Digital Cinema Experience

The Digital Cinema Experience report from our partners, Peacefulfish and LEO (Lapin elämysteollisuuden osaamiskeskus or Lapland Centre of Expertise for the Experience Industry), is unique in considering the transition to digital cinema from the point of view of the experience economy. It argues exhibitors need not only to rethink operating and business practices in response to the digital cinema changeover, but also to consider how to apply the changes involved to enhance the consumer experience. Only in this way can extra revenues be generated to support the significant investment required.

Based on focus group research and expert interviews, these two sources of research information offer opposing views. The opinions of experts tend to be self-serving, concerned to protect the existing status quo or advance the cause of a particular sector. Consumers questioned in focus groups, by contrast, begin by expressing very low future expectations of cinemas, which they see as making an inflexible take-it-or-leave-it offer, then progress, under prompting, to expressing enthusiasm for and building on a range of initiatives to enhance the cinema experience.

The report authors argue that this experience extends far beyond simply watching a film, starting with anticipation when the plan to attend the cinema is first hatched, then passing through important rising and falling action phases before and after the film, until finally the memory stage is reached. All these stages offer commercial opportunities, with those pertaining to falling action - at their most basic, refreshment sales while customers talk over their film experience and memorabilia purchases, are almost completely ignored, with many cinemas content just to expel their customers into the darkness.

With younger consumers in particular willing to embrace the concept of a cinema as a total entertainment centre, the Digital Cinema Experience report offers important signposts for cinema owners and other interested parties eager to take the advantage offered by digital cinema technology to redesign the cinema experience for a new century.

product information

Digital Cinema Experience Published January 2008.

Electronic report with site licence £800. Click here to order.

report contents

Detailed contents of this 75 page report are laid out below.

1 INTRODUCTION AND SUMMARY

2 RESEARCH MOTIVATION AND BACKGROUND
2.1 Methodology
2.2 Basics of Experience Economy
2.2.1 Meaningfulness of the experience
2.2.2 Experience pyramid
2.2.3 Mass Customization
2.3 Digital technology and its opportunities
2.3.1 Digital cinema
2.3.2 Mobile platform
2.3.3 Online platform
2.4 Digital distribution and its implications for the digital cinema experience
2.4.1 Release of content to the public
2.4.2 Relation between exhibitors and distributors
2.5 Financing basics of digital cinema
2.5.1 The cinema market
2.5.2 Financing models

3 CURRENT CINEMA EXPERIENCE
3.1 Community
3.2 Programming
3.3 Events
3.4 Gaming
3.5 Alternative content
3.6 Online services
3.7 Mobile-related services
3.8 Interactivity
3.9 Catering
3.10 Cinema environment
3.11 Shopping
3.12 Advertising

4 FOCUS GROUP RESULTS
4.1 Significance of cinema
4.1.1 Teenagers
4.1.2 Singles
4.1.3 Parents
4.1.4 Third Age
4.2 Socialising and community
4.2.1 Teenagers
4.2.2 Singles
4.2.3 Parents
4.2.4 Third Age
4.3 Content, services and interaction
4.3.1 Content and services
4.3.2 Interaction
4.4 Advertising from the customer's point of view
4.4.1 Teenagers
4.4.2 Singles
4.4.3 Parents
4.4.4 Third Age

5 EXPERT INTERVIEW RESULTS
5.1 Significance of cinema
5.2 Socialising and communities
5.3 Digital content and services
5.3.1 Multiplatform content
5.3.2 Alternative content
5.3.3 Gaming
5.3.4 Programming
5.3.5 Shopping
5.3.6 Interactivity and events
5.4 Advertising and sponsoring
5.5 Target groups/ audiences

6 CONCLUSIONS AND RECOMMENDATIONS
6.1 Cinema as an experience
6.1.1 Individuality - interaction - customisation
6.1.2 Interaction - social aspects
6.1.3 Authenticity - story
6.2 Financing options for new cinema experiences
6.3 The changing value chain
6.4 Recommendations

7 APPENDIX
7.1 Appendix 1 - Cinema chains
7.2 Appendix 2 - References