“The movie theater industry is facing threats from all sides, with studios trying to shrink the exhibition window, consumers increasingly staying at home for their entertainment, and a new generation of moviegoers who expect entertainment content to be customizable and on-demand. Movie theaters can embrace the customization trend by tailoring more screenings to specific audiences while still celebrating moviegoing as one of the few shared experiences left in an increasingly fragmented media landscape.”
– Dana Spencer, Research Analyst – Lifestyles, Travel and Leisure
This report answers the following questions:
- How high can ticket prices go?
- Why should viewers go to the movies when they are already paying for multiple video subscriptions at home?
- Will new media channels erode movies’ core demographic?
Many Americans devote the majority of their leisure time to on-screen entertainment. They are drawn to movies and want to see blockbuster hits, but where they go to do so is of little significance beyond the price of tickets and movie theaters’ proximity to their homes or work. Exhibitors face an ongoing challenge to make their facilities stand out in the crowd and show they can offer patrons something other movie theater chains cannot. At a more basic level, movie theaters are competing with the dizzying array of small-screen entertainment options available to consumers.
This report examines how exhibitors can make their specific theaters go-to locations for movie viewing and what it will take to give Americans more incentive to go out rather than settle for cheaper and more convenient in-home entertainment options. This report builds on the analysis presented in Mintel’s Movie Theaters – US, November 2013.
For the purposes of this report, Mintel concentrates on commercial cinema venues. Festivals, army bases, schools, museums, libraries, prisons, airlines, restaurants, cafés, and other venues that license films for profit are not included; only sites whose primary day-to-day function is the commercial display of cinema are considered.
Companies that own, lease, manage, or operate facilities for the day-to-day commercial display of films are the subject of this report, and will be referred to interchangeably as “movie theaters” or “exhibitors.”