Tim Richards, CEO and founder of Vue International, one of the largest cinema chains in the UK, stated that he does not perceive streaming services or home entertainment as competitors. During an interview on the BBC’s Big Boss Interview podcast, Richards noted that film studios attempted to bypass cinemas during the COVID-19 pandemic but incurred significant financial losses in the process. He emphasized the interdependence of studios and cinemas, suggesting that both play vital roles in the film ecosystem.
Richards reflected on the challenges faced by the film industry over the past five years, detailing Vue’s decline from its best financial year in 2019 to nearly two years of closure due to the pandemic. He also noted the impacts of recent actors’ and writers’ strikes on film production. While Richards worked to maintain the company and its 10,000 employees, streaming platforms like Netflix experienced a surge in subscribers.
Despite potential changes in film release models and reduced theatrical runs for certain films, Richards maintains a positive outlook for Vue, claiming the company has returned to pre-pandemic trading levels and anticipates a strong summer ahead. He suggested that a love for movies transcends formats, arguing that Netflix and Disney Plus subscribers also frequent cinemas.
Addressing broader economic challenges, Richards acknowledged ongoing cost-of-living pressures that affect revenue across the entertainment industry, compounded by rising operational costs. He stressed that despite these pressures, Vue has managed not to pass increased costs onto customers. Although he does not view streaming services as a direct threat, Richards voiced concern regarding competition from alternative entertainment options, such as theme parks and sporting events.
Richards, who has deep industry experience since founding Vue in 1999 after a tenure at Warner Bros., remains optimistic about cinema’s future, citing strong attendance among younger demographics.
Source: https://www.bbc.com/news/articles/c986d9jjv87o?at_medium=RSS&at_campaign=rss