Will Movies Weather Recession?
The movie business may not be as recession proof as some industry executives have suggested, the Los Angeles Times observed today (Wednesday), citing a recent study by Forrester Research. According to the study, consumers now have numerous cheaper alternatives to a night at the movies -- particularly the Internet. It found that most adults 25-34 are most willing to sacrifice moviegoing during a recession but they are least wiling to give up Internet access. They are also bypassing Netflix and brick-and-mortar DVD rental stores and picking up DVDs instead at supermarket kiosks that are renting them for $1.00 a pop. The study, however, was dismissed by John Fithian, CEO of the National Association of Theater Owners, who told the Times " "It's not that the cinema business is completely immune to recessions, but the industry appears to be recession-resistant. If there are decent movies, people are going to come out."