Young audiences flock to theaters, proving movie cinemas' enduring appeal—for now

The news: National Cinema Day (last Sunday, August 27) reported 8.5 million attendees, a 5% increase from last year's event.

• All tickets, regardless of format, were priced at $4.
• The Cinema Foundation-sponsored event led to a 16% jump in box office collections from the previous Sunday, resulting in $34 million in ticket sales. Last year's event generated $24.3 million.
• Over 3,000 venues participated, with many theaters reporting sold-out shows.

Yes, but: Deadline notes National Cinema Day admissions contributed to 59% of the entire weekend's foot traffic. For context, last year's event accounted for 77% of the Labor Day weekend's ticket sales, which could suggest diminishing returns for this type of stunt.

• The average US movie ticket cost $10.53 in 2023, up from $4.35 in 1995, per The Numbers.

Our take: The event demonstrates that it’s possible to get audiences—even younger ones—to pay more for an in-theater experience.

• The 18-to-24 and 25-to-34 age brackets each constituted 22% of the audience, with 13- to 17-year-olds accounting for 16% of ticket buyers.
• Those figures are impressive considering three in 10 individuals in the US watch free premium streaming video and have access to other free or low-cost alternatives.
• The increase from last year's National Cinema Day suggests a sustained interest in cinema. Given that word of mouth is paramount to viewers’ consumption habits, it’s up to studios to continually deliver content worth paying a premium for. That may be a tall order.