Speaking at Morgan Stanley’s Technology, Media and Telecommunications Conference on Monday, Walt Disney Company Chief Executive Bob Chapek said he was “not sure if there was a return” to pre-pandemic theater windows.
Reiterating the company’s commitment to theatrical releases, Chapek reminded viewers that Disney released 11 films in 2019 that grossed at least $ 1 billion, which “will continue to be a big deal” for the company. But he acknowledged the uncertainty that the current COVID-19 pandemic brings, given the number of screens currently open and the willingness of viewers to return to theaters. These possible changes in consumer behavior are “more profound” for him.
“I think the consumer is probably more impatient than ever,” said Chapek. “Particularly because now they have had the luxury of an entire year receiving titles at home practically when they want to. So I’m not sure if there is a return, but we certainly don’t want to do anything like cut off the legs of a theatrical exhibition. “
The company will ultimately allow consumer behavior to guide its decisions in front of theatrical windows, he said.
“I don’t think they’re going to put up with much of a title, say, being out of the cinema for months, but I haven’t yet had a chance to actually be released on the market in another distribution channel, just kind of sitting there picking up dust,” he added.
“Raya and the Last Dragon”, which opens in select theaters on March 5, will also arrive at Disney Plus on the same date in a “premium access” window for an additional fee of $ 30 for subscribers.
This special window version was previously deployed for “Mulan”, but Chapek did not say what big role the strategy would play in a post-pandemic cinema environment.
“It certainly makes a lot of sense now, in a COVID world, to have an option,” he said. “Obviously, theaters are not going to be 100% back. But it is good to know that we have the capacity for people who want to enjoy it in their homes – because they don’t feel very confident about going to the cinema – that they have that choice. How will that be in the future? Well, we’re going to gain a lot of experience and a lot of data points. “
Chapek also discussed the series of television series to come from Marvel, the astronomical growth of Disney Plus and the anticipated reopening of Disneyland and other Disney theme parks, and praised Disney’s big Golden Globe win the night before with “Nomadland ”By Chloe Zhao winning the best film.
While Marvel has a number of new projects underway, after the success of “WandaVision” with “Falcon and the Winter Solider” and then “Loki” in the summer, Chapek does not expect viewers to tire of superheroes anytime soon.
“In terms of fatigue, I think that is proven by the numbers,” he said, noting the popularity of “WandaVision”. “I would say that the situation is the same for Marvel and Lucas[film]. You know, if you look at it, we have averaged over a billion dollars per film since Lucas’s acquisition[film] and Marvel, which I think is an absolutely incredible statistic. “
He refrained from going into detail about Marvel’s upcoming series, except that “Falcon and the Winter Soldier” is “an epic, almost cinematic experience … it’s big and bold”, while “Loki” is “just as creative and inventive. “.
As for the 95 million paying subscribers of Disney Plus, which exceeded the expectations of the company and Wall Street, Chapek was “surprised” by the global appeal of the service and the level of global engagement.
“What we didn’t realize was the unfamiliar appeal that a service like Disney Plus would have. In fact, more than 50% of our global market [subscribers] has no children, and that’s the big difference, ”he said, adding shortly after:“ When 50% of [subscribers to] Disney Plus has no children, now you really have the opportunity to think much more widely about the nature of your content. “
As for Disneyland’s anticipated return, Chapek is “thrilled” with the participants’ response to the health and safety protocols that have been implemented at Disney theme parks and resorts that have already reopened. This seems to have reinforced his optimism about increasing the frequency to the park as soon as the impact of the virus decreases, although he noted that the recovery of the theme park depends in large part on the speed of the vaccine launch and the willingness of consumers to travel and return to the parks. vacation.
But he is very happy with “extremely strong consumer sentiment,” he said, and believes that “demand is going to bounce back quite generously.”
The company used the current Disneyland closure to end its much-used annual pass program for the theme park and resort in Anaheim, California, a change that has upset some pass holders. Disneyland is developing “new subscription offers” that have not yet been revealed.
“In a non-COVID environment, it would have been very difficult [decision] do, because they keep renewing and renewing, but when you start running a year with no one going to an annual pass program, you have the chance, ”said Chapek. “We will use this, however, to have an even better guest experience at Disneyland and to manage the crowd so that no matter what day you go to Disneyland, you can have an extraordinary experience.”