London (March 18, 2016) – The UK Cinema Association has today issued the following statement regarding the ‘The Screening Room’ proposal currently being discussed in the US:
‘The Screening Room’ represents a massive risk to the future prosperity not only of this Association’s members and their counterparts in other territories, but also of colleagues across the wider film industry.
There is no evidence to suggest that significant numbers of people are willing to pay £35 ($50) to watch even the biggest films at home on day of release. Even if that were not the case, it is difficult to envisage how this proposal – if adopted – could do anything other than present an unprecedented opportunity for film piracy while at the same time damaging the foundations of a cinema business which remains the key driver of revenue for the entire business.
The cinema experience represents not only over 40 per cent of total film revenues, but also generates ‘word of mouth’ marketing which benefits every other subsequent platform. This proposal would therefore inevitably lead to a loss in overall income for the film industry.
We share a common goal with our partners in film distribution and all other elements of our industry – to encourage more people to watch more films. Our members continue to invest in innovation and development of their offers to present films in the most impactful environment, and thus continue creating true financial and marketing value for the entire industry, as they have for the last century.
There is of course a place for development of new business models in the industry, but that requires a collaborative approach.
The appropriate forum for this is through discussion between cinema operators, our partners in film distribution and those with realistic long term value-enhancing ideas, not those offering unsustainable alternatives.’
About The UK Cinema Association
The UK Cinema Association represents the interests of well over 90 per cent of UK cinema operators by number and market share. The Association’s membership includes single screen/owner managed sites as well as the largest circuit and multiplex operators. The UK Cinema Association advocates on behalf of the UK cinema sector at international, national, regional and local level.