Movie Tickets at $35 Could Become Norm in Saudi Arabian Market
Movie Tickets at $35 Could Become Norm in Saudi Arabian Market
(Bloomberg) -- If you think $20 is a lot for a movie, spare a thought for film fans in Saudi Arabia, where ticket prices could reach $35 including taxes.
Demand at $20 a ticket was so strong at a theater in Riyadh run by AMC Entertainment Holdings Inc. that Chief Executive Officer Adam Aron was predicting far higher prices by summer, when the company will complete refurbishments that include new seating.
“I’ll bet you we are closer to $30 to $35,” Aron said Monday in Las Vegas at CinemaCon, the industry convention for the National Association of Theatre Owners. He said men and women sat together in Riyadh and that tickets for day two sold out in less than a minute.
The convention kicked off with a panel on Saudi Arabia’s decision to lift a 35-year ban on theaters and the opportunities there. Andrew Cripps, president of international theatrical distribution for 20th Century Fox, flagged concerns about a 25 percent tax on entertainment, which he described as one of the highest in the region. He also said that on opening night, some moviegoers in the kingdom were recording what was on screen, in this case, Marvel’s “Black Panther.”
“Hopefully that is not a habit,” Cripps said. “There are lots of issues to flesh out and discuss but overriding sentiment is that it’s a tremendously exciting opportunity.”
Fox’s animated tale about a bull “Ferdinand” is likely to be the first Fox film to hit Saudi Arabia, Cripps said. Aron said Warner Bros.’ “Rampage” featuring Dwayne Johnson had cleared censors and Disney’s “Avengers: Infinity War” is going through that process now.
To contact the reporter on this story: Anousha Sakoui in Los Angeles at asakoui@bloomberg.net.
To contact the editors responsible for this story: Nick Turner at nturner7@bloomberg.net, Rob Golum, Dave McCombs
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