Entwistle
Greater Union, Australia's biggest cinema loop and a major international player, stood at the forefront of premium cinemas' introduction when its joint-venture partner Village introduced Gold Class at Crown Casino in 1997.
Loop, which has 1,000 screens in Oz, Germany, the Netherlands and the United Arab Emirates, also was ahead of the curve with 3-D cinemas and megascreen concept G-Max.
"Cinema is all about segmentation," says m.d. Ross Entwistle. That's where the premium tickets sell, where the profit is and where the company focuses its future investment.
"Australians are going to the cinema a little less frequently than the Americans, but our average price is about 35% higher because there is a willingness to spend on premium concepts," says Entwistle.
Flagship 16-screen George Street Cinema in Sydney is being overhauled ahead of a relaunch in April as Australia's first wholly digital site.
Pilot project is a partnership with GU's technology division and the major studios, a change from what was a general wait-and-see attitude to the digital revolution in Oz. Previously, players were disinclined to invest until the digital technology became cheaper and better and the industry standards were settled.
In the last year, loop has seen profit growth in all territories except Germany, which saw a 5.6% drop in earnings.
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