AMC Theaters, a major cinema chain, is now introducing a new and controversial change that moviegoers will need to adjust to: up to 30 minutes of ads and trailers before the start of a film. This new policy is a result of AMC’s recent agreement with National CineMedia, a company that provides advertisements to theaters. The move, which began this month, is expected to significantly affect the viewing experience for patrons at AMC locations across the country.
What’s Changing?
Previously, AMC theaters typically showed a brief selection of ads and trailers before the main feature, but now, the “platinum spot”—the short period right before the movie starts—will feature even more ads, potentially stretching the wait to 25 to 30 minutes. This is a stark shift from the norm, which usually included a few trailers, followed by a final message from the theater.
AMC’s deal with National CineMedia is designed to help the company increase revenue, especially after experiencing some tough financial periods. This deal marks a significant change for the theater chain, which had previously rejected the idea of running ads before movies in 2019 due to concerns that it would upset moviegoers. However, after competitor chains like Regal Cinemas and Cinemark Theatres agreed to similar arrangements, AMC reversed its position, believing that research had shown customers could tolerate more ads without affecting attendance.
Why the Change?
AMC’s decision to embrace more ads comes in the wake of financial struggles. While the company was hit hard during the pandemic, it still faces challenges like the 2023 actors’ and writers’ strikes and rising competition from streaming services. AMC’s first-quarter earnings report in 2024 marked its worst in nearly 30 years, forcing the company to explore additional revenue streams.
To save costs, AMC has already closed around 169 theaters since 2019, though it still operates approximately 540 locations nationwide. The increased ad revenue from National CineMedia may help bolster AMC’s finances, but whether it will lead to a better customer experience remains uncertain.
Moviegoer Reactions
The reaction from moviegoers has been mixed. Some consumers are disappointed that their movie-going experience will now be delayed by a long block of ads and trailers, while others understand that AMC is facing financial pressure. Still, the overall sentiment is that people are unhappy about the extended wait times, with many voicing their frustrations on social media.
In a related incident, AMC made headlines last year when a customer shared a screenshot of a $2 “delivery fee” added to their movie snack purchases, which sparked outrage among moviegoers. Complaints flooded in, with many accusing AMC of adding hidden charges and making the theater experience less enjoyable.
AMC’s Struggles and Future Outlook
While movie ticket sales are rebounding overall, they are still significantly lower than pre-pandemic levels. In fact, box office sales were down 3.3% in 2024 compared to the previous year, and down 23.5% from 2019. Despite this, big summer blockbusters like Jurassic World: Rebirth and Superman are expected to boost box office revenue, which is currently on track for an 18% increase over last year. This indicates that while AMC may face short-term difficulties, major movie releases could help the company recover.
A Long-Term Strategy?
AMC’s approach of introducing longer ad blocks and other charges may be a necessary evil to keep their business afloat, but whether it will win back or alienate loyal customers remains to be seen. While some may tolerate the extended advertising in exchange for the return of big blockbusters to the big screen, others may find it too much, opting instead for streaming or at-home movie nights.
The move to add up to 30 minutes of ads and trailers before movies at AMC is just the latest in a series of changes that have left moviegoers feeling frustrated with the cinema experience. While AMC’s financial struggles are understandable, this shift raises questions about how much more audiences are willing to tolerate. Whether this tactic will improve AMC’s bottom line or drive away more customers remains to be seen.