Anything Goes : Could Netflix Kill the Movie Theater Industry? by Armando Alejandro

In the 50's TV was going to kill the movie theater. In the 80's the VCR was going to kill the movie theater. When things change people worry.

Yea, but they're a lot of differences between what's happening today then the 50's and 80s. The price of movie tickets is skyrocketing. The streaming technology and internet is making it more convenient. Home theater systems also making a difference. I don't think it will kill it, but it will definitely make a big dent on theaters if it continues like it is. It's easier now to release a new full-feature film to a streaming company like Netflix.

I wouldn't be surprised if up and coming directors and producers start making deals with Netflix.

In the 50's the ticket prices were skyrocketing and the new technology of free TV was making staying at home more convenient. TV made a big dent on theaters. In the 80's the ticket prices were skyrocketing and the new technology of renting movies was making staying at home more convenient. VCR's made a big dent on theaters. It was easier to make a full-length film direct-to-video. Average ticket price in the 1940's was 30 cents. Up to 35 cents by 1949. By the time TV was in most homes the average price was 65 cents – 185% higher. From 1975 to 1985 the ticket price jumped 162% From 2004 to 2014 the ticket price jumped 71% Adjusted for inflation a $1.79 movie ticket in 1974 would be $8.34 today. The average ticket price is $8.80 in 2014. So in the last 20 years ticket prices have not skyrocketed. Every few decades something threatens movie theaters. People 50 and 30 years ago thought movie theaters were on the way out. But this time you may be right. This may be the end.

Check out the documentary Room 666 made in 1982. It's a series of interviews with directors over concerns that video cassettes were going to kill off cinema. I don't think movie theatres are going anywhere fast but I do feel we are going to see some radical changes to how we consume cinema. The market to look at is music and how that's changed so radically in the last ten years. Hopefully the likes of Hulu, Netflix, and Amazon Live are going to redistribute wealth and opportunity across the board.

D Marcus: That's true, but the technology of those days was nowhere near where it is today. Let's not forget Youtube, Google, is also getting into the business with Youtube streaming. Now Facebook, is joining the mix. Facebook wants to start streaming movies. Every time I go to the theater, it's half full unless it's a major blockbuster. That's in Austin, TX where music and movie making is hot. We simply have better quality and more options then in those days. For example, I like the new show 'Gotham'. But I'm too busy to see it on Monday evenings. So later in the week when I have time, I go to the Fox TV shows website on my computer and stream the previous episode to my TV and watch it. I don't even have to DVR it. or like back in the 80's when I had use my VCR and have it record some show at a certain time. There is simply a lot more options. Oh, I almost forgot. We can stream movies on our mobile phones to.

There's no doubt that technology in the home is now competing strongly with movie theatres. I'm sure there's many consumers who currently prefer to stay at home with their big-screen, at their convenience, and eating pop-corn at prices closer to Wallmart than Wallstreet. But that's not to say movie theatres have nowhere to go. They are likely to adapt into offering something significantly more sensational than we are used to. Spielberg and Lucas have already stated they believe that going to see a movie will soon become more like going to see a huge concert performance. It will be expensive but also incredible. We've had IMAX, we've recently had the abundance of 3D, so expect more. Exactly what, I don't know.

You may be right, Armando. People in the 1950's said the same thing; "technology of the past is nowhere near where it is today". But theaters survived. Again, you may be right and theaters are on their way out. I'm just pointing out that your arguments have been made for 50 years; more convenient, better technology, skyrocketing ticket prices- yet theaters have survived.

As for me, I would love to see the theaters survive cause I still enjoying going to them and watching a flick. I just went to see The Equalizer and there were only 5 people in the theater. I even told the folks who work there, let's start the movie and skip the previews even though it wasn't suppose to start for another 20 minutes. I got to pick my own seat, right in the middle with nobody's head blocking my view. Great movie.

You guys might find this one interesting. I just posted this new article. http://variety.com/2014/film/news/time-warner-vs-netflix-analysis-never-...

Yep. The times are changin'. Technology is changing. The way we watch movies and TV is changing. Theaters face continuing challenges to get people in the seats. They have for 50 years. I just have a less pessimistic view of the future of movie theaters than you do.

It might make for a great story. The rise and fall of the movie theater, just like the Drive-In's. I saw my first Bruce Lee movies over 25 yrs ago at a drive-in.

Drive-ins have fallen for the most part. No argument there. I'd say that real estate played a huge part in that. Along with digital conversion; the projectors needed for such a long throw are more expensive than the ones needed for in-door theaters. and fewer and fewer film prints are made. I read an analysis of drive-ins in July. It stated that most of the remaining drive-ins are in rural areas where builders aren't looking for land for shopping centers. If I remember correctly CA has 17 and Texas has none. But I don't believe the movie theater is falling.