Premature Obituaries Part 1: Is The Movie Theater Business Dead?

With each passing week of meager reported box office, conventional wisdom in the press is that the tea leaves are pointing to the eventual death of theatrical moviegoing. While the numbers speak for themselves, the leap from near-term results to eventual demise is a simplistic analysis based on two factors that, while true, are not necessarily predictive. Yes, it is true that the closure of theaters during the pandemic helped to solidify home viewing as the default way of consuming new films. It is also true that many audiences (particularly older audiences) are not currently feeling ready to go back to movie theaters; nor for that matter, given their new home viewing habits, do they feel the need to.

But do these facts point to the end of the theatrical business? After all, the movie business has survived many existential threats in the course of its 100-plus-year history. The assumption here is that the business cannot adapt, as it has in the past, to the new realities in ways that could change the playing field. And the pundits seem not to be paying attention to other trends that are creating a potentially positive environment for a rebound. Continue reading “Premature Obituaries Part 1: Is The Movie Theater Business Dead?”