Michael O’Leary, president and CEO of Cinema United—the leading trade organization for movie distributors—weighed in on the state of the movie industry this week, calling for a longer theatrical window for films.
Film exhibition and distribution have seen challenges during and since the COVID-19 pandemic. O’Leary sees a 45-day minimum run in theaters as a way to boost a film’s chances to gain an audience.
“We are recovering, but not fully recovered” from the pandemic, O’Leary told audience members.
“The future is promising, but there is work to be done—work that must be done, not just by exhibition, but by everyone that believes in the cultural and economic impact of movies on the big screen.”
The new baseline would contrast with the shorter 17- or 31-day windows seen for larger movie titles—something O’Leary says reduces the number of people that head to the theater in the opening weeks of a release.
“If you compare the box office results of the top 100 films per year, pre- and post-pandemic, we see that the top 20 movies declined by 10 percent but the box office of the next 80 movies—the small and mid-size movies that are so important—declined by a full 32 percent,” he noted.
“When you consider the relevant windows, 49 days was the average for the top 20 movies. However, the next 80 fall all the way to 31 days. The corresponding drop in box office is not surprising.”
While O’Leary can advocate for a longer window, Cinema United cannot make the change itself. The decision is up to individual studios.
“Longer windows, supported by marketing, would reduce the current level of decline and create more revenue across the industry,” he added.
“Everyone benefits from these movies flourishing … including movie fans.”
Other possible improvements include better marketing and outreach, refurbished locations, and altered movie schedules that can connect with the average consumer.
“Everyone feels the pressures of today’s marketplace—from the biggest studios to the one-screen independents. But clinging to the norms of a pre-pandemic world or to the temporary adjustments made during that time threatens the overall health of this great industry,” he said.
“We need a system that recognizes our common goals and does not pit one sector against another in a short-sighted quest for immediate financial return at the cost of long-term success.”
“This data suggests that streaming and cinema can coexist, with avid streamers also being active moviegoers,” the survey’s analysis stated.
