Wednesday, November 18, 2020
Movie Theaters Struggle to Survive Without Blockbusters
Variety: Movie theater executives don’t usually quote Winston Churchill on earnings calls.
But during his company’s most recent quarterly report to analysts, AMC chief Adam Aron dusted off one of the prime minister’s most famous speeches to describe the financial cataclysm engulfing the exhibition industry and the resilient spirit he hopes will rise up to meet the challenge.
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8 comments:
As someone who went to the movies every single Saturday night as a kid this is really heartbreaking to hear. I had a lot of hope for movie theatres to stay open because I know so many companies like Cinemark are doing private screening events for under 25 people. For $100 you get an entire movie theatre for yourself and get to choose which film you’d like to see from a list of classics. I think these private screenings are an amazing idea to keep the doors to cinemas open, but I imagine this income is nothing like it was when new Avengers films were out. I find so many similarities between a trip to the movies and a trip to the theatre. That connection you make with strangers when you are watching characters live through something is a really special shared human experience. All things considered the movies were already in trouble since streaming platforms like Netflix and Amazon Prime have become more accessible than ever before.
I was really surprised to see Warner Brothers even try releasing Tenent back in the summer. It seemed like a far fetched idea that it would be able to make any money during a pandemic that keeps people away from crowded areas. So I am not at all surprised that they have decided to halt any further releases. It just does not make sense. I have been seeing more and more movies go straight to streaming, and I think this will really have a big impact on movie theaters as well. If this becomes the norm, which streaming is quickly becoming, then it could very well put a big dent in movie theater’s profitability. That being said, I do think that people will always enjoy going to the movies. No matter how popular streaming becomes, people will always be willing to go pay more to go see a movie at its release on “the big screen.” I think that is a part of our world that will find a way to persist no matter what.
It’s really unfortunate that movie theaters are struggling this much. It is clear to see why, though. Even if cinemas go bankrupt, would they be able to move back into their buildings when this is all over? No one else is going to be buying movie theaters…
One good thing I hope will come from this is that movie theaters will finally lower their prices. There is no reason to be paying $15 for a bucket of popcorn. I hope that they will lower their prices to bring in more customers. I also wonder if there will be cinematic release of films like the new Mulan. Perhaps the Hamilton movie will do the same when this is all over with. It will be hard to convince people to begin to go to the theater again. Who knows how long it will take before cinemas and theatres are filled with people again.
Something that I liked about this article was that despite having an uplifting tone about the vaccines, to which I think is very counting your chickens before they hatch, they followed it up with realistic discussion of what is more than likely to happen. I think that it's going to take some time to get theaters back up and running, and it's going to take more than a few blockbusters to get people to go back. I know personally that there is only one upcoming movie I would see in theaters and even then I am hesitant to go, even with a vaccine. A line that really stuck out to me was "We’re treading water to get to brand-new first-run product", because there's the potential chance that even if it's safe to go to theaters again, movie releases may still happen digitally which may subtract from theater earnings. Lastly, I think that the note about how a lot of new popular movies are from streaming sites is interesting to think about because I wonder how theaters will be impacted by there being bigger and potentially better releases on streaming platforms that are cheaper than a movie ticket (and the snacks would be free as well).
It’s been a while since I’ve thought about movie theaters, and can definitely understand why they’re struggling this much. It’s a high covid risk activity that can be approximated at home, and if there aren’t any new blockbuster movies, there’s even less of an incentive for people to take that risk. I know personally even pre-covid I never really had the time to go to movie theaters with any regularity and would only really make the effort for the big ones that everyone was seeing (Star Wars and Marvel come to mind, with a few smaller ones like Knives Out) because they were something exciting and something that, particularly in high school, everyone was going to be talking about soon after release. I can certainly understand people’s reluctance to go to the movies without another giant to bring them in, and even with one, particularly because so many things can be streamed now for a much lower cost.
Personally, I don’t like movies. Well, that’s not entirely true, but I don’t really love the act of going to a movie theatre, buying popcorn, and watching a movie. It’s so expensive for a usually subpar experience. I am always so acutely aware of the filth of the movie theatres, and how much I’m spending to be in public to mimic the comfortability of being at home. It’s such a big chunk of time to be outside yet inside, that I always leave unfulfilled after the 2 hours are up. So honestly, I don’t mind movie theatres going away. Movies are best watched at home, with friends, family, and a bowl of homemade popcorn, with the comfortability to go to bathroom, be in pajama shorts, and make commentary with your friends.
This article was very grounding, based almost entirely on the reality of the pandemic rather than simply hopes brought on by promising news of a coming vaccine and the exhaustion of the current condition of society and of lockdowns. Movie theaters have been especially challenged over the course of the pandemic, and they desperately need some good news. It's impossible to recreate the feeling or experience of a theater from home, and impossible to do so digitally, but in the interest of public safety, we can't have people gathering in such confined spaces as a movie theater. I love the model that Cinemark has been able to accomplish, because not only is a good compromise for limiting the size of in-person gatherings while still creating a source of revenue for the theater, it also presents a far cheaper opportunity for the amazing experience of having a whole theater space to yourself for a private event. Just as a final note, it still infuriates me that much-needed aid is being withheld from these businesses, especially from smaller theater spaces in mid-sized and small towns, simply because of childish partisan rivalries.
I am with Cooper Nickels on this one. It is very surprising that companies were releasing things for theatres, especially knowing that they have streaming platforms that would better fit the current worldly conditions. It is not at all surprising on the other hand that movie theatres are doing poorly, and I would not be surprised if they went out of business completely by the time the pandemic is coming to a close. People were already moving to opting for at home movie viewing where they can lo9unge on their comfortable furniture and pause when they need to, etc. Movie theatres tried to counter that with better seating and what not, but they still cannot compete with not having to deal with those pesky phone users during the movies. Couple this information with the fact that stay-at-home orders are a regular occurrence now and you have a great recipe for justified home viewing and streaming services with the counter of theatres losing out to this unseen set of circumstances. If movie theatres do not lose out to this pandemic, it likely is not long before they go away anyways, just like the drive-in movies did.
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