Happy ending on hold for cinemas as lack of films hits hard

Australia’s cinemas could be waiting some time for their happy ending as they weather the ongoing impact of the coronavirus.

While cinemas in all states – including Victoria from 9 November – have been permitted to reopen under strict guidelines on their capacity and patrons per square metre, the cinema industry faces further challenges in the coming months.

Some of Australia’s most historic cinemas and picture theatres have come up with innovative ways of turning a dollar in the wake of COVID-19, including streaming services, candy bar home delivery and splitting events into two sittings to allow more patrons to attend.

But National Association of Cinema Operators executive director Michael Hawkins said even after reopening, many cinemas are battling due to the lack of films being pushed out internationally.

“For any cinema relying on global releases, times are certainly difficult at present with those global releases being pushed back to next year,” Mr Hawkins said.

“The short-term does look difficult for cinema operators, especially those paying rents.”

But for those operators that are able to ride out the current challenges, Mr Hawkins said the tide could turn quickly.

“Whilst the short-term might be difficult, with all the films that are being pushed back it makes for the promise of a huge ’21/22 – a great number of diverse titles with the promise of great box office receipts,” he said.

Mr Hawkins also pointed to the unique opportunity for Australian and independent films to gain a greater audience than they might have been able to capture before COVID struck.

“For the cinemas that are presently open, there is a great opportunity for smaller and/or independent films to find an audience,” he said.

“It is a great opportunity for Australian films to seize the moment. Films that can be released by territory, rather than globally, can be released.”

Many cinemas are currently being supported through the federal government’s JobKeeper scheme, which Mr Hawkins said has propped them up but cannot sustain them long-term, with rents still due and the potential for outbreaks to force further closures.

“Cinemas are grateful for the support of JobKeeper, but may require ongoing support with rents if closures continue and new waves take hold.”