Gone are the days of good old-fashioned moviegoing, as research shows modern consumers are opting for more accessible and arguably cost-effective measures for their entertainment.
The delipidated building where the Wollongong Greater Union Cinema once stood is now a grim representation of a once-flourishing industry succumbing to the streaming supremacy of the digital age.
Since Netflix launched in 2015, the habits of Australia’s entertainment consumption have shifted from traditional modes toward Smart TVs and subscription-based services.
StreamingServicesAus Infographic by Dylan Penrose Source: FlixPatrol
For a monthly fee similar to the cost of a single movie ticket, subscribers can access each service’s entire catalogue of TV from the comfort of their couches.
Source: TomsGuide
Streaming is ideal for residents in Wollongong’s CBD, whose closest commute to a big screen is Hoyts Warrawong.
In spite of these challenges, Hoyts Warrawong Assistant Manager Elena Ramsay observes a fortitude within the local cinema industry and doesn’t believe that streaming has entirely eclipsed an interest in attending cinemas.
“Even though we get people complaining about the price, they still come. When we get bad feedback, it’s usually related to the picture and the sound—that’s what people want to come here for, because they can’t get that at home,” Ms Ramsay said.
Ms Ramsay credits social media platforms such as TikTok for building hype and a sense of urgency to see newly released films, notably Sinners and A Minecraft Movie.
@joshclawson0 5 dollar Tuesday #chickenjockey #minecraft ♬ peace – Mindset
The ‘chicken jockey’ meme trend enticed TikTok users to see A Minecraft Movie in theatres, despite its low critical reception.
Last month, Hoyts hosted an anniversary screening of Star Wars III: Revenge of the Sith to a sold-out audience, even though the film is available to stream on Disney+.
“Two sessions every night, all sold out,” Ms Ramsay said.
“That’s a really clear example of how people still value the cinema: it’s all about the experience.”
Box office numbers for high-budget new releases have been underperforming ever since COVID-19. For example, the recent instalment in Marvel’s Captain America saga raked in less than half the income of its 2016 predecessor.
Below we can see a declining interest in the franchise’s output and waning success in ticket sales.
Source: TheNumbers
While budgets for their films remain relatively consistent, only two of the studio’s films post-COVID have exceeded 1 billion USD at the worldwide box office—a margin they were seeing almost every year prior to the pandemic.
Ms Ramsay said her cinema offers incentives such as loyalty programs and Cheap Tuesday to encourage consumers to favour the big-screen experience over streaming.