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1 Creative Audience Engagement 1 CREATIVE AUDIENCE ENGAGEMENT Exhibitors have diversified 2 CREATIVE AUDIENCE ENGAGEMENTPREMIUM 3 CREATIVEPREMIUM AUDIENCE ENGAGEMENT LOCAL 4 CREATIVE AUDIENCE ENGAGEMENT their offer to the preferences BOUTIQUE LARGE ARTPLEX ARTHOUSE POP-UP GIANT COMMUNITY of modern audiences ... CINEMA CINEMA CINEMA SCREEN SEATING FORMATS THEATRE WHAT’S NEW IN EUROPEAN CINEMAS? PAGE 2 Accessibility A increasingly diverse and Smart The cinema going experience Innovative Venues starts days before your visit engaging experience along Theatre creative AUDIENCE to the theatre – often on a all touch points of the Design Interactive Event- Screenings Immersive mobile device customer journey Driven ENGAGEMENT Sound, Community- Image and PAGE 4 Ancillary Cinema Motion Content Film Literacy Lobby Entertain- INNOVATION AND THE Alternative ment Content BIG SCREEN EXPERIENCE PAGE 18 Social Media Digital social Data- Engagement Analytics Innovation Personali- sation Cinemas continue to PAGE 24 Brand make huge investments in Partner- technology and innovation ships to offer ever more immersive PLACING CINEMAS AT THE CENTRE OF experiences to audiences EUROPE’S GROWTH STRATEGY FOR FILM PAGE 31 x2 3 HOURS ROOM FOR GROWTH: NUMBER OF FILMS ALTERNATIVE CONTENT 5 IN 10 8 IN 10 SCREENED IN CINEMAS FORECAST TO CONTRIBUTE 98% 2100 3000 UNIC CINEMA VISITS IRELAND AND EUROPEANS EUROPEANS A DAY HAS ALMOST DOUBLED DIGITISED PREMIUM IMMERSIVE SOUND PER CAPITA: FRANCE: DISCUSS FILM ON WATCH TRAILERS TIME TEENAGERS IN 15 YEARS $ 1 BILLION SCREENS LARGE INSTALLATIONS SOCIAL MEDIA ONLINE SPEND ON MOBILE 1.5 3.3 IN 2019 WORLDWIDE SCREENS AND WORLD WIDE ARTHOUSE POP-UP5 CREATIVE AUDIENCEGIANT ENGAGEMENT PREMIUM LOCAL 1 CREATIVE AUDIENCE ENGAGEMENT ARTPLEX CINEMA CINEMA SCREEN SEATING COMMUNITY THEATRE WHAT’S NEW IN EUROPEAN CINEMAS? WELCOME PAGE 2 from Phil Clapp Accessibility A increasingly diverse and Smart Welcome to this, our latest report exploring innovation and changeInnovative Venues engaging experiencein alongEuropean cinemas. Theatre creative AUDIENCE all touch points of the Design Interactive UNIC, the Union InternationaleEvent- des Cinémas | International Union Screenings Immersive customer journey of Cinemas, is the EuropeanDriven grouping of cinema trade associations Sound, ENGAGEMENT and key operators, now covering 36 territories. We promote the social, cultural and economic benefitsCommunity- of a vibrant cinema-going culture Image and PAGE 4 acrossAncillary Europe and seek to provideCinema an influential voice for cinemas Motion on issuesContent of shared interest.Film Audience growth andLiteracy box office resultsLobby over recent years across UNIC territories clearly show thatEntertain- cinema-going in Europe is thriving, INNOVATION AND THE becomingAlternative an ever more engaging, diversement and immersive experience. This Contentis thanks in large part to on-going investment in innovation by BIG SCREEN EXPERIENCE cinema operators and their partners. This report explores how the sector embraces new technological and consumer trends by exploring PAGE 18 three key areas: creative audience engagement; the big screen expe- rience; and social innovation. As our partners in government and across the industry value chain consider the future of our industry, we hope that this report helps social further to position cinema operators at the centre of their growth strategies. Innovation We hope you enjoy reading this report. Cinemas continue to PAGE 24 Phil Clapp, CEO of the UK Cinema Association,make is President huge of investments in the International Union of Cinemas. technology and innovation to offer ever more immersive PLACING CINEMAS AT THE CENTRE OF experiences to audiences EUROPE’S GROWTH STRATEGY FOR FILM PAGE 31 x2 ROOM FOR GROWTH: NUMBER OF FILMS ALTERNATIVE CONTENT SCREENED IN CINEMAS FORECAST TO CONTRIBUTE 98% 2100 3000 IRELAND AND HAS ALMOST DOUBLED DIGITISED PREMIUM IMMERSIVE SOUND FRANCE: IN 15 YEARS $ 1 BILLION SCREENS LARGE INSTALLATIONS 3.3 IN 2019 WORLDWIDE SCREENS AND WORLD WIDE 2 WHAT’S NEW? 3 WHAT’S NEW? EU10* BOX OFFICE WHAT’S NEW IN VS. HOME ENTERTAINMENT SECTOR INITIATIVE EUROPEAN CINEMAS? REVENUE IN 2015 Cinemathon International 29% 58% UNIC helped establish ‘Cinemathon Inter- Physical Cinema national’, a design thinking-led initiative with Video the aim of creating innovative business strate- gies for European cinemas. The first workshop brought together a diverse group of business strategists, technologists, architects, festival organisers, designers, artists, food entrepre- Cinema-going in Europe is thriving, becoming an Moreover these changes have led to a significant neurs, VR creators, and leading experts from ever more engaging, diverse and immersive experi- increase in the number of international and local many other fields. With the help of experi- ence thanks to creative entrepreneurship and on- films screened in cinemas. 6% 7% enced design thinkers, five multidisciplinary going investment in innovation by cinema operators Digital Video Pay-TV VoD teams worked on different opportunity areas, and their business partners. European cinema operators of all sizes and loca- each developing a prototype for the cinema- tions continue to embrace innovation and experi- going experience of the future. In 2015, the 36 European territories represented by ment with new ways to engage audiences. As UNIC saw admissions increase by six per cent and cinema-going becomes an increasingly eventful Take a look at the ‘Cinemathon International’ box office revenue by 12.5 per cent. This positive and digitally-connected experience, the sector €8.8 BILLION initiative and its five prototypes: growth trajectory is reflected around the World: in confidently competes with the myriad of online BOX OFFICE REVENUE 2016, industry analysts IHS Markit reported a box entertainment options available to consumers today. cinemathon.squarespace.com office rise of 9.1 per cent for 20 selected countries when compared to already record breaking results Cinemas are engaging with those who love the in the previous year. big screen in an ever more personal and seamless +12.5% fashion, as we will show in this report. European cinemas were among the first in the INCREASE FROM 2014 industry to commit to digitising their businesses. 163 % ESTONIA (276) Over the past 10 years, cinemas across UNIC 1.26 territories – in partnership with colleagues in film NUMBER OF FILMS distribution – invested more than € 1.5 billion in BILLION the digital transition of their theatres. SCREENED IN ADMISSIONS 116 % UK (761) CINEMAS (EU7) The introduction of digital technology has led (Evolution in % / to a paradigm shift across the cinema landscape. Theatrical releases) Massive improvements in sound and projection +6% quality, more flexible and efficient operations and INCREASE 83% POLAND (343) sophisticated audience engagement strategies continue to transform the experience and attract FROM 2014 increasing numbers of guests to our theatres. 59% GERMANY (596) 49% DENMARK (257) 48% ITALY (593) 30% FRANCE (654) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 5 CREATIVE AUDIENCE ENGAGEMENT Changing consumption habits and audience demo- graphics present cinemas with a huge opportunity Cinema operators continue to engage in more innovative and personal ways with those who love the big screen. to experiment with new audience development and Creative and collaborative use of technology – combined with exclusive theatrical experiences and marketing approaches to the long tradition of showmanship in the sector – attract more film fans to CREATIVE offers a unique opportunity to significantly increase their theatres, their efforts audience reach as well as frequency of cinema visits. As illustrated by the data below, there is huge poten- being driven by a few key tial for growth in attendances across Europe. trends: Why is there this confidence in the continued AUDIENCE appeal of the big screen? The shared experience of cinema-going with friends and family grows in value as consumers have access to a multitude of online distractions, while media consumption in the home increasingly happens in solitude. A visit to the cinema is part of the wider ‘experience economy’, ENGAGEMENT and as such has to deliver value along the customer journey. AVERAGE VISITS TO THE CINEMA Cinemas – with the help PER YEAR: of digital innovation – have turned into smart venues, enabling operators to EUROPEAN track, analyse and predict UNION: audience behaviour. Mobile devices and 1.9 social media are today UNIC a central element of TERRITORIES: the cinema-going experience. 1.5 The cinema ‘offer’ FRANCE: 3.3 has become increa- IRELAND: 3.3 singly diversified, SPAIN: 2.0 catering for changing POLAND: 1.2 and more fragmented preferences. Courtesy of 123rf / Photo: dolgachow 7 CREATIVE AUDIENCE ENGAGEMENT Country-wide online ticketing platforms provide a Dedicated mobile solutions by both large and single destination for film fans to discover new film small operators enable consumers to discover, releases and seamlessly buy tickets for their local MORE THAN share and buy tickets for films. MORE THAN theatre. 50% 80% 87% Odeon Booking Chatbot OF CINEMA-GOERS OF EUROPEANS OF CINEMA-GOERS DeinKinoticket.de DISCUSS THEIR WATCH FILM USE THEIR MOBILE In December 2016 leading European cinema operator EXPERIENCE ON TRAILERS ONLINE PHONE AFTER www.deinkinoticket.de is the leading cinema ticketing SEEING A TRAILER Odeon launched a ‘chatbot’ allowing cinema-goers to SOCIAL MEDIA find a cinema and book tickets for
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