Your Money — Theater Snack Bars — Profit Monsters
If you've been to a movie in the last 20 years, you know just how expensive a proposition that can be, but have you ever wondered just how much profit the theater makes off popcorn and soft drinks?
Well, hold on to your wallet.
A business school professor at the University of California, Irvine decided to figure out just how much the average theater makes in profit off things like popcorn and soft drinks and the profit margin would make General Motors jealous.
Let's say your favorite theater charges $8.00 for a large popcorn. How much does that large box of saturated fat cost the theater?
Well, the answer is about 90 cents.
Now, right away with popcorn, you've got to have something to drink, right? So, let's order a large soft drink to go with that popcorn.
1 Large Fountain Drink = $ 6.25
That 6 buck fountain drinks costs the theater about 50 cents and that includes the drink, cup, lid and straw!
So, the actual cost of one person getting popcorn and a soft drink is $14.25. Since very few people go to movies alone, that can really add up. For two people the price tag becomes $28.50 and that price does not include tickets to get into the theater and see a movie.
The actual cost to the theater is-- Ta DA- $2.80 - You do the math.