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12 May 2020 

OTT film industry | 4 challenges when the doors are open again

The OTT film industry is experiencing interesting times since the corona virus outbreak. On the one hand consumers are watching online films more than ever before. Resulting in an increase of online revenues. On the other hand the OTT film industry is not able to sell their acquired films to the cinemas since the doors are closed for the audience. The big question in the film industry is:

 What will happen when the movie theaters are ready to open their doors?


 We collected 4 important challenges to think about.
OTT film industry versus theaters

OTT film industry versus theaters

Will the theaters open with full capacity?

The communal experience are the very things that people and health experts are concerned about. Therefore movie theaters will probably open with limited capacity, which is better than no capacity. However limited capacity will effect the whole business chain. What does this mean for your business? To get an better understanding of the impact on your business, you need to adjust your business model with different scenarios.

What films will be released?

Most blockbusters have been delayed to late summer, fall or even next year. What movies will be presented after re-opening the movie theaters? And will the public be interested to watch relative "old" movies? Contact as many distribution companies and movie theaters as you can, so you get an impression of the release strategies of the industry.

OTT film industry exploded!

Since the corona virus outbreak, video on demand exploded. Audiences are now used to watch movies from the comfort of their living rooms. Major studios also have made many current films available for online purchase at home. Will the audience find its way back to the theaters when they are open again? It's difficult to understand what will happen. But you can ask consumers via online questionnaires about their intentions. This will give you insights that you can take into account.

When will you release your films?

Small and big studios need to decide when they will release their films, depending on other studios scheduling and when audiences embrace going back to the movies again. What does this mean for your releases? It's wise to adjust your release plan of new films to next year. Of course you can decide to release also at the end of this year. But when you adjust your business model, it's smart to be conservative. We are confident that consumers will find their way back to the cinemas. However it will be different than before. It is therefore important to think now about what these changes will mean for your business and business model.