PAUL MCEVOY Research Manager, BFI CAPTURING THE MOMENT, CAPTURING THE AUDIENCE

• Are audiences engaging with film at the cinema? • What is driving audience engagement? • What are the drivers of change in audience tastes and preferences? • What does this mean for film making in the future? WE ARE FILM LOVERS

Certain images have been removed for copyright purposes WE ARE CINEMA-GOERS

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190

170

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110

90

70

50 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 Cinema Admissions (millions) 1971 2018

Source: comScore WE ARE CINEMA-GOERS

65%

54%

48% 45%

40% 39% 36% 34%

27% 25% 24% 23% 21%

12% 10% 8% 5% “Places or events you likeyourin freeyou to visit“Places time”or events Restaurants and cafes and Restaurants Cinema stores street Centres/high Shopping attractions and sites Historical Museums nightclubs and Pubs events music or live Concerts Theatre Exhibitions Musicals events Sporting parks Theme galleries Art circus the or Fairs worship of Places dance / Ballet Opera

“Which, if any, of the following places or events do you like to visit in your free time?” Sample: 169,183 Source: YouGov Profiles August 2019 THE DNA OF CINEMA RESILIENCE

Screens per 100,000 Number of films released Ticket prices2 people1 annually1 2008: £5.18 2017: £7.49 2018: £7.21 +10% +41% 2019: £7.37

1. BFI Statistical Yearbook: 2. Dodona WHY CINEMA-GOERS GO BIG SCREEN THEATRICALITY

“The only way studios can reliably defeat at-home consumption and alternatives is by offering a spectacle that simply needs to be seen on a big screen (Avengers: Endgame) or has such cultural relevance audiences can’t wait until the home entertainment release to catch up (Us, or again, Avengers: Endgame).”

Michael Ball, “The absurdities of franchise fatigue and sequelitis, (or what is happening-to-the-box-office?!). WHY CINEMA-GOERS GO BIG SCREEN THEATRICALITY

79 75 73

57

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I go to the cinema for a There are some films which Going to the cinema is a I prefer watching films at the I only watch films the cinema "big screen" experience need to be seen at the social event cinema as opposed to cinema watching at home % 16-30s Agree Sample: 700 Source: BIFA: “Under 30s and Film”, 2019 MARKET CONCENTRATION % SHARE OF BOX OFFICE BY RANKING RANGE 70 +11% 60 Vs. 2008

50

40 +9% Vs. 30 2008

-25% 20 VS 2008 10 498 787 releases releases -27% VS 0 2008 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 % share of top 20 % share of 21-50 % share of 51-100 % share of rest

Source: BFI Yearbook, RSU Analysis PRODUCT TRENDS % SHARE OF UK BOX-OFFICE BY GENRE

Action, Animation and Adventure Drama Comedy 70 18.1%

60 16.7% of all releases 50 18.4%

40 20.7% of all releases 30

37% 20 38.3%

15.8% 10

35.6% of all 16.9% releases 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 YTD

Source: BFI Yearbook, RSU Analysis THE TRIPLE A’S - TOP TITLES Total Total £ Box-office Number of Title Distributor (Millions) Admissions (000's)* Avengers: Endgame* 83.2 11,283 DISNEY Star Wars: The Last Jedi* 78.3 10,459 DISNEY Avengers: Infinity War* 66.6 9,232 DISNEY The Lion King* 66.1 8,971 DISNEY Toy Story 4 58.6 7,954 DISNEY Incredibles 2 52.2 7,244 DISNEY Black Panther 47.8 6,628 DISNEY Despicable Me 3 44.4 5,930 UNIVERSAL Guardians Of The Galaxy Vol. 2 38.8 5,179 DISNEY Jurassic World: Fallen Kingdom* 38.6 5,348 UNIVERSAL Peter Rabbit 38.0 5,270 SONY Captain Marvel 37.0 5,024 DISNEY Jumanji: Welcome To The Jungle 35.8 4,783 SONY Aladdin* 34.5 4,687 DISNEY Spider-Man: Far From Home* 33.5 4,551 SONY Fantastic Beasts: The Crimes Of Grindelwald* 32.2 4,462 WARNER Deadpool 2 30.8 4,271 20TH FOX Thor: Ragnarok 29.0 3,876 DISNEY Spider-Man: Homecoming* 28.4 3,791 SONY Fast & Furious 8 27.8 3,713 UNIVERSAL The Boss Baby 26.6 3,556 20TH FOX Sing 26.2 3,500 UNIVERSAL The LEGO Batman Movie 25.3 3,375 WARNER The Grinch 25.0 3,465 UNIVERSAL *UK Certified Films. Kingsman: The Golden Circle* 24.0 3,200 20TH FOX Admissions = box-office / annual ticket price Source: comScore / BFI RSU Analysis. Period: 01/01-2017 – 27/08/19 DISNEY – THE BRAND EMPIRE •Global reach •Franchise acquisitions •Consumer awareness •The Big Picture: • “Disney isn’t in the movies business, it’s in the Disney brands business. Movies are meant to serve those brands”. • “Disney has taken a huge chunk of the risk out of a risky business”1.

*UK only box-office. 1: The Big Picture, Ben Fritz Source:Comscore SEEKING DIFFERENCE

50% 50% “Prepared to see unfamiliar films at the cinema”

% Cinema-going Adults Agree: “I am prepared to take a risk in going to films I don't know much about” Sample: 8,773. Source: BFI Nations + Regions Survey, August 2019. YouGov. INFLUENCING THE RISK-TAKERS

YouTube film Online film review Social media Word-of-mouth Film trailers trailers, clips, aggregation sites trailers previews 65% 48% 39% 35% 31%

*Cinema-going Adults Agree: “I am prepared to take a risk in going to films I don't know much about” “Which source do you use to decide what film to watch?” Sample 8.773. Source: BFI Nations + Regions Survey, August 2019. YouGov. THE AUDIENCE SPENDS, THE AUDIENCE SHARES

BLACK THE PANTHER FAVOURITE

£50.6 million £17 million

“Memorable RELEVANCE “Gorgeous SPECTACLE RELEVANCE “Captivating” SPECTACLE characters” visuals”

“Unique” “Must Watch” “Unique” “Must Watch” “Fresh” INNOVATION PROMOTION INNOVATION “Imaginative” PROMOTION

Source: comScore / Google Knowledge Panel, Movie Reviews Top Voted Tags CAPTURING THE MOMENT, CAPTURING THE AUDIENCE

Certain images have been removed for copyright purposes