The movie magic is gone - Hollywood, which once captured the nerve center of American life, doesn't matter much anymore.
It is hardly news that for years now the American motion picture industry has been in a slow downward spiral. Though by some accounts attendance was slightly up in 2006 over the previous year, the box-office tracking firm Exhibitors Relations reported that attendance actually declined yet again, reaching its lowest point in 10 years. And though defenders of the industry protest that foreign markets account for 40% of a film's revenue and that those proceeds are compensating for falling domestic box office, foreign receipts have been down too, and even DVD sales are plateauing. In short, the overall trends remain discouraging.
Even more worrisome than what could be just a cyclical dip is how people are regarding motion pictures and the moviegoing experience. A recent Zogby survey found that 45% of American moviegoers had decreased their attendance over the last five years, with the highest percentage of that decrease in the coveted 18- to 24-year-old bracket; at the same time, 21% of respondents said they never went to the movies. The two most-cited reasons for seeing fewer movies were rising ticket prices and the quality of the films (a perpetual culprit).
Another survey, this one conducted by PA Consulting for the Motion Picture Assn. of America, reached an even more chilling conclusion. Eighty-three percent of its respondents said they were satisfied with the content of the films they saw, but 60% nevertheless expected to spend less of their income on moviegoing in the future, citing dissatisfaction with the moviegoing experience and the emergence of better alternatives for their time and money.
