China’s film industry hopes for a box office revival after last year’s slump
The cinema sector took a dive despite a year of government-supported incentives such as free movie tickets and measures to boost the supply and distribution of the films.
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BEIJING: Several new movies are set to hit theatres in China over the upcoming Spring Festival, as the Chinese film industry hopes for a box office revival after last year’s slump.
Box office revenue totalled US$5.8 billion last year, dropping 22.6 per cent from the US$7.5 billion in 2023, according to the China Film Administration.
This is despite a year of government-supported incentives such as free movie tickets and measures to boost the supply and distribution of films.
The slump was caused by various factors, from a decline in the number of feature films to competition from online offerings including micro dramas, said observers.
EMPTY CINEMAS
When CNA visited Wanda Cinema in Beijing’s Central Business District - known for hosting movie premiers and familiar to large crowds - on a Saturday night, the number of empty seats reflected a worrying trend.
A further check on seat availability across various cinemas in the Chinese capital through ticketing app Damai found that more often than not, even during popular timings on Fridays and weekends, less than 50 per cent of the seats were filled.
About 1 billion people went to the movies last year, down from almost 1.3 billion in 2023.
This falls short of industry insiders’ hopes for a sustained recovery that would mirror improvements seen last year. At that time, it was the fourth-highest box office in history, with a record number of films released due to the pandemic backlog.
Movie-goers who CNA spoke to said they would only visit cinemas a few times a year.
“In a year, I will only go to see a movie if there are more people watching it and the box office is higher,” said one movie-goer.
Another movie-goer said: “The main thing is to see what the film looks like and how it turns out when it’s released. I tend to be more selective.”
A total of 612 feature films were produced last year, down from 792 in 2023.
WEAK DOMESTIC CONSUMPTION
Industry leaders across China called for more reform earlier this month, encouraging more movies that resonate with audiences and to tap the international market.
China continues to face weak domestic consumption that has sunk to record lows.
This sluggish domestic consumption, which accounts for more than half of the country’s gross domestic product, is among the biggest drags in the Chinese economy.
In August last year, China’s State Council introduced new guidelines to boost domestic consumption, including measures to promote films.
Yin Wen Yan, assistant professor at the Seoul Business School at aSSIST University, said the government's measures to boost domestic consumption are not enough, as they are primarily focusing on the consumption side.
“But actually we need to also address some other more fundamental factors such as supply and competition-related factors,” she told CNA’s East Asia Tonight.
“Consumers actually are not just satisfied with star-driven films, but they are looking for better-quality content.
“The online platforms can provide more convenient and also affordable content, and these are particularly appealing to the consumers, particularly during difficult economic times.”
There is a need to maximise the global appeal of Chinese film, beyond just fostering national identity, she noted.
“Although the Chinese government has been doing a lot to encourage and increase the export of domestic films in the overseas market, I think in order to increase the global appeal of Chinese films, the Chinese government (and) also Chinese filmmakers, may need to change their approach and strategy when developing their films.”
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