Marcus

Market position

Marcus Theatres is characterized as the fourth largest theatre circuit in the United States, and Marcus Hotels and Resorts as a leading hotel ownership and management company; earlier in the 2000s Marcus Corporation was described as one of the largest lodging chains in the US and a leading national theatre chain. The company is a component of the S&P 600 index.

The company combines cinema exhibition and hotel operations under one public holding company and emphasizes majority ownership of the real estate underlying its properties, supporting a balance-sheet-focused approach; it also cites in-house expertise in hotel management, turnarounds, development and historic renovations.

Technology

The theatre circuit invests in exhibition amenities and formats, including DreamLounger recliner seating, premium large-format screens and advanced sound systems, and has adopted online/advance ticketing platforms through partnerships with MovieTickets.com and Fandango.

Go-to-market

Theatres are marketed directly to local moviegoing markets with pricing and programming initiatives such as $5 Tuesday admission, the "Theatre Entertainment Network" alternative programming block and the "Indie Focus" independent film program, alongside ticketing distribution partnerships with MovieTickets.com and later Fandango as preferred ticketing partner. Hotels are operated under independent and branded flags across multiple states.

Moviegoers, including adult and family audiences and art/independent film viewers, and hotel guests ranging from upper-upscale and lifestyle travelers to limited-service lodging guests, plus meeting and event organizers.

Geography

Headquartered in Milwaukee, Wisconsin, with 78 theatres and 17 hotels and resorts across 19 states and 95 total locations as of 2023. Marcus Theatres serves Wisconsin, Illinois, Iowa, Minnesota, Missouri, Nebraska, North Dakota, Ohio and Pennsylvania, and following the Movie Tavern acquisition expanded into Arkansas, Colorado, Georgia, Kentucky, Louisiana, New York, Texas and Virginia. Marcus Hotels and Resorts properties are located in states including Arizona, California, Illinois, Minnesota, Missouri, Nebraska, Nevada, Ohio, Oklahoma, Texas and Wisconsin, with one vacation club in Wisconsin.

History

After the first Ripon theatre, Ben Marcus acquired theatres in additional Wisconsin towns; by 1941 the chain had more than half a dozen theatres, introducing amenities such as Wisconsin's first dairy bar and "love seating." The chain reached 36 theatres by 1958, when Marcus began diversifying — opening Marc's Big Boy restaurant in Milwaukee in 1958 and his first hotel, the Guest House Inn in Appleton, in 1960. The company entered hospitality in the 1960s and made its first major hotel purchase with the Pfister Hotel in Milwaukee, whose renovation was publicly praised by Milwaukee Mayor Henry Maier. By the late 1960s the enterprise comprised 32 separate companies and partnerships; in 1972 Ben Marcus incorporated them into Marcus Corporation and took the company public, with his family retaining a majority of shares. By 1980 the company ran 83 theatres, 109 restaurants and 13 hotels. Ben Marcus retired as CEO in 1991 after 56 years in business and his son Steve became chairman; hotels became the top earner, with a presence in 28 states by 1996. The KFC franchises were sold by 1992 and the last Marc's Big Boy closed in 1995. Baymont Inn & Suites was sold to La Quinta Corporation in 2003, and the company later sold off a large portion of its hotel business. Marcus Cable, which merged with Charter Communications in 1998, was founded by a member of the Marcus family but had no direct corporate connection to Marcus Corporation.

Risks & controversies

The theatre business was materially disrupted by the COVID-19 pandemic: Marcus closed all Marcus Cinemas and Movie Tavern theatres after 8:30 p.m. showtimes on March 17, 2020 indefinitely. Reopening began slowly in late June 2020 and expanded on August 21, 2020 around the release of Tenet, but with that film underperforming, product delays and a case surge in Wisconsin, Marcus re-closed some theatres and cut others to weekend and Tuesday-only operation by early October 2020, and extended the redemption period for its 2020 reusable popcorn bucket refills through 2021. Results are exposed to film release schedules and travel/lodging demand cycles.