Table of Contents
Overview
-
- What you need to know
- Definition
Executive Summary
-
- The issues
- Expense continues to be an issue
-
- Figure 1: Top reasons for not going to the movies, September 2016
- One third are going to the movies less frequently than they did five years ago
-
- Figure 2: Frequency of movie theater attendance, by age, September 2016
- Convenience still trumps innovation for theater selection
-
- Figure 3: Top reasons for movie theater selection, September 2016
- The opportunities
- Consumers are interested in screenings that cater to their lifestyle
- Kid-free
-
- Figure 4: Interest in “kid-free” screening times, by presence of children in household, September 2016
- Use of social media
-
- Figure 5: Interest in use of social media in theater, by gender, generation, Hispanic origin, September 2016
- Challenge the stigma of going to the movies alone
-
- Figure 6: Interest in choosing own movie, by gender, September 2016
- Create a movie-going experience that begins as patrons walk in the door
- There is a concession sales opportunity in adding local specialities and soft pretzels to the theater menu
-
- Figure 7: Interest in concession purchases, September 2016
- Catch theatergoers as they leave with innovative advertising
-
- Figure 8: Interest in movie posters/displays, by parent status, September 2016
- What it means
The Market – What You Need to Know
-
- Moderate revenue growth continues for movie theaters
- Increases in 2015 to level off in 2016
- Admissions not keeping up with the increasing price of tickets
- Studios continue to rely on sequels to attract consumers to the theater
- Binge watching still popular with consumers
Market Size and Forecast
-
- Moderate revenue growth continues across categories
-
- Figure 9: Total US sales and fan chart forecast of movie theater revenues, at current prices, 2011-21
- Figure 10: Total US movie theater revenues and forecast, at current prices, 2011-21
Market Breakdown
-
- Increases in 2015 to level off in 2016
-
- Figure 11: Total US movie theater box office receipts and fan chart forecast, at current prices, 2011-21
- Figure 12: Total US movie theater box office receipts and forecast, at current prices, 2011-21
- Concessions
-
- Figure 13: Total US movie theater concession revenues and fan chart forecast, at current prices, 2011-21
- Advertising and other revenues
-
- Figure 14: Total US movie theater advertising and other revenues and fan chart forecast, at current prices, 2011-21
Market Perspective
-
- Admissions not keeping up with the increasing price of tickets
-
- Figure 15: Average ticket price and US/Canada admissions, 2010-15
- Netflix, Amazon release 100s of hours of new content
- Subscription service membership maintains steady growth
-
- Figure 16: Subscription to Netflix and Amazon Instant Video, May 2015
- Binge watching still popular with consumers
-
- Figure 17: Attitudes of binging and browsing, May 2015
Market Factors
-
- Consumers continue to expect to spend more on experiences, leisure and entertainment
-
- Figure 18: Perceived change in spending – spending more, by category, 2013-16
- Extra money spent on going out, entertainment
-
- Figure 19: Where extra money is spent, January 2016
- Studios continue to rely on sequels to attract consumers to the theater
-
- Figure 20: Top grossing films in the United States, 2015-16*
- Box office gross climbs in 2015
-
- Figure 21: US and Canada box office gross, 2000-15
Key Players – Overview
-
- Three out of four top theater groups increase footprint
-
- Figure 22: Number of theaters and screens for major theater groups in the US, 2014-15
- Figure 23: Annual revenues for major theater groups, in millions, 2015
Key Players – What You Need to Know
-
- Regal Entertainment Group
- AMC
- Carmike
- Cinemark
What’s Working?
-
- Studios capitalizing on 90s nostalgia
- IMAX brings back Harry Potter for limited time
- Netflix agrees to simultaneous streaming and in-theater release
- Ticket Twosdays with AT&T
- Improvements in cloud technology will help make movies clearer
What’s Struggling?
-
- Theaters rebelling against shorter window to on-demand video
- Theaters may not be masking their screens properly
- Media keeps focusing on the “death” of the movie
- Attention span may be an ongoing problem
What’s Next?
-
- Screening Room seeks to stream movies still in theater
- Movie-watching experience enhanced by interactive ads
- National CineMedia looks to connect media effectiveness to ticket sales
- Virtual reality: coming to a movie theater and lobby near you
- Niche, customized snack offerings coming to the concessions stand
The Consumer – What You Need to Know
-
- Most consumers have gone to the movies in the past six months
- The full movie experience is worth up to $22
- Millennials, Hispanics most in favor of in-theater social media use
- Younger consumers don’t want to go to the movies alone
Movie Theater Attendance
-
- Most consumers have gone to the movies in the past six months
-
- Figure 24: Timing of most recent trip to the movies, September 2016
- Young men are the most regular moviegoers
-
- Figure 25: Timing of most recent trip to the movies, by gender and age, September 2016
- Younger consumers attend the movies more frequently
-
- Figure 26: Frequency of movie theater attendance, by age, September 2016
- Hispanics significantly more likely to attend more frequently
-
- Figure 27: Frequency of movie theater attendance – More frequently, by race/Hispanic origin, September 2016
- Lower-income households cutting back on visits to the movie theater
-
- Figure 28: Rate of movie theater attendance, by household income, September 2016
Choosing a Theater
-
- Convenience still trumps innovation for theater selection
-
- Figure 29: Reasons for movie theater selection, September 2016
- Older moviegoers particularly interested in location
-
- Figure 30: Reasons for movie theater selection based on proximity, by age, September 2016
- Women more interested in proximity; men, in online reviews and format
-
- Figure 31: Reasons for movie theater selection, by gender, September 2016
How Much are Moviegoers Willing to Pay?
-
- Moviegoers indicate willingness to pay up to $22 for their movie experience
-
- Figure 32: Price of movie experience – Optimal price, September 2016
- Strong disagreement in price expectations between moviegoers, non-moviegoers
-
- Figure 33: Price of movie experience – Bargain, by moviegoers vs non-moviegoers, September 2016
- Anything more than $26 per person is too expensive
-
- Figure 34: Price of movie experience – Threshold prices among moviegoers, September 2016
- Price sensitivity analysis methodology
- More than half of Hispanics would consider dynamic movie pricing
-
- Figure 35: Agreement with dynamic movie pricing, by race/Hispanic origin, September 2016
Choosing a Movie
-
- Young men are the most spontaneous movie selectors
-
- Figure 36: Best way to select a movie, by gender and age, September 2016
- Are sequels, franchises beginning to wear out their welcome?
-
- Figure 37: Interest in new, original movies, by generation, September 2016
- One third of moviegoers want to be the one who chooses the movie
-
- Figure 38: Interest in choosing own movie, by gender, September 2016
What to Eat in the Theater
-
- Traditional movie concessions still reign supreme
-
- Figure 39: Concession purchases, September 2016
- Movie theater is a place to splurge on calories
-
- Figure 40: Interest in concession purchases, September 2016
- Younger consumers more willing to consider new concessions options
-
- Figure 41: Interest in concession purchases –Interested, by generation, September 2016
Theater Ambiance
-
- Millennials, Hispanics most in favor of in-theater social media use
-
- Figure 42: Interest in use of social media in theater, by gender, generation, Hispanic origin, September 2016
- Most moviegoers, even parents, are looking for “kid-free” screening times
-
- Figure 43: Interest in “kid-free” screening times, by gender and presence of children in household, September 2016
- Parents looking to posters/displays for movie selection guidance
-
- Figure 44: Interest in movie posters/displays, by parent status, September 2016
Reasons for Not Going to the Movies
-
- Ticket expense remains top obstacle for non-moviegoers
-
- Figure 45: Reasons for not going to the movies, all, August 2016
- Attention span may be an ongoing problem
-
- Figure 46: Reasons for not going to the movies, by age, August 2016
- Younger consumers don’t think they have time to go to the movies
-
- Figure 47: Lack of companion or time as theater attendance obstacle, by generation, September 2016
Appendix – Data Sources and Abbreviations
-
- Data sources
- Sales data
- Fan chart forecast
- Consumer survey data
- Abbreviations and terms
- Abbreviations
- Terms
Appendix – Market
-
-
- Figure 48: Total US movie theater revenues and forecast, at inflation-adjusted prices, 2011-21
- Figure 49: Total US movie theater box office revenues and forecast, at inflation-adjusted prices, 2011-21
- Figure 50: Total US movie theater concession revenues and forecast, at current prices, 2011-21
- Figure 51: Total US movie theater concession revenues and forecast, at inflation-adjusted prices, 2011-21
-
- Figure 52: Total US movie theater advertising and other revenues and forecast, at current prices, 2011-21
- Figure 53: Total US movie theater advertising and other revenues and forecast, at inflation-adjusted prices, 2011-21
-
Appendix – Consumer
-
-
- Figure 54: Timing of movie attendance, by generation, October 2015-June 2016
-
- Figure 55: Selection of 3-D movie format if available, by generation, October 2015-June 2016
-
Back to top