The days of empty movie theaters are long gone. Moviegoers are flocking back to the big screens.
With a post-pandemic consumer spending surge at theatres, it’s time to think outside the box when it comes to food packaging at concession stands. These days theatres are not only seeing blockbuster turnouts with long lines, but the average guest is also spending more on food and beverages.
In fact, the largest movie theater chain in the world, AMC, reported a dramatic increase in food and beverage spending post-pandemic. According to AMC’s First Quarter 2023 Earnings Report1, food and beverage spending was $7.99 per patron in the U.S., far surpassing $5.58 per patron in the second quarter of 20192.
Other movie theater chains are seeing similar spikes in consumer spending.
“Average purchases of food and beverage (F&B) are going up,” Rolando B. Rodriguez, Senior Advisor, Marcus Corp Chairman, National Association of Theatre Owners. “We believe consumers are enjoying many of the items they couldn’t purchase during COVID and additional F&B products that have been added to theatres in the past couple of years.”
The spike in spending at concession stands impacts a broad range of industries beyond movie theaters, including stadiums, festivals, concert venues, and other social events that are often at full capacity. While there’s a tremendous amount of growth in spending at these venues, many are struggling to find labor to keep up with demand.
“Whether you’re a distributor, manufacturer, truck driver, you name it; there are shortages. Every industry is facing that,” said Marianne Abiaad, Executive Vice President of Royal Corporation, an Envoy Solutions company.
So why is finding the right food packaging key to meeting new consumer demands? Abiaad says that post-pandemic consumers want food packaging that is convenient, efficient, and appealing.
“When you are going as a guest, you are spending a lot more money at the concession stand,” said Abiaad. “You want to go, and you want to have a stress-free interaction.”
At Envoy Solutions, we partner with clients to develop and design customized food packaging solutions to capitalize on the spending surge while also managing labor shortages.
To meet new consumer demands, food packaging should have the following attributes:
Keeps Food Fresh
- No one wants to eat cold or stale chicken fingers, so you want to use packaging that keeps food fresh and warm, such as sealed bags.
Easy to Assemble
- When dealing with long lines and reduced staff, you don’t want your associates unnecessarily wasting time and labor to assemble the food packaging. Envoy Solutions company Royal Corporation developed a customized “Smart Tray” for one of our clients to reduce several steps in the assembly process, enabling them to build trays faster and deal with long lines more efficiently.
Designed for Dark Environments
- You need food packaging that is easy for the consumer to use, especially since they may be opening it in a dark environment like a movie theater. The last thing you want is for a guest to spill everything when trying to open the container.
Cost-Effective
- You want food packaging that uses cost-effective materials because the tray is for customer convenience and is not considered a revenue driver.
Creative Branding
- Your food packaging is an outstanding opportunity to advertise upcoming movies at the theater or to promote products you offer, such as soda or popcorn.
“We are not box movers; that’s a given. You are supposed to get the right products, and you’re supposed to get it at the right price to your customers,” said Abiaad. “But if you are the right partner, you have to find the products that save labor, and you want those products to be the right fit for those guests.”
Are you looking to capitalize on the post-pandemic surge in spending at concession stands? Whether you operate a movie theater, festival, concert, or sports venue, our food packaging experts will listen to your needs and identify customized solutions to enable you to navigate new trends and consumer demands. Contact Envoy Solutions to find the right solutions for your food packaging operation.
1. AMC Entertainment Holdings, Inc. Reports First Quarter 2023 Results
2. AMC Entertainment Holdings, Inc. Announces Second Quarter 2019 Results
