money.
 
Zensteve said:
How's this for confidence in your film? (Or cheap marketing gimmick... you decide)

Hmmm....$50 mil in the hole, completely lost their legs...it's the 15th round, Crowe can barely stand up, he's a beaten fighter ladies and gent...wait, what's this? It's an amazing comeback, a left, a right, a left, an uppercut, now he's thrown a telephone, yes, a telephone! And it's a knockout, folks, Cinderalla Man makes an miraculous come-back.


Okay, I vote cheap marketing gimmick.
 
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