Movie Theatres in Canada Industry Market Research Report from IBISWorld Has Been Updated
New York, NY (PRWEB) January 23, 2015 -- Though the Movie Theatres industry has grown overall over the past five years, its performance is largely dependent on the success of failure of major film releases. For example, the anticipated releases of films like Star Wars Episode VII and Jurassic World are expected to drive strong ticket sales in 2015, and movie theatres are projected to experience above-average growth during the year. According to IBISWorld Industry Analyst Darryle Ulama, “Although per capita disposable income directly influences households’ ability to spend on discretionary services such as movies, the marketing efforts and popularity of blockbuster films largely determines revenue for a given year.”
Over the past five years, 2012 was also a particularly successful year for the industry, as a number of hit films underpinned healthy box office sales and revenue growth. Because the industry is highly concentrated, with the largest company, Cineplex, controlling half the market, overall industry growth is also highly impacted by this dominant player. Consolidation of the industry is expected to continue in the next few years as the largest companies add amenities and force the exit of many independently operated theatres that are unable to compete. Industry revenue is expected to increase moderately on average over the past five years, a trend that is anticipated to continue through 2020.
The industry faces some threats, however. “Movie attendance has flattened overall in recent years, mostly due to the growing popularity of video-on-demand streaming services,” says Ulama. Competition from these services is relatively limited in Canada due to bandwidth caps from most internet service providers, but they still represent a less expensive alternative to industry establishments. Film exhibitors have combatted declining attendance by focusing on concessions and other more lucrative revenue streams, as revenue from ticket sales is often split with distributors. Sales of concessions have helped industry operators maintain profit throughout the past five years. Still, the theatres are expected to continue to rely on the draw of blockbuster films to sustain revenue.
For more information, visit IBISWorld’s Movie Theatres in Canada industry report page.
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IBISWorld industry Report Key Topics
This industry comprises businesses that primarily exhibit movies. It includes cinemas, drive-in and outdoor movie theatres, and film festival exhibitors.
Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US and Canadian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.
Gavin Smith, IBISWorld, +1 (310) 866-5042, [email protected]
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