Streaming services have brought the concept of a “home theater” to a whole new level. Viewers can enjoy thousands of movies and shows across popular platforms such as Amazon Prime, Netflix, Hulu, Disney+, YouTube TV, Peacock, and more. How can movie theaters compete with the convenience of choosing from an extensive video library that consumers can watch on a large screen TV from the comfort of their own couch?

AMC Theaters in Bloomington, Indiana was once a thriving movie theater, featuring 12 films playing at any given time, hosting thousands of local Hoosiers on a Saturday night. During the COVID-19 pandemic, it was one of nearly 6000 theaters across the nation whose audience numbers declined dramatically, leaving its future in question.

Cory Kelsheimer, general manager of Bloomington’s AMC Theaters, began working there over ten years ago and has seen the highs and lows of the business. Kelsheimer acknowledges that the theater was on the verge of a permanent shutdown due to COVID, and although they managed to escape that scenario, they still suffered a significant hit.

“We get a lot of college kids because we are so close to campus and we get a lot of senior citizens because we do the operas and the older films,” said Kelsheimer. “Attendance has definitely dropped quite a bit. We’re starting to get back to where we were before COVID, but people are still a little hesitant to come back out.”

Movie theaters emerged from the pandemic to an altered consumer landscape. They are now competing with a popular streaming service industry, which entertained captive audiences in quarantine and continues to allow viewers to watch movies in the comfort and safety of their own homes.

The challenge is significant. Cinemas need to coax viewers out of their homes and back into theaters, where one movie ticket can cost more than the monthly subscription rate for a streaming service.

Kelsheimer credits the atmosphere for drawing audience members back. “People still want that experience of seeing [movies] on the big screen.”

AMC and other movies theaters seek to make the experience memorable and enjoyable. Many theaters give moviegoers the option to reserve a specific seat in advance, provide “La-Z-Boy”-like reclining seats with cup holders, and offer a variety of snacks for purchase. In this way, the theater is replicating the comforts of the home experience, an effort that began before COVID.

Importantly, movie theaters offer a unique experience not available at home. Grand entryways with advertisements of upcoming shows provide a “special event” atmosphere. Movie fanatics can see the newest blockbuster on opening night, enjoying the effects of a huge screen and surround sound, eating snacks, and watching in the company of other enthusiasts.

Sohan Thapar is an IU student who subscribes to two streaming services, Netflix and HBO, but enjoys going to the movies. “The movie theater is a different atmosphere than sitting at home watching movies on my TV,” said Thapar. “It’s a good place to bring friends, you got popcorn, you got drinks, and it’s also a great place to bring a date.” Thapar went on to say that a trip to the theater brings back fond memories for him. “When I was a kid me, my mom, and my dad, we used to go to the movies every week without fail and it’s a tradition that slowly died out, unfortunately. I like coming back because it reminds me of the past.”

Nat Frye, ticket sales associate for IU Cinema, says his favorite part of watching in theaters is the “silent camaraderie” of the audience members. “I really love the shared experience of watching something for the first time, or appreciating it again several times over.” Frye recalled his experience watching Spiderman: No Way Home last December as one of his favorite recent memories. Frye said that the collective laughter and clapping are what makes the experience so memorable, even more so than the movie itself.

Streaming services are on the rise, but many movies are intended for the big screen. “We’ve seen a bit of a hit because of streaming services, but there are quite a few film companies out there that are still putting movies exclusively in theaters,” said Kelsheimer. Both Kelsheimer and Frye believe that blockbuster movies such as Marvel films are meant to be experienced in theaters.

Many have predicted the demise of the movie theater industry numerous times with changes in home technology such as VCRs, DVRs, and affordable flat screen smart TVs. The industry has once again proved its resilience and viability in the face of a pandemic and fierce competition.

Moviegoer Thapar summed up by saying, “I watch more movies on a streaming service, but I definitely would rather go to the theater to see a big movie and have a better experience.”