The want to go to a movie theatre to watch a new movie is fading. There are a few movies which are better on the big screen but the frequency of going to the theatre has diminished by a huge margin. Movie goers are preferring to stay at home and watch what they are in the mood to watch via ott platforms.
OTT’s have an added advantage as they are able to catch the mood of the moment , and this is helping with the wants of the individuals. The margins in the theatre business is large, food and beverages also bring about a large portion of the cashflows, but they need a minimum number of people to attend their screenings. The act of going out of the house for some activity, this mode is changing and being expressed via an activity like trying a new restaurant, playing a mystery rooms game, playing a sport etc. Things like this where it is not possible to do it from the confines of your house.
Also theatres where live events can be held is a good business if the location is right. Also this might only workout if it is a large audience. Taylor swift’s eras tour is expected to generate around 4 Billion USD !! . Such events may pay off sustainably if done in a consistent basis with a large time gap in between.
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