A How multiplexes can thrive in the age of OTTs

In the age of OTT (Over-the-Top) streaming services, which offer on-demand content at a fraction of the price of a movie ticket, multiplexes face significant challenges. However, they can still thrive by adapting to changing consumer preferences and leveraging their unique strengths. Here are some strategies multiplexes can employ to stay competitive and relevant in the OTT era:

1. Enhanced Movie-Watching Experience:

• Immersive Formats: Multiplexes can differentiate themselves from OTTs by providing a superior movie-watching experience that OTT platforms cannot replicate. This includes IMAX, Dolby Atmos, and 4DX formats that offer high-quality visuals, sound, and even physical effects (like motion seats, scents, and temperature changes).
• Luxury Seating and VIP Experience: Offering premium seating, such as recliners with more legroom, can make moviegoing more comfortable and enticing. Cinematic lounges with food and beverages enhance the experience, positioning the multiplex as a night-out destination rather than just a place to watch a film.
• Event Screenings: Multiplexes can host special events, such as live-streamed concerts, sporting events, or theater performances, creating a unique cultural experience that cannot be replicated on OTT platforms.

2. Exclusive Content and Early Releases:

• Exclusive Releases: Multiplexes can collaborate with film studios to secure exclusive early releases or special screenings that are unavailable on OTT platforms. This is especially effective for highly anticipated blockbuster movies, where audiences want to be the first to see the film in theaters.
• Special Screenings and Fan Events: Hosting exclusive Q&A sessions, behind-the-scenes features, or director’s cut screenings can attract movie lovers who enjoy deepening their connection with the content.

3. Community Engagement and Social Experiences:

• Interactive Experiences: Creating immersive, interactive movie experiences—such as fan events, themed nights, or interactive screenings—can make multiplexes more engaging and social. Fans of specific genres or franchises can gather together, making the theater feel like a communal hub.
• Loyalty Programs: Multiplexes can create loyalty programs that reward frequent moviegoers with discounts, exclusive offers, or free tickets, encouraging repeat business.
• Family-Oriented Offerings: By offering family deals, child-friendly screenings, or events like birthday parties at the theater, multiplexes can cater to audiences seeking more than just the film itself.

4. Diverse Content Offering:

• Niche Audiences: In addition to blockbuster films, multiplexes can cater to niche markets, including independent films, regional cinema, art-house movies, and documentaries. These offerings attract moviegoers who are looking for unique content that may not be readily available on OTT platforms.
• Multilingual and Regional Films: Offering films in various regional languages and catering to diverse cultural tastes will broaden the audience base and attract people who prefer movies in their native language or specific genres.

5. Flexible Pricing and Subscription Models:

• Dynamic Pricing: Just like OTT platforms have subscription models, multiplexes can experiment with dynamic pricing where ticket prices are adjusted based on demand, time, or even the popularity of a film.
• Membership/Subscription Programs: Introducing membership models that allow customers to watch multiple movies per month at a flat rate (similar to an OTT subscription) could make multiplexes more attractive. This model encourages people to watch more movies in theaters, thereby increasing foot traffic.

6. Improved Concessions and Dining Options:

• Gourmet Food and Beverage Options: Offering a variety of food and drink options, including gourmet snacks, meals, and even alcohol in select theaters, could enhance the multiplex experience and provide more value to customers.
• Dining-In Options: Multiplexes can offer dine-in theater experiences, where customers can enjoy a meal while watching the movie, creating a more premium and memorable outing.

7. Leveraging Technology for Convenience:

• Online Booking and Personalization: Multiplexes should improve their online booking systems to provide convenience and personalization. This includes features like selecting seats in advance, offering movie recommendations based on past visits, or giving early access to new movie listings for members.
• In-Theater Apps: Developing an app that allows moviegoers to pre-order snacks, check film schedules, or access loyalty rewards during their visit can enhance the customer experience and encourage repeat visits.
• Augmented Reality (AR) and Virtual Reality (VR): Multiplexes can experiment with AR and VR experiences that immerse audiences beyond traditional screenings, providing additional content or interactive games related to the films.

8. Hybrid Distribution Models:

• Simultaneous Releases (Theatrical and OTT): Multiplexes can adapt to the rise of OTT by exploring hybrid models, where films are released both in theaters and on streaming platforms at the same time. While OTT may capture home viewers, the theater experience can still be promoted as the premium way to watch the film.
• Partnerships with OTT Platforms: Some multiplex chains have partnered with OTT platforms to host exclusive screenings of content that would otherwise only be available digitally. For example, showing Netflix’s original movies on the big screen can draw OTT fans to multiplexes, and these events could include special features or live discussions.

9. Fostering a Cinema Culture:

• Cinema as a Social Experience: Multiplexes should position themselves not just as places to watch movies, but as social and cultural spaces. Hosting film festivals, director meet-and-greets, or workshops on filmmaking can attract cinephiles who enjoy the community and cultural aspects of cinema.
• Education and Engagement: Multiplexes can educate audiences about the value of the theater experience, its immersive nature, and why it’s worth the premium ticket price, even in an age dominated by on-demand content.

Conclusion:

In the age of OTT platforms, multiplexes need to evolve and innovate to remain relevant. By offering an experience that OTTs cannot replicate—whether it’s through immersive formats, premium services, exclusive content, or social and cultural engagement—multiplexes can continue to thrive. The focus should be on creating a unique, enjoyable experience that draws audiences out of their homes and into theaters, positioning cinemas as an essential part of the entertainment ecosystem.

1) Strategic alliances with OTT platforms

Strategic alliances between multiplexes and OTT platforms are an increasingly important way for cinemas to adapt and thrive in an age where streaming services dominate home entertainment. These alliances create mutually beneficial partnerships where both parties can leverage each other’s strengths. Here are some ways multiplexes can form strategic alliances with OTT platforms and the potential benefits:

1. Exclusive Film Screenings:

• Premiere Events: Multiplexes can collaborate with OTT platforms to host exclusive film premieres that attract audiences who are eager to watch content that’s available on both platforms and in theaters. These could include exclusive screenings of movies or shows that are primarily released on streaming platforms but are offered in select cinemas for a limited time.
• Simultaneous Release: In some cases, OTT platforms and multiplexes can partner to release films simultaneously in theaters and online, allowing audiences to choose between streaming at home or experiencing the film in a theater. While OTT viewers have the convenience of watching at home, theatergoers get the immersive, high-quality experience.

2. Subscription Bundles:

• Package Deals: Multiplexes can offer OTT subscriptions as part of their membership or loyalty programs, where moviegoers who sign up for a multiplex’s subscription can also get a free or discounted subscription to an OTT platform. This creates added value for both the multiplex and the OTT platform while increasing customer retention for both services.
• Movie Ticket & Streaming Bundles: Multiplexes can sell bundled packages where customers get a combination of a movie ticket and OTT subscription for a discounted price. This benefits customers who want flexibility in how they consume entertainment while supporting both platforms.

3. Co-Productions and Film Distribution:

• Co-Producing Content: Multiplexes could collaborate with OTT platforms to co-produce films or series that are both released in theaters and streamed online. This expands the audience reach and builds anticipation for the release of the content in multiple formats.
• OTT Distribution for Theatrical Releases: Multiplexes can give OTT platforms the rights to stream films after their theatrical run (sometimes as exclusive content). This helps OTT platforms by expanding their library with high-demand titles while extending the lifecycle of a film post-theater.

4. Enhanced Marketing and Cross-Promotions:

• Joint Marketing Campaigns: Multiplexes and OTT platforms can jointly promote films and series through cross-marketing initiatives. For example, a movie showing in multiplexes can be heavily advertised on an OTT platform, and vice versa. This could involve social media campaigns, email newsletters, and in-app promotions.
• In-Theater OTT Ads: Multiplexes can partner with OTT platforms to feature their content through advertisements in theaters before the start of a movie. This could include trailers for new content that will be available on the OTT platform or exclusive behind-the-scenes features.

5. OTT Content Screening Events:

• Special OTT Showings: Multiplexes can host special screenings of OTT content, such as Netflix Originals or Amazon Prime Video Series, in a theater setting. This could include exclusive episodes, behind-the-scenes features, or even live events like Q&A sessions with creators and actors.
• Documentary Screenings or Limited-Series Releases: OTT platforms often produce high-quality documentaries and limited-series. Multiplexes can capitalize on this by offering exclusive screenings of documentaries or limited-series episodes, giving fans a chance to experience high-quality content in theaters.

6. Leveraging OTT Data and Customer Insights:

• Targeted Marketing through OTT Data: OTT platforms often have access to valuable customer data, such as viewer preferences, behaviors, and demographics. Multiplexes can leverage this data for targeted advertising and personalized marketing efforts to increase foot traffic, such as offering discounts for customers who watch similar movies on streaming platforms.
• Audience Analytics: By using the customer insights from OTT platforms, multiplexes can better understand what type of content is most likely to resonate with their audience and adjust their screening schedules and film selections accordingly.

7. Creating a Hybrid Viewing Experience:

• Hybrid Release Models: Some OTT platforms and multiplexes can experiment with hybrid viewing models, where audiences who missed a theater release can stream the film on-demand after a certain period. Conversely, multiplexes can host events for OTT subscribers that might involve early screenings or interactive sessions with creators.
• Interactive and Immersive Experiences: OTT platforms can collaborate with multiplexes to create interactive movie screenings or augmented reality (AR) experiences tied to OTT content, such as exclusive virtual reality (VR) tie-ins or audience participation events, making theater-going a unique experience.

8. Expanding International Content:

• Global Content Integration: OTT platforms often produce global content that can be attractive to audiences in different regions. Multiplexes can leverage this by screening international films and series that are popular on OTT platforms, offering a chance for audiences to watch these titles in a high-quality theater environment. This could be especially appealing for content like foreign films, K-dramas, or regional-language movies that have a large OTT following.
• Localizing OTT Content for Theaters: In collaboration with OTT platforms, multiplexes can host screenings of localized versions of international content, making foreign-language films and shows accessible to broader audiences, especially in regions where the content may not have been initially released in theaters.

9. Collaborations on Film Production and Licensing:

• Licensing Deals for OTT Originals: Multiplexes can negotiate licensing agreements with OTT platforms to bring OTT-original films and series to theaters, especially if those titles are expected to generate a lot of attention. This could help in bringing exclusive content to theaters and tapping into a new audience.
• Collaborating on Film Festivals or Film Releases: OTT platforms and multiplexes could come together to organize film festivals or special events where films debut both on OTT and in theaters simultaneously. These events can create buzz around releases and attract both theatergoers and streaming audiences.

10. OTT-Driven Content Libraries:

• OTT Curated Film Festivals or Series: Multiplexes could host film festivals or themed screenings that are curated by OTT platforms. For example, Netflix or Amazon Prime Video could select films or series to be showcased in theaters during a special event, bringing their digital-first content to a live audience.

Conclusion:

Strategic alliances between multiplexes and OTT platforms are a smart way to ensure that both entities can thrive in the competitive entertainment landscape. By combining the unique strengths of both—such as OTT’s vast content library and multiplexes’ immersive theater experiences—these partnerships can provide audiences with the best of both worlds. Whether through exclusive screenings, subscription bundles, co-productions, or cross-promotions, multiplexes and OTT platforms can create a symbiotic relationship that benefits both their businesses and their customers.