Here are the first data on the actual consequences of the Covid 19 pandemic on the Italian film sector. Producers and exhibitors were particularly penalized, with the block of 20 film productions. The collapse of the box office, the surge in streaming, and the reduction in advertising investments.
For months there has been talking of the devastating consequences of the coronavirus pandemic in the cinema sector. Especially regarding the long closure of theaters which only began (very gradually) to reopen only from 15 June. But what are the real numbers of this impact? A first study on the subject has arrived in recent days and speaks of a turnover of cinemas dropped to – 40%.
The collapse of the box office
In addition to the block of exhibitors, there are 20 interrupted productions and an inevitable collapse in advertising investments, according to what emerges from the UniCredit study on the effects of Covid 19 on the film industry: the data released by e-Duesse were disclosed by the virtual roadmap The Italian Way. According to the report, the first immediate effect was the slump in box office revenue. It is estimated that the cinema sector may have lost about 40% of its annual turnover in the first half of 2020 alone. Despite some initiatives to support cinemas also through streaming, such as Miocinema. We remind you that cinemas have remained closed from early March until 14 June. The first week of the opening saw only a small part of the theaters actually returning to activity, mostly with the revival of titles already released in recent months (this was the box office on June 15 ). It is naturally hoped that things will slowly change in the coming weeks and with the return of blockbusters like ” Tenet “.
The block of sets
The second effect of Covid was “the interruption of the content supply chain”, since, as already anticipated. As many as 20 film sets in progress and in programming have stopped. And a slowdown in new productions is highly probable. The third effect is the collapse of television advertising investments, with consequent damage to the production of new content. The study also explained that the impact of the pandemic has not been the same in all areas. If distributors feel protected overall because they have the opportunity to enhance their titles on the platforms. The repercussions have inevitably been more burdensome for producers. and merchants. In particular, cinemas are certainly the most vulnerable sector,
The streaming boom
The fourth important consequence of the coronavirus is there for all to see. It is the boom in streaming services, which have seen a surge in new subscribers in the months of the lockdown. Companies such as Netflix, Amazon Prime and Disney + (the latter launched in Italy, coincidentally, precisely in conjunction with the block) have certainly benefited from the situation that has brought Italians locked up at home for a long time. These giants have been joined by various “minor” initiatives. And platforms that have tried to support auteur cinema. Without forgetting the choice of releasing various films destined for theaters directly in streaming on on-demand platforms.