A week after the release of Bird Box, a popular thriller, around 45 million viewers had streamed it online, according to a report released by Netflix. This was a record broken in the Netflix platform, but it also meant some drastic changes were happening in the Cinema industry.
In earlier years, the movie would have collected billions of euros after screening in cinemas, but this was not the case for the Mary Poppins movie. Though it did top in the UK box office ranking, it only had £7.4 million in revenue.
Increased Appetite for Home Streaming
The war between Netflix and traditional cinemas is no secret. Even before people got fond of watching movies from home, the company offered a mail-order service to deliver DVDs and have ever since planned to be the future of how the general public accesses movies.
The 20th century was Hollywood’s glory days where they would shoot movies and then screen them in theatres before releasing them to the public for viewing. This made them make a lot of money from owning theatres until a violation of the antitrust laws was reflected in 1948.
After this significant legal issue, most studios sold their theatres. In any case, with more people owning television sets, the business in the film industry was already taking a whole new direction. In the 1980s, the window period came into play to find a balance between theatres and home video.
The Netflix Age
While Hollywood made its biggest sales from ticket sales, Netflix introduced the subscribe-to-watch business model that people find more convenient and accessible. Even with the new model, Netflix still had limits with content that was owned by different producers. To break this boundary, Netflix started producing its own content with the likes of House of Cards in 2013.
Though Netflix is still making more adjustments, people are already glued to their screens like never before, at the comfort of their homes.