The movie business has—yet again—run up record numbers at the box office. In 2010, theaters around the world reported a combined total revenue of $31.8 billion, up 8 percent from 2009. While the industry certainly has its share of piracy problems, they aren't affecting box office receipts.
Those receipts are up even as the number of people buying tickets has declined. In the US and Canadian markets, the total number of tickets sold fell by 5 percent last year, but theater owners made up for the decline by raising prices an average of 39¢. The motion picture industry would like to assure you that movies remain a very good deal.
"The average cinema ticket price increased by 39 cents in 2010, consistent with the past few years, even as attendance to premium screening has increased (e.g. 3D)," says its new report on worldwide revenues. "Moviegoing remains the most affordable entertainment option—costing under $50 dollars for a family of four."
That is cheap—if, as the report does, you compare a movie night to visiting a theme park or attending a professional sporting event. (This calculation also appears to leave out concessions. At a recent theatrical outing with my wife, ticket prices had risen to $10 per seat, popcorn was $4, and the "smallest" drink came in a 32 ounce jug. A vending machine in the lobby sold boxes of candy for $3.50 each.) 
While most of the growth last year came from international movie screens, the US and Canadian market has learned that 3D projection can be lucrative. A full 21 percent of US/Canada revenue in 2010 came from 3D films—not a surprise when you realize that Avatar was the highest-grossing film of the year (and that just about every other subsequent film was released in 3D whether it made sense or not).
You might wonder, seeing the record box office revenues numbers roll in every year, just how bad the industry's piracy problem is. Current Motion Picture Association of America interim president Bob Pisano knows that his organization's terrific numbers raise this question. In the press release proclaiming the good news on theater revenue, the last paragraph suddenly switches gears. The bad days are still to come.
"Though innovation and technology continue to be a positive force for the theatrical business, driving moviegoers towards higher value 3D entertainment,” said Pisano, “the continued theft of movies online will have a sustained adverse impact on movie attendance in the coming years."
Pisaro concludes with the familiar, tired mantra, "It's impossible to compete with free."
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