Quote:
Originally Posted by Sliver
I guess I was referring more to the operating margin. 96% sounds pretty sweet as a margin, but the operating margin is more relevant to a theater and if people understood that better I think they'd be less hostile/critical of concession prices.
Not backpedaling or disagreeing with you...I just think movie concession pricing needs to be viewed in terms of operating margin versus basic margin on individual concession items. I didn't explain my point well so your explanation is appreciated.
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That's basically where I was.
I also doubt it's 96%, maybe on the Pop, unlikely but possible on the popcorn, not even close on the candys, nachos, hot dogs.....
That said on talking about how it's great business to run a theater concession, you need to consider the operating margin. Which in other comparable industries I have more knowledge of is closer to the mid/low 20 percentage range.