The future of theatrical exhibition and various other sectors of the U.S. economy remains up in the air as Congress has debated the passage of the coronavirus stimulus package and still can’t agree reports Screen.
The trillion-dollar proposal aims to help potentially millions of newly unemployed workers in various industries, but exhibition’s trade association – the National Association of Theatre Owners (NATO) – have made it clear they want financial support from the bill in order to keep cinemas going be it the larger chains or the smaller single-theatre ones.
As Indiewire breaks it down, there’s the belief among theater and cinema owners that when the coronavirus pandemic is over, people will have learned to appreciate the importance of going out to the cinema and will flock in droves back to them and the business can return to ‘normal’.
But as the crisis potentially drags on for much of the rest of this year, no-one seems sure when ‘normal’ might happen. With many chains already in a position of being financially vulnerable, NATO is also in a position of cinemas being seen as a non-essential industry – especially with annual revenues of all box office and concessions under $20 billion.
Combined with two of the three major exhibitors being foreign owned (AMC is Chinese, Regal British) and with serious competitive threats from streaming which provide a similar service, it’s not clear if cinemas will be seen as in need of such a bailout – especially as another commercial entity could come along and buy them up cheap.
Meanwhile independent theaters are struggling to create innovations, this includes raising revenue by aligning with niche streaming services. This weekend has seen the first test of ‘Home Premiere’, the premium VOD experience, for recent cinema titles and many eyes will examine public response to it.
Whatever the case, the future of moviegoing hangs in the balance and by this time next year could look very different to what came before.
