To the casual observer, it looks as though superheroes are saving the movie business. The Dark Knight just brought in more than $150 million at the box office this weekend, beating the record set by Spider-Man 3 and showing once again that late-night screenings attract geeks dressed in costumes. Just two months ago, Iron Man grossed more than $100 million in its opening weekend. Every week it seems another record is set - even if it's only one for the best four-day-weekend opening in August.
All of this talk about records obscures an undeniable fact: Fewer people are going to the movies than ever before. So far, this year's domestic box office total is down just one percent, according to The New York Times. But the number of people going to the theater is down 3.7 percent - which is bad news for theater owners. Since they give most of their ticket proceeds to the studios - especially in the first few weekends, when demand to see movies is at its highest - theaters rely on sales of refreshments and advertising to make a profit. To them, fewer people means less popcorn, and less popcorn means less money.
As several articles have pointed out, movies earn less in the U.S. than they did years ago relative to their cost - the Times points out that the 1989 Batman earned $40 million in its opening weekend - more than its $35 million budget - and went on to make $251 million total. By that measure, The Dark Knight looks as grim as its trailers - it is reported to have cost about $180 million, and modern blockbusters often do a third of their business on opening weekend.
This sounds like bad news for Hollywood, but it isn't. As U.S. box office grosses decline, international business picks up, especially in new markets like China. And income from other sources - DVD sales, TV pay-per-view, and even iTunes - continues to increase. These new revenue sources now shape the movies that get greenlit - for good and ill. The fact is, theater attendance has been declining since the '50s, when television was introduced, and the popularity of DVDs has only fueled the trend.
Ironically, the fact that it's so easy to watch movies at home seems to have compressed the window in which films can pack theaters. Hardcore fans who really want to see a movie now do so in the first couple of weeks, while everyone else seems to wait until they can watch it on DVD. Transformers brought in an impressive $150 million on a holiday opening weekend last year, but that was almost half of what it made in the U.S. Then, when the movie came out on DVD, it sold 8.3 million copies its first week in stores. Most of those buyers are people who, years ago, would have seen the movie, or seen it again, in a theater.
So the movies are fine. But the movie theaters might need saving.
Robert Levine is the MOLI View contributing editor for Business and Technology.
The first thing you'll need to do is get your head straight. Whether you had the gig for 10 days or 10 years (or more), it's over. Though there may be a slim chance that you'll be returning - it happens, though only rarely - it's time to prepare for what's next.
And there will be a "next." The cliché about one door closing and another opening is true. But unless you're retiring, going back to school, or have a wealthy spouse or partner, a lucrative freelance gig, or another job lined up, you're ready to immediately begin your new gig: getting your next job.
Of course, you've already begun networking (as we discussed last time), updated your resume, and have samples of your work ready and maybe even a website to display your stuff. Some people also like to post their resumes online. That's up to you. I'd rather maintain my privacy and control who sees it.
I also don't like to post my resume on job boards like Monster and CareerBuilder for the same reasons. I've received solicitations for jobs completely unrelated to my experience and ambitions, but because I appeared professional and at least minimally literate, I got recruited. WTF? No thanks.
Should you file for unemployment compensation? Maybe. You've been paying into it through payroll deductions for as long as you've worked, but the payout is criminally small and if you have severance pay or income from a freelance gig or a consultancy, it's deducted from the tiny sum you'll get in employment compensation. Oh, and they also take taxes out.
But the same state agency that's responsible for unemployment compensation may also have a "job center." It varies, but many states, counties, and cities offer services ranging from job assessment to training and support, counseling, and more. Some have computers, fax machines, resume-writing classes, etc. It you didn't get any outplacement help from your previous employer, you may want to check this out. Again, not every place offers these services but many do, especially in this crappy economy.
Did you get a lump sum from your previous employer as severance or payment in lieu of vacation, sick leave, etc.? Don't blow it. Stick it in the bank, preferably in an interest-bearing account. And make sure you keep your health insurance active. Your ex-employer, by law, has to offer a COBRA ,which allows you to continue the same coverage that they previously paid for (along with your contribution, of course). But now, you'll not only pay your share, but theirs, too, plus 2-5% in administrative fees.
Go see an independent insurance agent and discuss your needs with them. You may have a family member who requires special treatment, but you may not, and will be able to save money with limited coverage and high deductibles. The important thing, though, is to make sure that there's no gap in coverage. If you don't have insurance and get a new job, the insurer could make you wait longer than usual for their coverage to kick in. Again, be sure to talk to a professional because everyone's situation is different.
What else can you do while you're preparing to find that next great opportunity?
A few things.
Like what? Tell you next time!
Richard Pachter is the MOLI View's Joker .
Last time, we told ya about the signs to look for if you're in danger of getting laid off, downsized, cut back - or fired. This time, we'll get into one of the most important things to do to overcome that funky situation: Networking!
The smart thing to do is to dig your well before you get thirsty, so networking ought to be an ongoing thing. But what is networking? The term is thrown around a lot, so let's define it before we proceed. It's being in touch with colleagues, business connections, and other professional and personal contacts. That's not such a big deal, is it? But the fact is, many of us operate within a limited sphere, usually confined to friends, family, and the people with whom we work. It only makes sense to discover new job opportunities from other people in the biz!
The good news is that even if you're somewhat anti-social, e-mail is an easy way to touch base. You don't have to actually have a human interaction, but can just simulate one instead.
I'm kidding, of course, but the point is that it's easy and painless to drop an e-mail to someone you know … or even someone you don't know very well - or at all. Politely (and briefly) relate your situation (you got laid off, cut back, or whatever) and ask them to keep you in mind. You might also gently inquire about attaching a resume, but don't do so without asking first!
Social networking sites are cool too. MOLI certainly offers resources to connect, as does MySpace and Facebook. But the best site for business and professional connections appears to be LinkedIn. It's free (with paid upgrades, naturally), and has a pretty clean interface. It's not as customizable as it could be, but that's a strength, since it forces a certain amount of consistency. You build a profile with your resume and then connect with other members based on common work history, educational experience, and other factors. You can also reach out, and accept, or reject overtures from others, too, as you wish.
Of course, human connections are better than virtual ones, so joining professional groups, attending networking events, or just picking up the phone and calling everyone you know are all worthwhile.
If you're seeking a new job, it's always wise to network. True, you may not be comfortable announcing your situation to the world, but given the shitty economy and tightening job market, it's smart to put yourself out there a bit.
A friend once told me that when you need it, the people you expect to help, don't, and those that you don't expect to do anything are the ones who come through. That's not always the case, but the thing is, you never know.
Next time, we'll talk about organizing yourself for your new job: looking for work!
Richard Pachter is the MOLI View's Dark Horse.
Last season on Heroes, my favorite show, one of the characters received a Nissan Rogue for her birthday. She really liked her Nissan Rogue.
Then her Nissan Rogue was stolen. And her father was very upset that she didn't take better care of her Nissan Rogue. This subplot, which had absolutely nothing to do with the rest of the show, was about as exciting as watching paint dry. On a Nissan Rogue.
In fact, the theft of the Nissan Rogue wasn't really a subplot at all - it was an ad in disguise. Nissan paid to get its Nissan Rogue in the show. Nissan might call this product placement or "embedded advertising." I call it a huge bore. If I wanted to find out more about the Nissan Rogue, I could go to a website about the Nissan Rogue.
Now the government is looking into regulating these "stealth ads," and it's about time. At a time when television viewers are both more able and more likely to fast-forward through traditional commercials, product placement isn't a bad business model. But viewers need to know the difference between shows that are trying to entertain them with stories about the Nissan Rogue and shows that are trying to sell them on the benefits of the Nissan Rogue.
One has to wonder whether anyone old enough to drive a Nissan Rogue is naïve enough to believe that a character on Heroes drives a Nissan Rogue because it makes sense for her to drive a Nissan Rogue rather than because the show's creators were paid to include a mention of the Nissan Rogue. But networks need to come clean, anyway.
Right now, the FCC requires that product placements be identified as such during a show, but this is usually done very quickly during the credits. Networks need to identify ads while they're appearing, by running a crawl across the bottom of the screen that marks them as such. If viewers can't fast-forward through ads for products like the Nissan Rogue, as they do now, they should at least be able to ignore them, as they've been doing for years.
Naturally, networks are complaining that running such announcements in the crawl will interfere with the flow of programming. An American Advertising Federation executive told USA Today that it would be "terribly disruptive." But would it be any more annoying than my constant mentions of the Nissan Rogue?
Robert Levine is the MOLI View contributing editor for Business and Technology.
Continuing from last time, here are the signs you might be shown the door, and what to do if and when the axe falls.
First of all, trust your gut. That's really just another way to say that you need to pay attention to your perceptions, intuition, and instincts. You probably have a good sense of how things appear when they're "normal," so you usually can tell when things are a little weird, strained, or goofy. Here's a pretty good list of warning signs.
A friend told me once that he kept seeing his boss and other managers in meetings with HR people and just KNEW that he was gonna get blown out. He went so far as to check with a HR person he knew, calling her at home over the weekend. She told him that there was nothing going on that she knew of, so he chilled a bit, but the hairs on the back of his neck were still at attention, and he SWORE that something was up. Sure enough, he got cut a few days later.
Why was he so sure? For one thing, he knew that the company was in transition and he'd had a blowup with the big boss a few months earlier. The issue had been "settled" and everyone made nice, but he was wise enough to know that some wounds don't heal … and that some heels wound! He figured that it was just a matter of time and he was right. Here are some things to do to prepare … just in case.
If the axe DOES fall, make sure that you get the best deal possible from your soon-to-be former employer.
Remember, when you're ushered into that little room and handed a piece of paper with your severance terms, DON'T SIGN IT. The company, naturally, wants you to, but you will usually have a few days to look it over, so take your time. Bring it home with you and read it carefully, preferably with your spouse or partner.
You may be in a state of shock, numb, or just very angry or sad, so give yourself some time to review it. A while back, I was laid off, but managed to get the company to extend my health benefits a bit, just by asking. You can even negotiate for more money, a later departure date, use of the office or anything else, just by asking. You won't necessarily get everything you ask for, but if you don't ask, you'll never know.
In the event of a layoff or cutback - when several individuals or A LOT of them are let go - your leverage and ability to negotiate will be limited. The company probably has a set of guidelines they're following and exceptions are rare, but it still doesn't hurt to ask.
Above all, stay cool. Don't yell, scream, make threats, or get violent. Crying is OK; for women, too.
Seriously, though, in today's economy, layoffs are par for the course. But as a wise man once said, "Dig your well before you're thirsty." In other words, always be prepared.
Next week, we'll talk a little bit about networking and dealing with the first few days of a layoff. The following week, we'll resume our job interview/employment discussion. If you're confused, please don't be. I'll lay out both series - with links to each part - next time!
Richard Pachter is the MOLI View's Exception To The Rule.
When the Grim Reaper comes to your office, no one is safe, so what can you do about it? Not much, though if you get a hint that a layoff may be coming, there are a few things that you can do to prepare.
We interrupt our series on job interviews this week and next for another important issue: Getting fired. Or laid off. Cut back. Whatever you call it, it's no less painful, yet in companies across the country, it's happening with greater frequency as a result of the increasingly crappy economy.
No one is immune, but what can you do about it? Not much, though if you get a hint that it could be in the cards for you … or think there's a chance, there are a few things that you can do to prepare.
First of all, watch your expenses. If you were planning to buy a house, a new car or make some other big-ticket purchase, see if you can put it off. Unless you know that you can afford it without the steady income of your job, it could be a big problem, so be careful!
Prepare your spouse or partner by making them aware of the situation. It's probably best not to blurt anything out and declare, "I'M GONNA LOSE MY JOB!!" which may not be true, but lay the groundwork, just in case. Ditto with other family members. Use some discretion; try not to make anyone cry or unnecessarily upset, but communication is important throughout the process.
Go to the doctor. The dentist. The shrink. Use your insurance while you still have it. Of course, companies are supposed to offer you the opportunity to continue coverage, but you'll be paying the whole thing out of your pocket - plus. That means if you've been paying 30 percent and the company's been paying 70 percent, you'll be forking out 100 percent plus a (minimum) 2 percent administration fee. That can get very expensive, so deal with any medical situations sooner rather than later. Ditto with prescriptions. Get 'em filled NOW.
Vacations and sick days? Up to you. Many companies will pay you for those days as part of your severance, but some will screw you, so watch out!
Make sure you have copies of your work. This can be dicey. You don't want to violate any laws or promises you made (especially in writing) regarding company secrets, but you may need samples of your work to get your next job - or to DO your next job, so get copies of your work within the boundaries of your agreement, but keep a low profile. Don't start printing out reams of paper or e-mailing a zillion attachments to yourself. A large-capacity flash drive - or several - should suffice.
Should you start looking for another job? Well, it's always smart to keep your eyes open, even if you think you're secure. Applying for a new gig while you already have one is not a bad thing, but be careful; it's tough to tell who's who online and you may be sending an e-mail application to your current employer without knowing it!
Most of all, whatever you're doing, be cool. Stay calm. Do your job and don't attract any negative attention. Often, decisions are made thousands of miles away and the people you work with might have no clue, but keep your eyes open for signs that you MAY be heading for the exit - either on your own or with an escort.
Next week: the signs, and what to do when you're blown out.
Richard Pachter is the MOLI View's Beacon of Hope.
That signpost up ahead ... it's The Twilight Zone ... the period when you don't know what the hell is going on with your job interview. But let's shed a little light on the subject.
Before the interview is over, you need to know what's next. Or at least try to find out. Unfortunately, though you might expect the interviewer to be the one driving the train, it ain't always so. Often, the interviewer is a screener, a buffer or a non-player, and they just report to the real decision-maker. From there, it's up to them. Experience has taught me that from this point, you've got about less than a 50-50 chance of ever hearing from them again. Sounds crazy, but there are a zillion reasons for this.
I once interviewed for a gig and thought it was a done deal. I followed up by phone and e-mail and then started seeing postings for a job above the one I'd pursued and realized that they'd decided to create a new position. I wasn't interested (or qualified) so I dropped it, but I assume that during the internal consultation process, the principals realized that they needed to deal with that need first. I wasn't upset, but a little surprised that they didn't figure this out earlier. I'm sure mine wasn't the only applicant's time they'd wasted.
But before you walk out the door, ask what's next: Who is the decision-maker? When will they make their decision? Will they be contacting you? If you don't hear from them by the end of the week (or whenever), is it OK if you get back to them? Who should you call? What number (or e-mail address)?
It's also a good idea to ask - sometime during the interview - if there are other candidates for the position and if they're internal (within the company) or external. You may not get an answer, but surprisingly, you often will. If there are internal candidates, you may also get an indication whether or not they're seriously being considered for the job. Some companies have to post jobs externally, even if they have someone already lined up, but it never hurts to ask. Just be cool about it.
Following up after the interview is important, though doing so doesn't ensure that they'll follow up with you. Regardless, it's good manners, at the very least, to send a note (by e-mail) thanking the interviewer for their time and consideration. You can also reinforce your value as a candidate by expressing your interest and enthusiasm for the company and the gig. But don't overdo it. And don't send flowers, candy or anything else to the interview - unless you just fell in love and don't care if you get the job or not!
The next step is the toughest: waiting. You shouldn't bug anyone, so just chill. Or actually, DON'T chill; keep looking for a job. Even if you think you aced the interview and nailed the gig, there's no guarantee that you actually did. Pretend you didn't, in fact, and keep looking.
Next: how and where to keep looking, and ways to follow up without being a pain in the ass.
Richard Pachter is the MOLI View's Pillar of Sanity.
In the past few months, I've had another reason to feel better about not living in the suburbs. My usual reason is that I grew up in the burbs - Stamford, Conn., to be exact - and I'm still traumatized by its 'broad lawns and narrow minds.' And now, although New York City can seem like the most expensive place on earth, the suburbs suddenly don't seem like such a bargain.
Sure, I pay $3000 a month for a one-bedroom apartment. But my heating bill is zero, my electricity bill is usually about $50 and my transportation costs rarely top $30 a week, including a taxi or two. (I do own a car, but it's more of a hobby than a mode of transportation.) And although my rent and living expenses will go up, as everyone's do, they're not increasing nearly as quickly as those of people who live in the suburbs, who have big houses to heat and big cars to drive.
Fact is, amid its dirt and grime, New York City is relatively green, since most people use public transportation, take taxis for relatively short distances and live in large buildings that don't cost much to heat. Newer fancier exurbs, with their McMansions and SUVs, may be full of gardens and green spaces, but they're environmental disasters. So much energy is required to heat some of those houses - especially those with grand two-story entryways that allow the heat to rise - and they're so far away from anything that the people who live in them have to spend a good deal of money on gas. With houses spread so far apart, bicycles and public transportation simply aren't practical.
In an age of $4-per-gallon gasoline, that lifestyle suddenly looks more expensive. (And if the price of oil keeps rising, who's to say we won't be looking at $5 per gallon by the end of the year?) This couldn't come at a worse time, especially for those who live in the outlying suburbs. In general, those communities have already grown less desirable as cities get safer and longer work hours make short commutes more important. That's why Real Estate prices are mostly falling faster in the exurbs than in cities. (This is obviously a generalization, but I think it's true in enough places to qualify as a trend.)
What happens now? Many families that pushed themselves to buy in the exurbs are already stressed by falling home prices, and in some cases by adjustable rate mortgages. Now they also have rising fuel prices to contend with - especially if they live in colder climates. What happens when they try to sell their houses and potential buyers realize how much their commutes will cost?
Robert Levine is the MOLI View contributing editor for Business and Technology.