Media Concentration in Australia Franco Papandrea and Rodney Tiffen Introduction


Film Distribution Concentration Indices (2003-2009)



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Film Distribution Concentration Indices (2003-2009)




Cinemas

The Australian cinema exhibition industry is made up of three large chain operators (Greater Union, Hoyts and Village Roadshow) and some 140 smaller exhibitors. ABS (2001) data show that prior to 2000, the number of operators in the industry was in gradual decline at a rate of about three per cent per annum. At June 2000 there were 173 cinema businesses in operation with 97 of them earning less than AUD one million per annum. While the slow decline in the number of operators has continued over the past decade, the industry itself has grown both in terms of cinema screens and attendances.



In 2009, Independent operators controlled 31 per cent of total screens. The three major chains controlled over 1,000 cinema screens (over 50 per cent of the total), the rest being controlled by several other smaller chains. Overall, there is low to medium concentration in the industry with little change recorded over the period 1998-2009 (see Table 8 and Figure 7 for details).

Cinemas (1998-2009)

Market Shares (% cinema screens owned)

1998

2000

2002

2004

2006

2007

2008

2009

Greater Union

24.2

24.2

24.9

23.1

24.2

23.8

23.8

24.6

Hoyts

17.6

19.2

18.5

18.9

17.7

17.3

17.2

16.7

Village Roadshow

13.5

12.5

12.6

11.8

11.5

11.1

11.3

11.3

Reading




4.6

5.1

6.8

6.9

7.0

7.8

7.5

Palace







3.1

2.6

3.0

3.2

3.8

3.8

Grand



















1.9

1.9

Dendy



















1.3

1.3

Wallis Theatres

1.4

1.1

1.0

1.7

1.4

1.5

1.4

1.2

Others

43.3

38.5

34.7

35.1

35.3

36.1

31.5

31.7

Total box office revenue (nominal USD m)

390.7

411.7

475.5

630.7

643.3

760.3

904.0

876.0

Australian movies box office (nominal USD m)

15.9

32.4

23.5

8.3

29.7

30.6

33.9

44.1

Australian movies share of box office (%)

4.0

7.9

4.9

1.3

4.6

4.0

3.8

5

C4

57

60

61

61

60

59

60

60

HHI

1080

1133

1161

1084

1088

1048

1073

1087

Noam Index

80

86

90

87

89

87

90

92

Source: Screen Australia, http://www.screenaustralia.gov.au/research/statistics/wcbodistshare.asp


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