Big news: 72% of theaters across the U.S. were open for Memorial Day weekend.
Why this matters: In a typical year, Memorial Day weekend kicks off the summer movie season, which accounts for ≈ 40% of annual box office revenue.
U.S. movie ticket revenue (YoY growth) over Memorial Day weekend according to Box Office Mojo:
1) 2017 – $180.5M
2) 2018 – $227.0M (↑ 26%)
3) 2019 – $230.8M (↑ 2%)
4) 2020 – $240K (↓ 100%)
5) 2021 – $97.9M (↑ 40,612%)
Big question: With the pandemic subsiding in the U.S. and China, what could negatively impact future box office revenue?
Quick answer: Collapsing theatrical release windows for direct releases to streaming on/around premier day in theaters.
Quote from Jeff Bock – Senior Box Office Analyst @ Exhibitor Relations:
“We all know the 90-day window has been outdated for decades, as not all film or genres are created equal. Giving the studios more flexibility will ideally boost all financial sectors. Plus, it’s a sign of the times. Reaching your audience directly, engaging with them, is an an essential part of entertainment these days. And the best way to reach them is on the couch every evening.”
FYI: China’s box office revenue has ramped up faster than the U.S.
Fun: The history behind the Hollywood trailer!