Italian cinema faces pandemic and streaming challenges

The Italian cinema sector is grappling with a dual crisis: pandemic closures and the rise of streaming platforms. SIAE data shows a decline in audience spending from €850 million in 2010 to €790 million in 2019, despite an increase in the number of shows from 2.5 million to 3.2 million. Average spending per show dropped from €330 to €240. An EY study reported that by July 2020, streaming platform users in Italy had grown by 11 million since 2017, reaching 16 million total. Unlike theater, cinema products are available across multiple distribution channels, leading to a devaluation of the traditional value chain. Independent cinemas have responded by strengthening audience relationships, a strategy large multiplexes have yet to adopt. The article suggests that new technologies like IoT and augmented reality could enhance the cinema experience beyond social media.