Boxoffice-August.28.1948

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: August ' j Tftm^utd S(^^*f^ Small Ciiy Circuits COME new thinking is being done on the subject of theatre circuits. Just before and just after sound came in all big-time exhibitors were hypnotized by the hope of owning the biggest and best theatre m the country. It was the era of film palaces, largely set in motion by the spectacular Roxy. Their value as showcases was demonstrated and for years it was generally understood that 85 per cent of rentals for major companies came from so-called key cities. Recently Charles Skouras remarked casually during a conversation that 60 per cent of profits were coming from cities of 25,000 or under. About the same time a prominent New Jersey operator put the same thought in another way by saying: "Showcases are aU right; they're a big help for subsequent runs in surrounding territory, but why own one? Let the showcases do the gambling." Ted Gamble holds this theory. He has been developing a very important circuit of theatres in smaller cities. Another company is developing a new circuit in New Jersey and eastern Pennsylvania— all in small towns and medium-sized cities. There are many others. There may be widespread developments along these lines during the progress of the three pending antitrust cases through the courts. Drive-Ins Overbuilding? T ESS than two years after the start of the big rush to construct drive-in theatres a number of circuit heads are declaring that overbuilding has set in. Those who went in at the start made a lot of money—so much in fact that the stories of their profits grew as they spread. They are still making money, but the margin of profit is going down because the costs are going up. Competition has begun and builders now want something more than a fence and a concrete block projection room. They are landscaping, with evergreens planted here and there, paved driveaways, parking areas for waiting cars, children's play areas and an increasing number of doodads. This runs into money in metropolitan areas, or near them. Some circuit owners who dived into the drive-ins to stave off competition report they didn't stave off the competition; they simply pushed it into another spot. Sidney Lust of 'Washington says frankly that he can foresee the day when there will be a sharp tapering off in drive-ins across the northern part of the country, because there will not be enough customers to go around. Cost Problem Worse \Jt7HEN Y. Frank Freeman of Paramount talked about costs recently he spoke as an authority with experience in all branches of the business. He boiled the whole discussion down to basic elements by saying that production costs were up 100 per cent. 18 y JAMES M.JERAULD distribution 85 per cent, theatre operation 65 per cent and admissions 50 per cent over prewar levels. At a quick glance this would seem to be a pretty hopeless problem for all concerned. Increased business has been the silver lining. Even so, the exhibitor is in an uncomfortable position. Much of the current falling off of revenue is due to ticket prices. Housewives paying a dollar a pound for meat can't take the family to the theatre twice a week. A small town exhibitor could price his customers right out of the theatre by an increase at this time. When a housewife decides she is going to get along without everything she does not absolutely have to have from day to day the icebox benefits, but theatres feel the pinch. Some experimental price-cutting has been done by theatres in widely separated sections. In spots where factories have slowed down, the results have been satisfactory to the theatres. Patronage jumped. There is no prospect that this move will spread, however, because the margin between overhead and grosses is not only slim; it's unpredictable. Firm for Exclusive Video Investments Is Formed CHICAGO—Announcement was made this week of the organization of Television Fund, Inc., the first open-end investment company to specialize in securities in the field of television, electronics and radio. The group is headed by Chester D. Ti-ipp., president of ConsoUdated Copper Mines, Grip Nut Co. and chairman of Economic Ti-end Line Studies. The Fund is registered with the securities cormnission and shares will be available to the public through investment dealers shortly. According to Ti-ipp, the Fund was conceived as a "logical medium for participation in the future of the television industry, which we regard as the most dynamic growth potential available to the American investor." In order to keep fully posted on developments with the field, the Fund has retained an advisory board and a technical consultant. This group includes George P. Adair, consulting radio engineer and former chief engineer for the Federal Communications Commission; Dr. William Everitt, head of electronics engineering at the University of Illinois; Dr. F. E. Terman, dean of the school of engineering at Stanford university. Consultant wiU be Keith Higgins, former vicepresident of the American Broadcasting Co. The Irving Trust Co. of New York is custodian of the Fund. Mel Gold Is Nominated Video Film Unit Chief NEW YORK—Melvin L. Gold, advertising and publicity director of National Screen Service, has been nominated for the presidency of National Television Film Council. Yales Sees 75% Drop In British Revenue NEW YORK—The American film companies will only take out approximately 25 per cent in revenue from England during 1946-47, Herbert J. Yates, president of Republic Pictures, predicted this week. He has just returned from a nineweek survey of the film situation abroad. He believes the major companies must do "something drastic" to relieve the current 45 per cent British quota situation and he favors Herbert J. Yates stopping the shippage of all American product if it will help ease matters. SOLUTION IN 10 DAYS? "We had 'em licked the last time and if we had held out we could have written our own deal," Yates said. However, he believes that Eric Johnston, now in England conferrmg with J. Arthur Rank, Harold Wilson and other British film leaders, may have a favorable solution to the problem in the next ten : days. Yates, who talked to the important British : exhibitors, studio heads and the managers of the various companies, found that the exhibitors, except J. Arthur Rank, feel that they can't make a profit without American films. Ninety per cent of the British public prefers American pictures and only likes an occasional -British film, many of which are "slow and draggy" and lack star names. In Scotland, it is more difficult to sell British pictures than it is in America, Yates said. Rank has been urging the British government to subsidize production because he maintains that motion pictures are Britain's greatest asset and wiU teach the world "the British way of life," the British film magnate said. Republic has no plans to produce films in England even to use up blocked funds which "may have less value if the British government should cut the value of tl.e pound in half as the French did with their money," Yates said. Republic, which distributed its product through British-Lion, has no expense of maintaining offices in England, as the major companies do. MAY OPEN IN PARIS In France, where Republic can have 12 of the 121 features to be shown in France every year, the company might open a Paris branch, Yates said, and sell its product to agents for distribution in the other parts of France. Regarding recurrent rumors that he may sell Republic Pictures to Jacques Grinieff, to the First National Bank of Boston or to other interested buyers, Yates said that he had never even met any of the reported buyers and would not consider selling for less than $5,000,000. "I'm having too much fun with this company which I built up from a small start," he said. Republic will have approximately 50 fea tures on its 1948-49 program, including 22 westerns. Sixteen to 20 of these will be in Trucolor and there will also be four serials on the new schedule, Yates said. BOXOFFICE : 28, 194 fofe i(oliin (oJ«dP' Hu of nil Hit tElSWti milt* l|Teid!tlda sii It's lid battiti liiissH tctimiii 'fetlwili lb Illy' 'U), '"inn
I I. : August "f Success Formula for Selling " II Foreign Films Without Sex a LAST! (Les llnfanis du Paradnf * ,:,t. tNOHSX TITUS In Columbus^ the World plays importations For their values as entertainment and art and without a trace oF sensationalism makes the product pay oFF at the boxoFFice. By FRED OESTREICHER Columbus World, only foreign language THE house in Columbus, is showing that art theatres need not exploit sex to operate successfully. Opened 14 months ago, the 325-seat World is situated on North High street near Ohio State university and the upper middle class suburban of Clintonville. Its conservative policy has paid off. Most striking contrast in selling policies was the case of the Italian film, "Open City." This attraction was given the sex slant in advertising when it played its downtown first run. The World later played the film but without resort to such lines as "Sexiness Hollywood seldom approaches" which had been the theme of the first run campaign. Norman Nadel. theatre editor of the Columbus Citizen, in commenting on the contrast in campaigns, said: "The downtown theatre erred badly in advertising it, as did theatres in other cities. Life magazine had said 'It's violence and plain sexiness steadily project a feeling of desperate and dangerous struggle which Hollywood seldom approaches.' The movie ads shortened this to 'Sexiness Hollywood seldom approaches.' That did it. As a result, some people came to the downtown theatre expecting a racy movie and were disappointed. Others, who would have appreciated the greatness of 'Open City' stayed away. The World, happily, is not advertising this as a sex, or "adults only" picture, though it is strictly adult fare. The 'adults only' tag serves only to attract every youngster who thinks he can look 18 years old. The World concentrated on the idea that this is an eloquent film which has been given enthusiastic praise by the nation's corps of critics." The sex campaign evoked what Nadel called "vehement protest" from many in the city. lUilsl Postcards announcing forthcoming attractions go to an extensive mailing list. A feature is a brief resume of what the picture is about, so patrons will Itnow exactly what they are getting. That is a topoff on the temper of a con- .servative, home-loving community like Columbus and its likes and dislikes in the matter of film entertainment and how it is sold. Therein lies the difference between metropolitan centers, with large transient or polyglot populations, and a settled American community like the capital city of Ohio. Nativeborn population of Columbus comprises 94 per cent of the population of the city. Last census gave Columbus 309,000 within the city limits. But the World draws from a radius of 50 or more miles, all from predominantly native-born areas. However, there are strong ties linking native-born Columbus residents with European countries. Many third and fourth generation Germans, Italians, Scandinavians and Central Europeans have family traditions which are evoked by foreign language films. For instance, when the World recently played its first German-language film since the w.ar, "Die Fledermaus," Manager Charles Sugarman noted many patrons he had not seen before. He had contacted various German singing and fraternal groups, including the venerable Columbus Maennerchor. one of the oldest singing societies in the city. The World is essentially a neighborhood theatre turned into a foreign language house. It is conservative throughout its operation, from the dignified front, with modest display cases to its direct mail advertising, newspaper ads and publicity. Sensationalism is out, definitely. BLUE PRINT OF OPERATION The World is operated by the H. and S. Theatres, with Lee Hofheimer and Al Sugarman as co-owners. The firm also operates three neighborhood houses—Indianola. Avondale and Champion. Manager Sugarman, son of Al, formerly was an assistant director at the RKO studios in Hollywood. He came back to Columbus six months ago. succeeding? Charles Radow, first manager of the art house, who resigned to become promotion manager of the Columbus Philharmonic orchestra. Blueprint of the World operation would include the following points: 1. Close contact with its patronage via direct mail, screenings for Interested groups, critics, university and high school language classes and foreign language clubs and societies. 2. Consistent advertising in local dailies, with occasional ads in foreign language papers. (The World also advertises regularly in the Ohio State Lantern, daily issued by the journalism department of Ohio State University. The school daily runs regular reviews and publicity on World attractions in returnl. 3. Adhering to a consistent single feature policy. (Most Columbus dowTitown and neighborhoods have double features'!. 4. Seek to show first run films. (The World has departed from this policy on a few oc- ON THE COVER Charles Sugarman, manager of the World Theatre m Columbus, stands in front of his theatre. The dis- Dlay case indicates the reserved manner in which the theatre advertises its foreign-made product The method pays off. CZZILII3] i g^-Tr^.. NOW ^^ TAGLIAVINI ^ // p \flf\}vl I IM 3 ACTS g| Here are two foreign-language pictures which recently played the World. In neither advertisement is a single phrase used to point up the sex angle. casions, in the case of "Open City," "Vacation From Marriage" and in revivals like "Fantasia," "Christmas Carol." "Private Life of Henry VIII" and "Mayerling." However, these revivals have been quite popular with World patrons. 5. Book talked-about foreign films as quickly as possible when they are in the magazines, being discussed on the air and thi-ough other media. (The World has recently arranged to have a New York booking office obtain its films at the earlest date). The World runs a trailer asking patrons to leave their names and addresses for the mailing list. Announcement cards on new attractions are sent regularly to the mailing Ust, which now numbers in four figures. Recently Manager Sugarman instituted "coke matinees." At intermission, free cola drinks are served to patrons as they remain seated. This innovation is proving particularly popular in hot weather. Adult admission is 65 cents, one cent more than the weeknight rate at downtown first runs and 20 cents higher than the top neighborhood rates. Only advanced price run was for a, revival of "Henry V" with reserved seats at $1.80 top. This engagement, incidentally, was not popular with World patrons. Keeping the operating budget low is another secret of success in a small-capacity theatre like the World. The staff includes one operator, two cashiers, an assistant manager who doubles as doorman, chief usher and general utility man, one matinee usherette and one evening usherette and one candy girl. A small candy stand is located to the left of the entrance. Presenting a variety of attractions in another secret of success, says Manager Sugarman. English-language film, naturally. ar% the most widely liked but French. German, Italian and Swiss films have met with good support. <strong>Boxoffice</strong> record is held by Walt Disney's "Fantasia" which ran four weeks last winter. Standard run is two weeks. BOXOFFICE : 28, 1948 19
Page 1 and 2: TOTAL NET PAID CIRCULATION OF THIS
Page 3 and 4: LAME f US FOR Every M-G-M Exchange,
Page 5 and 6: lOTHiNG EVER HELD YOU LIKE ALFRED H
Page 7 and 8: ., „4 I what's wrong with the mov
Page 9 and 10: HAPPY-GO-LUCKY HORACE who brings yo
Page 11 and 12: VVINCHELL ^."^ "^^Scalln ^^^^bon W/
Page 13 and 14: pi i
Page 15 and 16: : August 240 NEW THEATRES OPEN IN '
Page 17: pflTH SCOTUND k SPY RING True-to-li
Page 21 and 22: h at 20th Century-Fox . . . Septemb
Page 23 and 24: I EXCEPTIONAL EXPLOITATION PACKAGE
Page 25 and 26: United Artists to Release 18 Films
Page 27 and 28: ' ||{ Ao«tcU*t ^eftmt J:: MOT ONLY
Page 29 and 30: CHESTER FRIEDMAN HUGH E. FRAZE Asso
Page 31 and 32: SUMMER STUNTS F. B. AUston. manager
Page 33 and 34: c backgrounds—almost any object w
Page 35 and 36: DON'T PAY ASCAP, N. Y. ITOA URGES E
Page 37 and 38: Artist with chintz and Chippendale.
Page 39 and 40: . . Loretta . . Leonard . . Auditor
Page 41 and 42: I . . . The . . The . . Beattie . .
Page 43 and 44: ' I tors I pients ; banquet, : Augu
Page 45 and 46: M Artist with chintz and Chippendal
Page 47 and 48: S j i I GLENDALE, I .11 dllK» Ssti
Page 49 and 50: I Broadway—The I (RKO), ! Denham
Page 51 and 52: Skouras Outlines Plans For NT Fall
Page 53 and 54: . . Charles DENVER "The four distri
Page 55 and 56: I I Alhambra—Life ; Palace—Huth
Page 57 and 58: . . . Harold . . . Jerry . . Arnold
Page 59 and 60: . . . Members . . Lester . . Gordon
Page 61 and 62: Huge Order lo DeVry For 16mm Machin
Page 63 and 64: Giveaways in Theatre Under State Ba
Page 65 and 66: . . Regina . . When . . Betty . . J
Page 67 and 68: I i DES I at I pheum's I MANHATTAN,
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' DETROIT—William Probers Will St
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. . . Bob . . . Summer . . . Donn .
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I i PITTSBURGH ; Film j Franklin I
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1 ' ) Trade I ! flower" I I United
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: August Jt'5 Coming SOON! ! SWAP-A
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; August . . . Joe . . Mark . . Vis
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Darden and Schmitt Open Houston Fir
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More Than 75 Standard Drive-Ins Now
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'Ruthless' Is Leader As Heat Hits D
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Racetrack Applies For Gables Ozoner
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. . . Fred , . . Mrs. . . Al . . W.
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: August 1 21 1 caused Comedy Gross
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izil. • In IJ j having I BOXOFTIC
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' I , TORONTO—An I I during I tha
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. . Renne . . Mesho . . Jack 'Milli
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oSltii rBOXOFFICE BAROMETER • EXH
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an IsSji a lot of film and ihe time
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: THE ti,' I I CHECK RUNNING TIME W
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.i.K CHECK RUNNING TIME WITH LOCAL
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I I in I JULY 24 CHECK RUNNING TIME
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nd trade press reviews. The plus an
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Opiaiotts oa Currtat Productioas; E
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Boxoffice-August.28.1948

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