Back in September I posted my blog Proof that moving to a High Fidelity customer experience is a winning strategy. In that blog I discussed the counterintuitive success AMC Theaters was having in reducing their movie theater seating capacity to improve the seating comfort, as well as the improvements they made to both the projection and sound quality and to their food and beverage offerings.
I believe this past weekend’s success of the movie Gravity is additional proof in the movie theater industry that High Fidelity is the formula for success. Yes, Gravity was a great movie with great actors and a great storyline, i.e., the performance was top rate. You need that for success. But what was most amazing about its opening weekend of a $55.6million box office, a record for movies released in October, was that moviegoers paid an extra $3 to $4 dollars to see it in a High Fidelity presentation, in 3-D. 3-D accounted for 80% of domestic ticket sales. And one-quarter of those customers paid an even higher premium price to see the super High Fidelity 3-D IMAX version, which accounted for 20% of sales.
This was a winning combination, a great performance in a High Fidelity presentation.
What this says as an analogy for other types of location-based entertainment (LBE) is that people will flock to a great performance when it is presented in High Fidelity and they will happily pay a premium price for that experience. When it comes to LBEs such as theme parks, family entertainment centers, bowling, laser tag and other similar venues, the performance is the entertainment attractions and the High Fidelity includes not only the presentation of the attractions, but also the setting it is in (it’s ambiance and comfort), the food and beverage and how the guests are treated – everything that shapes the total guest experience. Offer that up and you have a winning combination.