HOLLYWOOD STOCK EXCHANGE
THE ENTERTAINMENT MARKET
THE ENTERTAINMENT MARKET
Tenet's numbers are definitely pandemic influenced. The demographic for a smart, edgy high concept flick appeals to people who would think
twice before going out in a pandemic. That being said, it opened to what I think was about 1/3 of its potential (50-60m opening in July) so there were some folks that wanted to get out and catch a movie and this was the only "event" pic out there.
With a movie like Wonder Woman...that has family appeal (Tenet does not). It is a 4 quad pic that will draw groups of people. And yet, the pandemic will likely dampen its gross as well. Warners is in a tough spot. I don't think PVOD is the way to go...delaying release would be the option if the profit gain makes it worth it. No doubt, WB will be watching to see if Tenet legs out some numbers. I don't know that it will particularly with a B Cinemascore. (Yes, it would be nice if theaters could just close and wait this out but that isn't going to happen in the States...yet)
I believe it has been proven that a theater release improves the profitability of a subsequent VOD release. Theaters will contract. RIght now, they are cannibalizing what little attendance there is out there. Dividing 30-40m amongst 3000 theaters is $13,000/weekend if on the high end of 40. Then the Distrib wants their cut. Concessions are back to pre-expanded menu so per caps are lower albeit food costs will likely be lower.
There will be a lot of analyzing the cost of getting back to where theaters were which cannot happen until there is a successful vaccine for Covid-19. And then, the theaters that remain in operation might get the same volume as before simply because some locations will have to go.
I think it has much more to do with a pandemic - than the product. Sep 07, 20:16
Tenet's numbers are definitely pandemic influenced. The demographic for a smart, edgy high concept flick appeals to people who would think Sep 07, 22:15
Are you assuming a 100% take rate for the vaccine? And food costs are as high as they have ever been across the board. {nm} Sep 07, 23:13
Does the rate matter if it's effective? Those who take it are protected, those who don't already didn't care about covid. {nm} Sep 08, 08:17
(Similar to the one at DC Entertainment a few weeks back) {nm} Sep 08, 06:20
