How the Motion Picture Industry Miscalculates Box Office Receipts
How the motion picture industry miscalculates box office receipts S. Eric Anderson, Loma Linda University Stewart Albertson, Loma Linda University David Shavlik, Loma Linda University INTRODUCTION when movie grosses are adjusted for inflation, the Sound of Music was a more popular movie Box office grosses, once of interest only to than Titanic even though the box office gross movie industry executives, are now widely was over $400 million less. So why is it then publicized and immediately reported by movie that box office grosses are often the only industry tracking companies. The numbers reported, when the numbers have instantaneous tracking and reporting hurts little meaning? The motion picture industry, movies with weak openings, but helps movies aware that inflation helps movies grow bigger, with big openings become even bigger as has little interest in reporting highest grossing people flock to see what all the fuss is about. box office numbers with inflation-adjusted Due to inflation, the highest grossing movies dollars that will show the motion picture tend to be the more recent releases, which the industry is stagnant at best. They are able to motion picture industry is taking full get away with it since most don’t know how advantage of when promoting new movies. to handle those inflation-adjusting As a result, the motion picture industry has calculations. developed “highest grossing “ movie lists from almost every angle imaginable - opening Inflation-adjusted gross calculations are day, opening weekend, opening day non- inaccurate weekend, opening day during the fall, winter and spring, opening day Memorial weekend, Some tracking companies have begun second weekend of release, fewest screens, reporting box office grosses with the less etc.
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