Cinema’s next Digital Transition is upon us and we don’t have a VFP

[James Gardiner]

Hi all.
I wrote a newsletter for a small organisation in Australia called "Small Cinema owners" which is likely of some interest to members here.

It is called: "Cinema’s next Digital Transition is upon us and we don’t have a VFP subsidy to help us."
https://www.smallcinemaowners.com.au...dy-to-help-us/

I know it is a contentious issue, so feel free to disagree and voice any opinions if you like.

[Frank Cox]

I genuinely don't know how a lot of theatres are continuing to operate. Leases in malls are pretty much set in concrete and the cost of staff can only be reduced by laying people off which would in turn devalue the customer's experience and give him even less reason to return the next time.

If, as I've heard before, the last 10% of the customers make up 100% of the profit, what do you do when that last 10% (plus) disappears.

[James Gardiner]

From my perspective, running a cinema has been extraordinarily profitable over the years. A lot of cinemas have very deep pockets in the hope of having a business worth selling after the current disruption passes.
So many even in this compressed attendance are still making money, or if not. are willing to skate through the famine looking for an exit on the other side. So.. it will take a long time for many to turn away.
Thats my read...
Plus, cinema owners, don't know what else to do if not run a cinema. For most, it's all they know. So they just keep going even in commercially nonsensical conditions.

[Mike Babb]

When I was doing installs during the previous rollout, for smaller customers, I would always recommend they start setting aside money for the next round of equipment upgrades. I told them 5 years worst case, 10 years best case. I am not sure how many did it. Cinemas that find themselves needing upgrades and no money to do it, are suffering from a lack of planning but also untimely results of covid, strikes, and streaming.

[Mike Blakesley]

EDIT: I removed the reference to a virus problem, since the problem turned out to be just bogus McAfee ads.

The original point I started out to make with this post was, the term VFP is wrong -- it should be VPF (virtual print fee).

[Leo Enticknap]

I think this must be an issue with Mike's computer: the link took me to James's article directly.

Sorry in advance if this sounds pedantic, but the reference to "celluloid projectors" in the second paragraph immediately dented my confidence in what was to come. Celluloid (or more formally, nitrocellulose) release print stock was discontinued by Eastman Kodak in February 1950, and within two to three years had completely disappeared from almost all projection booths worldwide. Yes, I know that "celluloid" is widely used as a synonym for motion picture film in general, including acetate and polyester base stocks; but using it that way when writing for an audience of technically knowledgeable readers (as distinct from the general public) raises a bit of a red flag.

Apart from that, agreed with most of it. Like Mike, I advise the owners of new projectors that I install that their viable service life is likely around a decade, and the owners of older projectors I service to start the financial planning to replace them. But for many smaller businesses, the latter can be easier said than done, especially in today's economic climate.

[James Gardiner]

, the term VFP is wrong -- it should be VPF (virtual print fee).

Doh,
I am very dyslexic, but I don't let stop me. (Thank god for computed assisted error detection) But yes. I missed that. but then again it seems many others did too.

[Mike Blakesley]

I was able to see the article finally. The problem is definitely real, and Mike Babb's solution above is what we did. Still, we were forced to upgrade sooner than we intended to.

There is a 3-screen theater in Laurel MT (120 miles from us) that is operating only one screen right now. I expect it's due to projector issues in the other two screens and they don't want (or don't feel the need) to upgrade at this point.

[Mark Gulbrandsen]

I wish they had had the LED screens ready for this round, but they still have a bit of work to do on them to make them practical. The couple that I have seen actually look remarkable. BARCO's light steering projector might be an acceptable alternative for a while. Anyway, any new technology needs to overlap significently with the old in order for it to catch on...