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Industry overall occupancy rate fluctuates downward, domestic cinema chains enter "inventory optimization" stage
People’s Financial News, March 25 — “The pilot program has received quite a positive response, and we are already studying the possibility of extending the service further,” said Zhou Minghui, manager of West Tiancheng Times Joint Cinema (referred to as “Times Joint Cinema”) in Hangzhou, to Securities Times reporter.
At the end of February this year, Times Joint Cinema launched an innovative service: viewers who are dissatisfied with their movie experience can apply for a 40% refund within 20 minutes. This service has received more than expected positive feedback. Zhou Minghui admitted that the launch of this service was partly due to intensified market competition, as cinemas seek to explore differentiated operating strategies; and partly to genuinely improve the movie-going experience for audiences.
In recent years, domestic annual box office revenue has fluctuated around 50 billion yuan, with overall theater occupancy rates declining. Amid fierce competition, some cinemas have chosen to exit the market, leading to a decrease in the number of cinemas nationwide this year; many others are upgrading equipment and optimizing services in an effort to “retain audiences.”