In an attempt to grow its market share, Ster-Kinekor will slash prices at 80 percent of its cinemas from tomorrow.
The country's largest cinema chain said the number of movie patrons fell 5.6 percent in the six months to December.
To counteract this, it said yesterday, it had devised a strategy that it anticipated would attract black consumers to its cinemas. This was necessary because the size of the traditional audience pool - mainly whites - was stagnant.
The company will convert its cinemas into two brands: Ster-Kinekor Junction, which will be aimed at the "value market" and will sell tickets for R14, and Ster-Kinekor Classic, which will target its traditional customers and will charge R35 a ticket.
The new strategy means Ster-Kinekor will be hiring more staff.
Ferdi Gazendam, Ster-Kinekor Films' chief executive, said: "The move will make movie-going affordable and allow consumers to choose the kind of cinema experience they want - value or luxury."
Ster-Kinekor's competitor, Nu Metro, which is owned by Johnnic Communications (Johncom), said attendance at its cinemas grew by 1.9 percent in the six months to December.
Johncom's financial director, Prakash Desai, said Nu Metro would meet the challenge with a "competitive response", but declined to give details.
Ster-Kinekor, which is owned by listed media group Primedia, said it would convert 30 cinemas into Ster-Kinekor Junction.
The Junction cinemas will include Bayside, Centurion, East Rand Mall, Fourways, Greenacres Bridge, Kenilworth, Musgrave, Northgate, Rustenburg, Scottsville, The Zone @ Rosebank and Tokai Blue Route.
Seven cinemas - Brooklyn, Cresta, Cavendish, Eastgate, Gateway, Sandton and Tygervalley - will form the Ster-Kinekor Classic chain.
The prices of refreshments will remain the same and discounts on movies on selected days will still apply.
Cinema Nouveau, which showcases the art circuit, and the chain's Bollywood circuit will not be affected by the new prices.
Ster-Kinekor piloted the Junction project for a year at five sites - Southgate Mall, Carlton Centre, Arcadia Sterland, The Wheel and Chatsworth - and the attendance in some cases grew six times.
Gazendam said growth was dependent on enticing the black market.
Primedia said last week its film entertainment division including cinema operations grew 3.2 percent to R506 million and operating profit rose 40 percent to R46.5 million.