Cinemas - UK - November 2017

OVERVIEW
What you need to know
Products covered in this Report
EXECUTIVE SUMMARY
The market
2017 to be a strong year for UK cinema
Figure 1: UK cinema market, forecast market value, 2012-22
Star Wars tops the list once again in 2016
Key players
Cineworld has the highest number of UK screens
AMC completes acquisition of Odeon and UCI
Cineworld expands 4DX offering across UK
Odeon launches its first luxury cinema in Europe
Curzon introduces its own subscription streaming service
The consumer
Two in three people visited the cinema in the last year
Figure 2: Cinema visiting, September 2017
Growth in advance booking as more people buy on their smartphone
Figure 3: Ticket booking method, September 2017
Action is the most viewed film genre
Figure 4: Genre of film, September 2017
Home cinema does pose a threat
Figure 5: Cinema behaviour, September 2017
High interest in watching 4DX showings
Figure 6: Interest in 4DX screenings, September 2017
What we think
ISSUES AND INSIGHTS
Upcoming innovations to help diffuse streaming service threat
The facts
The implications
High interest in 4DX suggests it will be seen as more than just a gimmick
The facts
The implications
THE MARKET – WHAT YOU NEED TO KNOW
Admissions fall slightly in 2016 but box office still hits record high
2017 set to be another great year for UK cinema
Star Wars tops the list once again in 2016
Site and screen numbers up further in 2016
Major cinema chains form new global body
MARKET SIZE AND FORECAST
2017 set to be another great year for UK cinema
Figure 7: UK cinema market, 2012-22
Figure 8: UK cinema market, forecast market volume*, 2012-22
Figure 9: UK cinema market, forecast market value, 2012-22
MARKET SEGMENTATION
Admissions fall slightly in 2016 but box office still hits record high
Figure 10: UK cinema market, by segment, 2011-16
Figure 11: UK cinema admissions, 2000-16
UK avoids US 2017 woes
Figure 12: UK cinema monthly admissions, 2012-17
Figure 13: UK cinema monthly admissions, 2010-16
MARKET DRIVERS
Star Wars tops the list once again in 2016
Figure 14: Top 10 films, by gross box office in the UK, 2016
Figure 15: Top films, by gross box office in the UK, 2011-17
Site and screen numbers up further in 2016
Figure 16: UK cinema sites and screen, 2011-16
Figure 17: Trends in the number of digital and digital 3D cinema screens in the UK, 2011-15
On-demand streaming services offer competition
Figure 18: Services used to watch on-demand TV, July 2017
Major cinema chains form new global body
Movie studios reportedly blaming Rotten Tomatoes for movie performances
KEY PLAYERS – WHAT YOU NEED TO KNOW 
Cineworld has the highest number of UK screens
AMC completes acquisition of Odeon and UCI
Cineworld expands 4DX offering across UK
Odeon launches its first luxury cinema in Europe
Curzon introduces its own subscription streaming service
Advertising spend increases 5.8%
MARKET SHARE
Cineworld has the highest number of UK screens
Figure 19: Major UK cinema operators’ sites and screens, October 2017*
Figure 20: Major UK cinema operators, by number of screens, October 2016 and 2017
AMC completes acquisition of Odeon and UCI
Vue takes over Odeon Printworks
Cineworld acquires another Empire cinema
LAUNCH ACTIVITY AND INNOVATION
Cineworld expands 4DX offering across UK
Odeon launches its first luxury cinema in Europe
Curzon introduces its own subscription streaming service
Dunkirk is widest 70mm film release in years
Samsung makes move to replace cinema projectors
Promise of VR cinema may be getting closer
Cameron aiming to offer Avatar 2 in glasses-free 3D in 2020
Max Factor partners with boutique UK cinemas
ADVERTISING AND MARKETING ACTIVITY
Advertising spend increases 5.8%
Figure 21: Recorded above-the-line, online display and direct mail advertising expenditure for UK film distributors and cinemas, 2012-16
Warner Bros is largest advertiser among studios
Figure 22: Share of recorded above-the-line, online display and direct mail advertising expenditure by film distributors, 2016
Nielsen Ad Intel coverage
THE CONSUMER – WHAT YOU NEED TO KNOW
Two in three people visited a cinema in the last year
Growth in advance booking as more people book on mobile devices
Action is the most viewed film genre
Home cinema does pose a threat
Two in three 16-34s are interested in VR films
High interest in watching 4DX showings
CINEMA VISITING 
Two in three people visited a cinema in the last year
Parents of young children are biggest cinema-goers
Figure 23: Cinema visiting, September 2017
Interest in 3D appears to be waning
Figure 24: Type of film seen, September 2017
TICKET BOOKING METHOD 
Growth in advance booking
More people buying tickets on smartphones and tablets
Figure 25: Ticket booking method, September 2017
Advance bookings are usually made the day before
Figure 26: Booking in advance, September 2017
GENRE OF FILM 
Action is the most viewed film genre
Figure 27: Genre of film, September 2017
Sequels are popular with parents of young children
CINEMA BEHAVIOUR 
Home cinema does pose a threat
Keeping ahead of home devices
Curzon looks to utilise popularity of subscription streaming
Figure 28: Cinema behaviour, September 2017
Many want to go to the cinema regardless of the film they will see
Two in three 16-34s are interested in VR films
Figure 29: Interest in watching virtual reality films, by age, September 2017
INTEREST IN 4DX
High interest in watching 4DX showings
Figure 30: Interest in 4DX screenings, September 2017
People are willing to pay more for 4DX
4DX doesn’t need to be limited to action films
Figure 31: Attitudes towards 4DX screenings, September 2017
APPENDIX – DATA SOURCES, ABBREVIATIONS AND SUPPORTING INFORMATION
Abbreviation
Consumer research methodology
APPENDIX – MARKET SIZE AND FORECAST
Figure 32: UK cinema market, volume* forecast, 2017-22
Figure 33: UK cinema market, value forecast, 2017-22
Forecast methodology