Think of it this way...something with a premium price tag needs a premium experience to justify the price. The fact that a trip to the cinema to view a single movie can cost as much or more than a month's worth of streaming service, is a huge hurdle for cinemas. But, augmented and tailor-made to demographic programming will lure audiences in.
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| Nobody can afford to make films in Hollywood |
For example, Sony Pictures' purchase of the Alamo Drafthouse circuit. It's the in-person experience that's the big draw. There's more to life than couching at home to an endless stream of good, bad, and worst content.
It's all about an 'experienced economy', where value is placed on verbs, not nouns. Cinemas tell us about the world. It has always been art that defines great civilizations, and in our time the cinema is one of these arts.
People appear to be much more particular about which films they will watch at a cinema. That is why the product has to be of top quality and exciting visually. At present, there are very few jobs being created in Hollywood and the LA economy is feeling the pain...the LA entertainment industry has been upended.
California has become a very expensive place to make films, or for that matter, to make anything. Now, other States, smelling blood in the water, are providing tax incentives and rebates to filmmakers - Georgia, New Mexico, Florida, Ohio, and Virginia to name several.
Hollywood has been uncovered and unfortunately, it's not the place to be making movies. It's too expensive, too woke, too regulated, and too out-of-vogue.
By: Jim Lavorato
