Film Industry Solidarity: "Mobile Carriers Sell 7,000-Won Tickets for 11,000 Won... Settlement Structure Must Be Improved"

Statement Issued Ahead of Next Year's Contract Renewals
Calls for Halting Bulk Contracts and Demanding Transparent Settlements

The film industry has criticized the "distorted ticket discount structure" between mobile carriers and multiplex theaters.

The Film Industry Solidarity for Overcoming the Crisis issued a statement on the 19th, saying, "Mobile carriers purchase tickets for 7,000 won and sell them for 11,000 won, pocketing the 4,000 won difference, but distributors and production companies are settled based on the 7,000 won price." The group called for a halt to bulk contracts ahead of next year's contract renewals.

The Film Industry Solidarity is comprised of twelve organizations, including the Korea Film Producers Association, the Korea Film Producers Guild, and the Korea Film Importers & Distributors Association.

They pointed out, "Some mobile carriers are purchasing movie tickets in bulk from theaters at around 7,000 won per ticket," and added, "Theaters' revenues are calculated based on this 7,000 won price, and distributors and production companies are settled accordingly."

They further criticized, "Mobile carriers sell the tickets purchased for 7,000 won to their membership customers for 11,000 won, pocketing the 4,000 won difference. While customers think they are receiving a discount, in reality, the mobile carriers are making a profit without spending on marketing costs."

The Film Industry Solidarity argued, "This unreasonable structure, where settlements are made based on the low price set by mobile carriers regardless of the actual amount paid by the audience, lowers the average ticket price for films and is a key factor undermining the reinvestment foundation of the Korean film ecosystem."

They also stated, "Theaters entered into large-scale discount contracts without prior consultation or consent from the distributors or production companies, who are the content owners," and demanded, "A consultative structure that respects the value of films must be established."

The lack of transparency in the settlement process was also raised as an issue. The Film Industry Solidarity stated, "Theaters and mobile carriers claim the contract details are 'trade secrets' and do not disclose the data," and added, "Content rights holders must be provided with accurate data on the prices and quantities at which their movie tickets have been sold."