Small movie theaters struggle in Jakarta

In a city where entertainments are countless, movie theaters seem to remain the main option for weekend leisure activities. The Jakarta Post reporters Budiman Moerdijat, Devi M. Asmarani, Edith Hartanto, IGN Oka Budhi Yogaswara, Stevie Emilia, Dwi Atmanta, Meidyatama Suryodiningrat and Ridwan Sijabat explore the many challenges facing the local theaters.

JAKARTA (JP): Many moviegoers have experienced disappointment over rushing to watch the latest movie at a theater on a Friday night only to find the tickets are sold out.

While home entertainment is only a click-on-the-remote- control away -- with the birth and evolution of laser discs, video compact discs and digital video discs -- going to a theater can be a hassle.

Long queues in front of ticket booths, even an hour before the movies start, are a common sight on weekends.

University of Indonesia's sociologist Paulus Wirutomo said theaters provide a balance between the need for high technology and high (social) contact.

"People are fond of having the warm and fun surroundings of a theater," he says.

At the same time, theaters keep updating their services with sophisticated systems that improve the quality of both the sound and the picture of their movies, to compete with the rapidly progressing home entertainment varieties.

The THX system, which produces high audio and visual qualities, can make watching films like Jurassic Park an ultimate experience, almost as intense as riding a roller coaster.

Hollywood seems to feed on the development of audio and visual technology, releasing more bomb-explosion and car-chase infested films.

Let's just say that one is less likely to fall asleep during a movie in the theater.

And with local representatives of big Hollywood film companies, Twentieth Century Fox, Warner Brothers and the United Pictures International, local theaters are able to get the latest films sooner than they used to. With some playing within a month of their release in the United States.

But are the cinemas really raking in all that much money?

Theaters may be a choice for the majority of people at the weekends, but the rest of the week, many theaters are empty, having less than a fourth of their seats filled. Data have shown a continuous decrease in the number of theaters.

According to the Association of Indonesian Movie Theater Owners, there were 3,048 screens countrywide in 1990. Within one year, the number dramatically dropped to about 2,000. This year, there are 1,350 screens left.

Like other industries, movie theaters have their ups and downs. But for the last few years, the industry seems to have been going at an even slower pace.

This decline can be attributed to several things: monopolistic practices, the operation of private television stations and the availability of more home entertainment systems.

Indonesia's cinema history goes way back to the 1950s, when the business reached its peak. When color television came in 1978, the business gradually declined, and dropped considerably during the second half of the 1980s due to the popularity of videos and laser discs.

Meanwhile in 1984, something happened. A local tycoon, Sudwikatmono, wrought a radical change to the face of Indonesian cinemas when he bought Kartika Chandra, an ailing cinema in South Jakarta.

Sudwikatmono, owner of the widely diversified Subentra Group, divided the theater, which originally had 900 seats, into three theaters, each with 250 seats.

The change also included the use of smaller screens and the installment of more comfortable seats. Soon, such comforts attracted more visitors than the original theater.

Like the film industry, the cinema business is a success story for some and a flop for others. Only in this case, most of the success stories come from those under the Subentra Group, which now owns theater chains nationwide.

In 1987, Subentra opened another theater, Studio 21, in the heart of Jakarta's commercial district. Thus began the expansive period of the 21 theaters, each bearing the same numerical suffix.

In 10 years, 21 theaters have sprung up in many strategically located sites.

The Association of Indonesian Movie Theater Owners says that out of the 106 theater buildings in Jakarta, 30 are operated by the 21 Group.

The association's chairman, Johan Tjasmadi, said independent movie theater owners must learn from the group's success.

"The 21 Group's key to success is that it can provide better entertainment," said Johan, who has chaired the association for 29 years.

There were owners who once protested the 21 Group's expansion in the movie theater business.

"But I told them that with or without 21 Group, many movie theaters would close down if they did not start improving their facilities," Johan said.

But all the success accomplished by the group came from its almost monopolistic influence in the domestic film distribution industry.

Despite the 1992 film law banning monopolistic practices, the Subentra Group, through its subsidiaries, has managed to control the distribution of imported films here.

Independent movie owners complain that they are often denied good movies by the distributors. The independent theaters can only play movies two years after they are played at the 21 cinemas, movie owners said.

Last year, city councillors expressed concern that about 59 low-class movie theaters in the city were on their last legs. People have begun to abandon the theaters, finding easier access through television more suitable to their tastes.

Many theater owners have already given up doing business, selling or renting their theaters to the 21 Group. Those who seek security in the arms of the 21 Group's management have no control over their theaters and are only entitled to monthly rental fees.

The owner of the Viva theater in South Jakarta, who sold some of his shares to the 21 Group in 1989, receives about Rp 9 million a month in rent fees, with a 5 percent rise every year.

Meanwhile, those who are adamant in keeping their cinemas must watch painfully as more and more challenges threaten their businesses.

Low-class movie theaters, which rely on playing Mandarin and Indian films, must compete with the country's four private television stations, which show these types of films daily.

Even the plush 21 theaters are not threat-free. New forms of home entertainment, along with a vast and cheaper choice of pirated films, can keep audiences at home on weekdays.

"Why bother going to the theater if people can conveniently watch films in their homes?" an independent theater owner said grimly. (team)