Jefferey Katzenberg wants More 3D Movies and People to Pay More to See Them
It's no secret that Jefferey Katzenberg is 3D films #1 fan. He has been talking about how 3D is the future of movies for a very long time now. As we have seen recently 3D films are becoming more and more popular. Today during the 3D Entertainment Summit the DreamWorks Animation CEO challenged Hollywood to make more live-action 3D movies and theaters to charge the audience more to see them... is he nuts!?
Ticket prices here in LA are already coming around $12 to $14 bucks! It cost around $16 to see a movie in 3D! Prices are ridiculous already, and he wants them to charge more!? Then to challenge Hollywood to make more 3D films? It already looks like studios are doing that, it seems like every other film I am reporting news about these days has something to do with 3D. So I think they are moving into the direction of making more 3D films, at least all of the big budget action films are. There has been talk recently of an Iron Man 2 being transferred over to 3D, and The Hobbit, then there are all the 3D horror movies that are being made.
Here is what Katzenberg told the summit:
I find it curious how slow the live-action business has been in jumping on this opportunity. I find it so counter-intuitive. In a business where margins are sinking like a stone in water, suddenly something comes along that for a small incremental investment you create huge incremental income possibilities for you. Why every studio isn't out making three, four, five 3D movies is inexplicable. I don't understand what they don't see.
Wow, maybe because not every movie being released NEEDS to be made in 3D. It's a big extra expense for everybody. On top of that there are only about 2000 theater screens right now that have the digital projectors to show the 3D films. By the end of next year that number will rise to about 13,000 screens. Until there are more theaters I don't see the point in making a bunch of 3D films. Studios are already fighting over the 2000 screens that are out there to show the 3D movies that they have made, could you imagine if each studio had 5 3D movie to show? Not all of them would make it to the screen, it would be a huge headache. Katzenberg goes on to say:
The consumer has shown now time and time again not just a willingness but an aggressive ambition to trade up for a premium experience. There's been zero price resistance, in the worst economy in our lifetime. And as the economy changes and improves, that's only going to continue to grow.
He then went on to talk aboout the exhibitors and how they are being timid about charging a premium on showing 3D movies and says:
The research we've done everywhere in the world said the consumer said they got a valuable experience at a $5 premium. And nobody has done a $5 premium.
So what he's saying is that he wants us to pay $17 to $19 bucks to see a 3D movie!? I'm sorry but as big as a movie geek that I am I'm not going to pay it. It's not worth it. What makes a movie good to me is not the fact that it is in 3D, I go to the movies to see a good story. If the story is good and I enjoy the film, awesome, I'm happy, but I don't need to pay $5 extra bucks to see that story in 3D, I need that $5 to buy my large soda! You can count me out.
What do you think about his whole out look on 3D movies?