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Two decades ago, you get the newspaper to read the playtime in your town cinema screen. Now it´s a completely different user journey to get them in front of the screen, as the customers get thousands of messages for entertainment opportunities in their spare time. It is a whole new challenge for the theatres to compete in the entertainment industries markets and make the new Movie-goer user journey smooth and nice. Cinemas are the face of the industry because the studios aren't on the frontline and they don't talk to the consumers.

New distribution channels and competition from other screens - such as Video on Demand and Theater on Demand services - force the venues to improve their value propositions and produce a direct, clear and comprehensive message to convince Millennials that It is worth living an experience in the projection room. Is that if the so-called generation Z, those born between 1995 and 2000, do not incorporate among their habits to go to the movies when they are kids, probably also not adults. It is a trend that no industry that looks at long term can afford.

It must be taken into account that social surveys affirm that the consumption of audiovisuals and the attendance to the cinema continues being one of the preferred demands of the population, next to the listening of music and the reading of books. The growth of entertainment consumption is exponential because, as Alessandro Baricco points out, the speed with which the system moves has changed:

"Boredom is the enchanted bird that incubates the egg of experience. Beautiful. [...] Now take a child today and look for boredom in your life. Measure the speed with which the sensation of boredom shoots at him as soon as you slow down the world around him".

A renewed battle for cinemas

For cinemas, this fight for the market share it´s not new. The screens have migrated the business model on several occasions throughout history. Some studies show that between 1930 and 1933 the rooms lost 50% of viewers, while households in which there was a radio receiver rose from 40 to 60%. Oscillations of the same type were experienced with the advent of television, the rental of videotapes and DVD discs. Against these, theaters went to various resources to attract the public, such as air conditioning in the fifties, three-dimensional displays or surround sound systems.

Jimmy Wales, co-founder of Wikipedia, predicted in 2012 the extinction of the rooms due to the services of Video on Demand in the native digital generations. Reed Hastings, creator of Netflix, said that the only thing that changed in theatres in the last decades was "the taste of the popcorn". And so followed the list of voices that warn of a change of cycle and that is why turbulence was generated in the flight of companies in the sector.

But this does not have to involve an impending accident. Now is the time to orient the ship towards new directions, because it is not possible to stop the processes of innovation before the new technological advances of the competing industries. It is, then, the time to arm the film industry with the weapons to compete strategically in the face of consumers. Adopt and adapt successful practices of other companies to your needs.

Trends from CinemaCon


CinemaCon 2017 demonstrated the importance of Big Data to reach the fans of the films. There was no talk within the congress that would avoid this issue, as it is fundamental to the survival of the film industry. This is where SAP for Entertainment can support, as we have the right tools to lead this revolution:

SAP BusinessObjects Predictive Analytics is a solution that helps create, deploy, and maintain thousands of predictive models to anticipate future behaviour or outcome and guide better, more profitable decision-making across your digital enterprise.

Convert fans into Movie-Goers and find out more about this industry and what SAP has to offer.

Looking forward hearing your comments!

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