According to former Disney CEO Bob Iger, the pandemic fundamentally changed how audiences consume media, resulting in lower foot traffic at movie theaters. “I don’t think movies will ever return to the level that they were at before the pandemic,” the veteran media executive said on a panel at Vox Media’s Code Conference in Beverly Hills, California, on Wednesday. He noted that during the lockdown, consumers became more comfortable with streaming services and grew to enjoy the content on these platforms as well as the flexibility of being able to choose what to watch and when.
According to former Disney CEO Bob Iger, the coronavirus pandemic has left a “permanent scar” on the movie theater industry. “”I don’t think movies will ever return to the level that they were at pre-pandemic in terms of moviegoing,” the veteran media executive said on Wednesday during a panel at Vox Media’s Code Conference in Beverly Hills, California. Iger, who stepped down as CEO of the Walt Disney Company in February 2020, handing over the reins to then-head of theme parks, Bob Chapek, stated that “choice” is the main reason moviegoers have not returned to theaters at the same rate as before, noting that consumers became more comfortable with streaming services while under lockdown and grew to enjoy the content on these platforms as well as the flexibility of being able to choose what to watch and when.
Between January and the end of August, the domestic box office generated around $5.3 billion, a 31% decrease from the previous year. It is on track to deliver around $7.5 billion in total ticket sales by the end of the year, compared to $11.4 billion in 2019. Other factors contributing to the box office decline include a significantly lower number of film releases: only 46 films were widely released domestically during the first eight months of the year, compared to 75 films during the same period in 2019.
On the plus side, moviegoers are now spending more money at the movies, choosing higher-priced tickets to see films on premium screens and purchasing more concessions. However, Iger noted that cinemas aren’t the only places where audiences can witness the birth of major franchises. “I think the movie industry used to argue that you couldn’t create cultural impact without having everybody go to a movie theater on the weekend in every country in the world,” he said. Iger cited HBO’s “Game of Thrones” and Disney’s “The Mandalorian” as series that have had significant cultural zeitgeist impacts without the help of cinemas. “It doesn’t mean moviegoing goes away,” Iger said. “I’m a big believer in movies. I love big movies… but it doesn’t come back to where it was.
Iger pointed to HBO’s “Game of Thrones” and Disney’s own “The Mandalorian” as series that have made significant impacts on the cultural zeitgeist without assistance from cinemas. It doesn’t mean moviegoing goes away,” Iger said. I’m a big believer in movies. I love big movies … but it doesn’t come back to where it was. “
