Hollywood Sets $10 Billion Box Office Record
kamikazearun sends in a TorrentFreak analysis that begins "Claims by the MPAA that illegal downloads are killing the industry and causing billions in losses are once again being shredded. In 2009, the leading Hollywood studios made more films and generated more revenue than ever before, and for the first time in history the domestic box office grosses will surpass $10 billion. ... [N]either the ever-increasing piracy rates nor the global recession could prevent Hollywood having its best year ever in 2009. With an estimated $10.6 billion in consumer spending at the US and Canadian box office, the movie industry will break the 2008 record by nearly a billion dollars."
"We could have made 20 Billion if it weren't for all of those pirates!"
"Kittens give Morbo gas!"
Why is it that news stories about movie revenues never take inflation into account?
If the box office receipts were way DOWN, someone here would post, "Clearly, the Hollywood moguls are out of touch with what moviegoers are interest in seeing. Maybe they should stop taking two martini lunches and doing coke in the back of stretch limos with starlets, and stop hiring yesterday's stars like Tom Cruise for $20 million a flick. Hello? That, not downloading, is what ails Hollywood today".
And every post contributing in support of that conclusion would be modded up. Maybe we'll get that a year from now.
There was an article a while back (no I can't find it with the 2 minutes of searching I did) where a magazine compared the ticket sales of economic recessions during the 90's and early 2000's. The summation of the article was that even with major blockbuster films, like Starwars ep 1, Hollywood made less money than the year before because times were good and people were doing things besides going to the movies, but in economic downturns they actually made more money. The theory was that audiences will attend movies to distract them from all the problems that they have instead of stewing in them.
I'll post it if I can find it but the laziness is running deep tonight.
Back in college I saw an ad before a movie where a stunt double, key grip and other low paid stagehands were filmed in front of their families, eating and doing things with them. Then they would look up and say something to effect of, "I can't feed my family. Because thieves steal my work online."
... because even though my employer posts record revenues, the justice system makes you are a perfectly legitimate scapegoat."
Someone should make an anti-anti-piracy ad with the same exact thing except when they look up they say, "I can't feed my family
Odds that the profits from this revenue make it back to the people who genuinely need it to keep the system healthy? Slim to none. Executive producer gets more executive while life risking stunt double gets poorer.
My work here is dung.
People are still willing to pay to go to the movies for the superior screen/sound and crowd experience. Although the impact is far less than they claim, I would imagine pirated movies hurt dvd sales more than box office, at least in the US.
To me, it is remarkable that for an industry that has been around for more than a century, is this large, and has become so integral to the lives of North Americans, that somehow, a growth rate of over 11% is achievable.
Which the inner geek in me embraces Star Trek but oddly the girlfriend would not go with me to the theater to see so I got it on dvd.
We did go see Twilight god help me got being so whipped.
From the article:
"The 2009 total was aided by a 28 cent increase in ticket prices from the year before to an average $7.46.
The total number of tickets sold, or admissions, is expected to reach 1.4 billion, up from 1.34 billion in 2008. Still, that figure is not expected to break the record 1.6 billion tickets sold in 2002, said Hollywood.com Box Office."
The reason for the higher revenue? Higher ticket prices. Ticket sales are down 12% since 2002. If you look at a long-term graph of ticket sales, you can see that it's been basically flat in the 2000s, compared to upper single-digit or double-digit growth nearly every year between 1970 and 2000. It's pretty much been stagnant since 2002.
Here's some numbers showing the trend:
2009 - Total Gross $9,782.4
2008 - Total Gross $9,630.6
2007 - Total Gross $9,663.7
2006 - Total Gross $9,209.5
2005 - Total Gross $8,840.5
2004 - Total Gross $9,380.5
2003 - Total Gross $9,239.7
2002 - Total Gross $9,155.0
2001 - Total Gross $8,412.5
2000 - Total Gross $7,661.0
1990 - Total Gross $5,021.8
1980 - Total Gross $2,749.0
http://boxofficemojo.com/yearly/
1980->1990 = 83% Growth in 10 years, average of 8.2% per year
1990->2002 = 82% Growth in 12 years, average of 6.8% per year
Then, *mysteriously*, something happened around 2002:
2002->2009 = 9.2% Growth in 7 years, 1.3% per year (using the $10 billion number, not the $9,782.4 for 2009)
To put that in perspective, 1.3% is less than the growth of inflation.
In other news, the number of AIDS patients is higher than ever, and yet, the average lifespan continues to grow. I'm sure we all can see the correlation here: AIDS = longer lifespans. Torrent Freak spins reality even more than FOX news. I wish Slashdot wasn't such a fan of the pro-pirate spin.
I would imagine pirated movies hurt dvd sales more than box office, at least in the US.
Bad movies & remakes hurt dvd sales & box office more than piracy.
As does hollywood accounting.
As does their constant desire to waste ridiculous amounts of money on SFX & overpriced actors.
Because to some of us movies are fun. Sorry if my idea of fun is lame. I could theorize that any attempt to replicate a theater experience at home is also "lame" but that would be rather presumptuous.
The $10 billion number is gross revenue. It does not take into effect the costs of making more movies than ever before. Never mind that making more movies means spending more money and that movie budgets are also increasing.
-mkb
"I could theorize that any attempt to replicate a theater experience at home is also "lame" but that would be rather presumptuous."
It could be quite interesting and not "lame" at all.,,
Invite as many derelicts as you can find over for whiskey and popcorn, then hand out prepaid cellphones so they can enjoy them while watching the movie.
"This post is an artistic work of fiction and falsehood. Only a fool would take anything posted here as fact."
I think that a lot of this "piracy" business that the MPAA and RIAA is a load of crap. For example, one of the loudest voices against Napster (before the became "legit") was Metallica. In one of the tape inserts for one of their albums (I forget which one), they claim outright that they used to trade tapes back and forth and copy them all the time before they made it big. So, it is OK when they commited piracy, but it isn't now when they are a target of it? I'm glad their last album sucked....
People are still willing to pay to go to the movies for the superior screen/sound and crowd experience. Although the impact is far less than they claim, I would imagine pirated movies hurt dvd sales more than box office, at least in the US.
Overall people don't mind going to movies. After all, if the film is good and the projectionist is good, then it is (or should be) a great experience. It's not the same thing as the recorded music business, which was never about providing the total experience like movies have been for ages. I suppose a better parallel to a movie is a music concert. Again, it's about the whole experience and people don't mind paying for that. (Well, most people anyway. Enough to make it potentially very profitable.)
The threat posed by the internet to movies is not really piracy. It's that it is a different, new thing for Joe Sixpack to spend his entertainment money on. Is that a problem yet for the movie industry? Probably not, but that's where the real issue is. Note that this is not a legal threat. It's a threat to the very basis of getting such a large proportion of the national entertainment spend. Hollywood have long tried to counter this with things like film tie-ins, special websites, etc, with varying success. Will that change? No idea.
"Little does he know, but there is no 'I' in 'Idiot'!"
Although the impact is far less than they claim, I would imagine pirated movies hurt dvd sales more than box office, at least in the US.
Yes, and it should.
If I want to pirate a movie, I can go to a single site, find multiple options (1080p, 720p, ipod, ect) for just about every movie in existence. All of which are "in stock" and most of which I can download to my computer in less time it would take to drive to the store. The movie is presented to me without unskippable ads, without worry of scratching or losing, and can be archived without taking up space on my shelf.
All of this is free.
As most technical people are very aware, if I'm selling a product in a marketplace where a virtually identical product is available, I need to add value in order to get people to purchase through me instead of the competition. Adding value for movie studios is easy. They are selling legal copies and supporting the people who made the movies. The added value is already there. However, to add value, they need to provide an equivalent experience.
Currently, they aren't even close.
The television will not be revolutionized.
Everyone -- yes, every goddamn one -- knows that the Hollywood/MPAA (and the RIAA music fight) boils down to one thing: money in the pockets of executives. That's it. It's only about technology insofar how that technology impacts the bottom-line. It's not about art. It's about making sure a select group of executives make sure they can keep the mortgage payments on their Bel-Air mansions and can keep memberships in their country clubs. That's it. That's where my, yours, and everyone else's dollars are going: to buy some titanium fucking Big Bertha golf club for the peabrained asshole who's been crowned king of the other peabrained assholes working beneath him.
Valenti wants to make sure the cash keeps flowing into his pocket and into the pocket of every other overpaid, dim-bulb, "I can green-light this" executive motherfucker working the valley.
You want goddamn immorality? It's the entertainment industry and the people that run it that are at the very foundations of the "immorality" of piracy. Forget Janet Jackson's nipple. Forget Powell's sudden decision to attempt to regulate *cable* television today (!). Forget the fact (and I'll digress here) that the fundamentalist assholes that have gone to see Mel Gibson's "Passion" claim that it's a fantastic movie yet in the same breath decry Janet Jackson's nipple, the state of marriage, and the violence in contemporary culture -- overlooking perhaps that the Passion is more "violent" than any number of Grand Theft Auto games strung together and more "explicit" than any svelt little nipple hiding behind a sun-shaped nipple medallion. The hypocrisy of Valenti and his immoral executive motherfuckers is astounding. It boggles the mind.
Just think how much money they could have made if everybody here stopped stealing all their movies. At least another couple million dollars!
Sleep your way to a whiter smile...date a dentist!
Growth in retail sales proves that shoplifting is beneficial for shop owners.
Also,growth in highway fatalities proves that seat belts are dangerous,
and growth in violent crime clearly fingers video games.
Seriously, slashdot, this is the weakest argument ever.
... $10 billion include the overpriced popcorn?
Have gnu, will travel.
So, wait, you and your potential mates are so insecure and immature that you constantly need to be giving and receiving physical contact and interaction? You haven't grown up enough or don't appreciate the other person enough to just be in their presence from time to time? In the words of Mia Wallace: "That's when you know you've found somebody special. When you can just shut the fuck up for a minute and comfortably enjoy the silence."
Jesus was all right but his disciples were thick and ordinary. -John Lennon
For bonus points, you got with a girl you just met and at some point*, the people on the screen get naked and have sex... that always felt a bit weird.
* have you noticed that most movies have sex at 40 minutes in? The exception is if sex is a big focus in the movie so it opens with it.
She was like chocolate when she drank... semi-sweet at first and then increasingly bitter.
They could have afforded all three gold-plated Humvees filled with whores and coke, instead of only springing for two per person. Poor deprived movie execs...
Odi profanum vulgus et arceo
The theaters get to keep very little from ticket sales, almost all of their profit is from refreshments.
By superior do you mean "volume's too loud" and "a quarter of the audience are self-centered assholes"?
That's an innovative definition you've got there.
Hail Eris, full of mischief...
E pluribus sanguinem
I love how Hollywood just sends Michael Bay out with the single mission to fill cinemas.
If Hollywood really just wanted to make a quick buck, they'd just throw together a trailer full of tidal waves, nuclear bomb test footage, explosions, robots, Michael Bay's name, then release the obligatory blockbuster movie trailer with such delightful quips as: "in a world... explosion... awesome... teenage cleavage... het-er-o-sex-u-al... stuff you liked when you were twelve..."
It doesn't even matter if there is an actual movie. It will make BILLIONS.
Imainge if when you bought a DVD, it had no copy restrictions, it contained on it versions formatted for copying to a hard drive and for various smaller players (such as the iPhone), and instead of the "FBI WARNING: IF U STEEL THIS WE'LL COME AND GET YOU" (which only people who have already paid see), you saw one of the main actors saying, "Hi, this is Denzel Washington. I realize that you could have downloaded this illegally, so I just want to express my personal thanks to you for supporting the movie industry by opting to pay for this DVD instead. Please enjoy the show."
Piracy would probably only go down a few percent, but you could probably sell the DVDs, but overall DVD sales would grow, because people would be happy buying a DVD, instead of feeling screwed (as I always do).
TCP: Why the Internet is full of SYN.