Monday, 29 April 2013

Does a high Rotten Tomatoes rating mean longer legs?

We often assume that if a movie gets good reviews, it will also be more successful at the box office over its theatrical release.  This makes intuitive sense - the better-reviewed the movie, the higher its quality, the better its word of mouth and the stronger its legs.  Conversely, poorly-reviewed movies will be seen as bad, will not generate strong word of mouth and will disappear from theatres sooner.

Movie ratings on review aggregator sites like Rotten Tomatoes and Metacritic are frequently used as a proxy for a movie's quality.  Review aggregators gather lots of reviews for a movie, and then aggregate them into a consensus opinion of whether the movie is good or bad.  For example on Rotten Tomatoes, if over 60% of reviews for a movie are positive, the movie is certified as 'Fresh' and it's supposed to be worth seeing.  If more than 40% of reviews are negative, the movie is rated as 'Rotten'.

This column will look at whether a movie's score on Rotten Tomatoes is a good indicator of how it will perform after opening weekend.  Are the best-reviewed movies also the best-performing post-adjust?

The following table is a summary of every movie with a wide release since January 2008 to the date of writing - over 750 movies - and their rating on Rotten Tomatoes, with their average delist multiplier and delist/adjust multiplier.  The delist/adjust multiplier is obtained by dividing the movie's delist price on HSX by its adjust price, and is used as a better comparison for movies with irregular opening weekends, such as mid-week opening or a four-day opening weekends.

RT Rating
Number of
movies in sample
Average Delist Multiplier
Average Delist/Adjust Multiplier
0-4
16
2.12
78.2%
5-14
74
2.42
89.8%
15-24
83
2.45
90.3%
25-34
89
2.36
89.4%
35-44
103
2.52
93.6%
45-54
85
2.56
95.3%
55-64
84
2.66
98.5%
65-74
72
2.66
99.0%
75-84
72
3.10
109.8%
85-94
70
3.20
111.5%
95-100
14
3.87
128.4%
762
2.72
99%

Here is what the relationship looks like in a chart:


This appears to confirm the logic that the better the RT rating, the better the legs.  The relationship between the RT rating and the average delist/adjust multiplier is very strong, with a very strong R2 of 0.86.  (R2 is the coefficient of determination, and used in statistics to determine how well the trendline fits the data.  The closer R2 is to 1, the better the fit).

On average, movies that received 75% or more positive reviews delisted above their adjust price.  In particular, movies with 95-100% positive reviews performed, on average, much better than the generally well-received with 75-95% positive reviews.

Movies with an RT rating of 75% or lower delisted, on average, below their adjust price, with badly-reviewed movies delisting at about 90% of adjust price and appalingly-reviewed movies with 0-5% positive reviews delisting at under 80% of adjust.

However, all of these figures are average.  As we learned in an earlier discussion about Cinemascore, while the average relationship can be strong, there can also be a lot of variation within that average.

Here are what the individual results look like, with each dot representing a single movie:


As you can see, there is a lot of deviation from the average.  There are several well-reviewed movies that delisted well below their adjust price, and several badly-reviewed ones that delisted well above.  That R2 number, which fit the averages so well, has fallen to 0.125, suggesting that there's little to no relationship between an individual movie's RT rating and its legs.

It's hard to get a sense from the chart just how many well-reviewed movies do badly and how many badly-reviewed movies do well, so here are the results in table form.

RT Rating (rounded)
% of Movies in Sample that Delisted above Adjust Price
0-4
0%
5-14
20%
15-24
24%
25-34
22%
35-44
27%
45-54
28%
55-64
39%
65-74
43%
75-84
63%
85-94
66%
95-100
86%
36%

This also makes sense.  We know that there are a lot of other variables that can affect a movie's legs, like release date, genre and word of mouth.  But exactly what movies are we talking about here?  Which bad movies do well?  And which good movies fade away?  Let's look at the best performing movies with RT ratings under 25%, and the worst performing ones with ratings above 75%.

Here are the the worst-performing movies with RT ratings above 75%:

Movie
Release Date
RT Rating
Delist Multiplier
Delist/Adjust
Multiplier
Iron Man 2
07/05/2010
91
2.18
80.8%
Tangled
26/11/2010
80
1.57
81.3%
Haywire
20/01/2012
87
2.21
81.7%
Hunger Games 1
23/03/2012
76
2.21
81.7%
Let Me In
01/10/2010
78
2.26
83.6%
Indiana Jones 4
23/05/2008
89
1.98
83.9%
Kick-Ass
16/04/2010
85
2.28
84.6%
Pirates: Band of Misfits
27/04/2012
80
2.29
84.8%
Spiderwick Chronicles
15/02/2008
90
2.40
86.0%
Precious
27/11/2009
75
2.08
86.0%

These movies don't have a lot in common.  There are front-loaded franchise movies like Iron Man 2, Indiana Jones 4 and the first Hunger Games movie.  Kick-Ass probably fits best into this category too.  There are two Thanksgiving releases - the animated Tangled and the harrowing drama Precious (which was an expansion).  And there are movies that severely disappointed on opening weekend despite positive reviews and quickly left theatres, like Haywire and Let Me In.  Weirdly, there are several family movies - Tangled (which did go on to have great legs over the Christmas/New year period, well after its delist on HSX), as well as the Spiderwick Chronicles and Pirates: Band of Misfits, showing that genre is no guarantee of legs either.

And here are the best-performing movies with RT ratings below 25%:

Movie
Release Date
RT Rating
Delist Multiplier
Delist/Adjust
Multiplier
Alvin & the Chipmunks 2
25/12/2009
21
3.47
123.8%
Amelia
23/10/2009
21
3.37
124.7%
Parental Guidance
28/12/2012
19
3.63
125.1%
What to Expect When You're Expecting
18/05/2012
22
3.40
125.8%
Zookeeper
08/07/2011
14
3.43
127.1%
New Year's Eve
09/12/2011
7
3.63
134.4%
Meet the Parents 3
24/12/2010
10
3.94
139.1%
Did You Hear About the Morgans?
18/12/2009
12
4.28
158.7%
Yogi Bear
17/12/2010
13
4.60
170.2%
Alvin & the Chipmunks 3
16/12/2011
13
4.80
177.8%

This group has a lot more in common.  Some family movies, some December releases, some movies aimed at women over 25, and most of them fit into more than one of these categories - Yogi Bear, the second and third Chipmunks movies, the third Meet the Parents movie, Parental Guidance, New Year's Eve, Did You Hear About the Morgans?  Of the non-Christmas releases, Amelie, What to Expect When You're Expecting are both aimed at women over 25, and Zookeeper is aimed at young children and their parents.

We shouldn't just look at the RT extremes either.  We know that movies with an RT rating of 75 or under tend to delist below their adjust price, but there are plenty of movies that have been moderately well-reviewed and delisted well above their adjust price.

Here are the top ten performers with RT ratings in the 65-74 range:

Movie
Release Date
RT Rating
Delist Multiplier
Delist/Adjust
Multiplier
We Bought A Zoo
23/12/2011
67
4.48
202.1%
Blind Side
20/11/2009
66
4.39
162.6%
Horrible Bosses
08/07/2011
69
3.40
126.0%
Limitless
18/03/2011
70
3.39
125.7%
Our Idiot Brother
26/08/2011
68
3.38
125.0%
Ted
29/06/2012
69
3.32
122.8%
Insidious
01/04/2011
66
3.32
122.8%
Red 1
15/10/2010
72
3.29
122.0%
Great Hope Springs
10/08/2012
74
3.35
121.6%
Croods
22/03/2013
65
3.26
120.9%

Lots of movies aimed at non-teens.  Interestingly, there are only two family movies in the list - We Bought a Zoo and the Croods.  Most of the other movies in the list - Red, Blind Side, Horrible Bosses, Limitless, Great Hope Springs - are aimed squarely at over-25s.  Even the movies with more appeal to teenage audiences, such as Ted, Insidious and Horrible Bosses, also appealed to the older audience.

And here are the best performers in the 45-54 range:

Movie
Release Date
RT Rating
Delist Multiplier
Delist/Adjust
Multiplier
This Is 40
21/12/2012
51
5.31
196.5%
Yes Man
19/12/2008
45
4.89
174.6%
Narnia 3 - Voyage of the Dawn Treader
10/12/2010
49
3.62
134.1%
Mamma Mia
18/07/2008
54
3.75
134.0%
Christmas Carol
06/11/2009
54
3.49
129.3%
Tron 2
17/12/2010
51
3.37
124.7%
Ice Age 3
03/07/2009
45
3.51
124.6%
My Sister's Keeper
26/06/2009
48
3.34
123.6%
Iron Lady
13/01/2012
53
3.71
122.8%
Soul Surfer
08/04/2011
45
3.19
118.2%

Again, lots of December releases aimed at families and non-teen audiences.  The most interesting movies on the list are Mamma Mia and Ice Age 3, which both delisted well above adjust despite relatively mediocre reviews.  This was probably due to strong word of mouth among their target audience - even if critics didn't appreciate the movie, the people buying tickets did.

So what does a high score on RT mean for a movie's legs after opening weekend?
  • there's a clear relationship between the average movie's RT score and its legs
  • movies with an RT score of 75 or higher are more likely to delist above their adjust price, while movies with an RT score lower than 75 are more likely to delist below adjust
  • there is a lot of deviation from the mean, and depending on the movie other factors may ultimately be more important
  • in particular, franchise movies that have high RT ratings and open big can still delist well below adjust
  • movies that suffer disappointing opening weekends despite positive reviews can quickly disappear from theatres
  • even movies that get mediocre reviews, or even terrible reviews can still do really well over the Christmas period
  • strong word of mouth - especially for movies aimed at over 25s, or families - can supersede mediocre reviews



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