The Christmas holidays should have been the time for cinemas to make up for the loss of sales of the past nine months. The hard lockdown makes this impossible and consumers are therefore again dependent on streaming services, which have been benefiting from it for months.
This development is also putting pressure on large American studios. What to do with all the new movies that were planned this year? Many premieres have been moved to 2021. Due to the continuing uncertainty, Warner Bros decided to change tack: all films for next year will be released simultaneously in cinemas and on its own streaming service in the US. The news sparked a minor landslide in Hollywood.
The discussion about the exclusivity of cinemas has been going on for years, but has been put on edge. It is now the case that cinemas have the exclusive right to show a film for an agreed period. Only then do they end up in other places, such as streaming services.
Directly in your living room
“It is really a tipping point,” says Ennel van Eeden, media expert at accountancy firm PwC. “We will look back in a few years and conclude that this was the moment when the standard models were opened.”
Film journalist Omar Larabi also recognizes this. “Studios are going to bring films directly to the viewer in the living room,” he says. “They don’t just want to make movies, but also trade and show. That trend is likely to have negative consequences for the cinema industry. I don’t know if we’ll get back to where we were in numbers.”
PwC is following developments in the Dutch cinema and streaming market and sees the following picture:
The turnover of cinemas and streaming services in the Netherlands
It is not entirely coincidental that Warner Bros just decided to place the films on its streaming service HBO Max (for a month, after that the film can only be seen in the cinema). The service is not making a strong start yet. Competition in America is also greater than in the Netherlands. Seventeen new films should be an extra helping hand.
This development does not have to have direct consequences for the Dutch market. The American market is different, says film journalist Nico van den Berg. “Cinema visits in the US have been declining for years, while they are growing in Europe and Asia. Film studios determine the most lucrative method of releasing a film for each market. Different interests play out in the US.”
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The Netflix movie Mank was already on Netflix after a few weeks in the cinema, which was previously unheard of.
Van den Berg does see the influence of streaming services increasing. “The Netflix movie Limp came to Netflix after a few weeks of cinema, which used to be unheard of. “He sees new ‘pillars’ emerge, in which film studios want to control the entire chain, just like in their early days.” Until the 1940s, the cinemas were often owned by the studios. You can now see that happening with streaming services. “
Warner Bros’ drastic decision will not be followed up for the time being. However, the New York Times suggests, the studio may not be able to go back and eventually force others to let go of the classic model. Cinemas will have to work harder and show more benefits, says Van den Berg about their future
Accessible night out
Van Eeden emphasizes that all this does not mean that a major change will come at once or that the future of the cinema is at stake. According to her, it is and will remain an accessible night out.
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That we are not allowed to open at Christmas is killing.
But such a night out is not yet possible. “That we are not allowed to open at Christmas is killing“says Han Wolf, owner of a number of cinemas.” We were very much counting on the Christmas period. “
Wolf now puts his hopes on the vaccine. “Then our company can start running again.” What movie is he most looking forward to? “The latest James Bond.” The film was due to come this spring and has already been postponed twice, now Bond is on the role for April next year. “A film like this can really help us start up after the crisis. Then you have a guaranteed crowd puller for a somewhat longer period.”
