Thu 3 Dec 2009
You can’t win by restricting consumer choice
Posted by lizweston under Liz's Blog
[2] Comments
AMC just made a dumb decision by banning outside food from its 304 movie theaters.
I wish companies would get over this idea that the answer to their financial problems is putting the screws to their customers, particularly when said customers have many, many other options.
It’s like Chase’s short-lived decision to levy “inactivity fees” on customers who don’t use their cards enough, or Bank of America’s threat to impose annual fees on people’s accounts. Those of us with good credit can and do simply take our business elsewhere. Faced with a shrinking pool of good customers, issuers have to back off. (Chase already has, and I suspect BofA will, too.)
Yes, attendance at the movies is falling, and no, the ticket prices alone don’t cover movie theaters’ costs. But there are other ways to cope than telling people they have to eat your overpriced (and violently unhealthy) snacks, or go without.
Most of the theaters around here have similar policies. It’s not the only reason I’d rather stay home with a computer game or hang out with friends than go to a movie but it certainly doesn’t make me reconsider.
(Commercials before movies and having to adhere to the theater’s schedules reduces the advantages over TV. Pretty much a movie theater has all the disadvantages of live theater AND TV, with few (if any) advantages.)
Definitely agree, Liz! Movie theaters have really always banned outside food but it seems they’re enforcing it more. Consumers do have choice to walk away from some things like banks but when choice is limited through govt regs we unfortunately are stuck paying higher prices for gas, insurance, and many other things no matter who we buy from.