Vouchercloud's data shows that box office earnings continue to rise worldwide: $36.4 billion in 2014, as compared to $35.9 billion in 2013. However, high ticket prices and financial difficulties have led to smaller box office earnings in the US, Canada, and Mexico, while markets in China and Turkey have swelled dramatically. Since 2009, cinema attendance in China has risen by an impressive 236%, while annual theatre admissions in Turkey are over 50 million. The Asian market is a force that cannot be ignored.
As the graphic shows, cinema technology continues to develop in an effort to prevent audiences from shrinking further. Going to the theatre is now a high-tech proposition. Since the advent of the smartphone, viral social media campaigns and interactive cinema apps such as Timeplay have become an integral part of the movie-going experience. 3D cinema, once thought a bygone gimmick of the 1950s, shows no sign of going away. 3D screens have exploded in the last decade, from 258 screens worldwide in 2006, to over 64,000 in 2014.
The cinema experience of the future will likely include not only social media and interactivity, but a 4DX experience in which vibrating seats, water sprays, and air gusts enhance the movie-going experience. "This is the next step," said Matt Eyre, Cineworld's Vice-President of Operations. "I think film-goers are always looking for that little bit extra."
Vouchercloud conducted its own survey of 1000 people to get a more in-depth look at the whole experience and results showed that ticket price was one of the major concerns movie-goers had that was likely to stop them going to the cinema. The cost of going to the theatre has risen dramatically in the last decade, which means the most popular way of getting audiences into a cinema seat remains the discount ticket or two-for-one voucher. Ticket promotions have also grown more sophisticated with the digital age. In the UK, VitalityHealth, a company specialising in private medical insurance, offers a programme that earns members a free Vue or Cineworld ticket by earning Vitality Points via the fitness app of their choice.
But will discount tickets and the spectacle of the high-tech cinema be enough to get audiences out of their houses? In the US, companies such as AMC, eager to cater to demanding audiences, now offer 'luxury cinemas' with comfortable seating and wait service. With attendance for these luxury venues increased by up to 80%, AMC plans to upgrade over 1800 cinemas to this luxury format in the future.
In an effort to remain competitive, many companies seek to unveil cinema experiences that break out of the theatre formula. Hot Tub Cinema, for example, offers tickets to enjoy a movie while soaking in a hot tub with friends. The Rooftop Cinema in Melbourne provides an outdoor venue, complete with rooftop bar. Beijing's Orange Cinemas Club charges a premium price for auditorium seating with sofas, pillows, and in-seat waiter service.
Vouchercloud's graphic gives us a glimpse into the future of event cinema: live events such as ballet, sports, and music events, broadcast by satellite to local cinemas for those who cannot attend in person. Event cinema grossed venues over $37 million in 2014 by catering to devoted fans.
So, is the cinema still relevant in 2015? The numbers point to yes, but the already sophisticated marketplace is changing rapidly. What is clear is cinemas must continue to reinvent themselves to appeal to a demanding audience.
Take a look at the Cinematic Experience graphic here
