Enjoying streaming TV, as billions do, you’d never know the sector is currently experiencing a hiccup as we reset our financial lives a bit trimming a subscription or two — and maybe giving the struggling movie theater industry an opening to exploit as it seeks post-pandemic relevance.
Exploiting they are, starting with trending news around “Avatar: The Way of Water” (aka “Avatar 2”) and its revival of 3D glasses that have an uneven performance in the past but a definite future. James Cameron’s long-awaited sequel hits theaters December 16, and viewers will get a pair of 3D glasses to enhance the experience.
Movie news site HITC reported in May that Cameron’s production company, Lightstorm Entertainment, is partnering with Christie Digital on a new laser projection system that effectively reproduces 3D films without the cardboard glasses. More to come on that.
What about the seven intervening months before returning to planet Pandora in 3D? We could be suffering from the Zeta variant by then, and it could all be for naught. Or not.
If the recovery holds, things are looking up a bit for a theater industry that’s taking a beating.
Signs are good. News site IndieWire reported on Wednesday (May 11) that theater revenue for the first quarter of 2022 improved significantly over the comparable 2021 period, though suppressed.
That didn’t stop AMC Entertainment Chairman and CEO Adam Aron from opening an earnings call by repeating “Doctor Strange! Doctor Strange! Doctor Strange! Doctor Strange!”
He did so for good reason: The latest sequel in Disney’s Marvel Cinematic Universe franchise, “Doctor Strange in the Multiverse of Madness” opened May 6, generating $450 million in global box office.
See also: Netflix’s Subscriber Loss, HBO’s Gain Point to Changing World for Streaming Services
CinemaCon Went On
As Hollywood’s annual CinemaCon gathering was happening in April, CNBC reported that the box office in the first four months of 2022 was “still down around 40% compared with 2019 pre-pandemic levels, but cinemas are seeing significant gains over last year,” adding that ticket sales are encouraging on major films like “The Batman,” and concessions are up too.
Ticketing site Fandango surveyed 6,000 consumers on the eve of CinemaCon, finding that 93% purchased concessions when in the theater, compared to 84% a year earlier.
That’s good news for theater operators, which don’t split concession sales with studios.
Fandango also found that 85% of moviegoers dined indoors in a restaurant as part of their movie night out, and 79% also shopped at a mall or retail store during their cinema outing.
Those kind of economic ripple effects are marquee news for restaurants and retail businesses that historically do well during the summer blockbuster film season.
It’s worth noting that while theatrical films have historically been categorized as a recession-proof business, that’s more myth than reality. Even so, National Association of Theatre Owners (NATO) V.P. and chief communications officer Patrick Corcoran told The Hollywood Reporter that the “box office is not immune to recession — though it is resistant.”
See also: Movie Chains Try Connected Tech, New Revenue Streams to Augment Ticket Sales
From ‘French Dispatch’ to DeFi
While the other NATO (North Atlantic Treaty Organization) surveilled Russian troop movements in Ukraine, the much sunnier movie-related NATO released its 2022 state of the industry report in April, titled “Advancing the Moviegoing Experience.”
In it, NATO president and CEO John Fithian took a shot at streaming premiers, writing: “When analyzing title after title, it becomes very clear that spikes in piracy are most drastic when a movie is first available to watch in the home.” He added that “simultaneous release is dead as a serious business model, and piracy is what killed it.”
In March, NATO announced the formation of The Cinema Foundation, the primary mission of which is working “to ensure the industry’s technology is future ready and meets standards that help key stakeholders, including filmmakers, manufacturers and exhibitors, while also avoiding costly barriers that do not enhance the theatrical experience,” per the website.
As for moviemakers themselves, news broke on Tuesday (May 17) that Decentralized Pictures Foundation (DCP) is accepting applications for funding on the blockchain from indie filmmakers shy on funds to complete their projects.
Founded by director, producer and screenwriter Roman Coppola, DCP said in a press release that “aspiring filmmakers may submit proposals on the platform for review by the DCP community. For providing their honest opinions and feedback on film proposals, DCP community members are rewarded with DCP’s cryptographic tokens, FILMCredits. The community votes on projects that they would like to see produced, determining a winner for select financing awards.”
Starting Friday (May 20), filmmakers, creators and other stakeholders can sign up, submit and review proposals at app.decentralized.pictures.
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