{"id":2203409,"date":"2024-01-11T16:57:08","date_gmt":"2024-01-11T07:57:08","guid":{"rendered":"https:\/\/koreapro.org\/?p=2203409"},"modified":"2024-01-12T17:10:58","modified_gmt":"2024-01-12T08:10:58","slug":"why-south-koreas-film-industry-struggled-to-draw-audiences-in-2023","status":"publish","type":"post","link":"https:\/\/koreapro.org\/2024\/01\/why-south-koreas-film-industry-struggled-to-draw-audiences-in-2023\/","title":{"rendered":"Why South Korea\u2019s film industry struggled to draw audiences in 2023"},"content":{"rendered":"

Experts anticipated the South Korean film industry to rebound in 2023, with pandemic restrictions and fears over. However, contrary to these expectations, the industry faced a stark reality. While the U.S. film market saw a resurgence with successful viral marketing campaigns like \u201c<\/span>Barbenheimer<\/span><\/a>,\u201d the Korean film scene struggled, with only a few films achieving profitability.<\/span><\/p>\n

This unexpected downturn signaled a critical moment for an industry at a crossroads, challenging its traditional strategies and market dynamics.<\/span><\/p>\n

A CRISIS YEAR<\/b><\/p>\n

In 2023, the Korean film industry released over a hundred films in cinemas, but success was elusive, as <\/span>only six<\/span><\/a> of these managed to recoup their production costs. Among the few successes were\u201cThe Roundup: No Way Out,\u201d \u201cSmugglers,\u201d \u201cSleep,\u201d \u201cLove Reset,\u201d \u201cThe Ghost Station\u201d and \u201c12.12: The Day.\u201d This underperformance of the majority of releases underscores a deepening crisis.<\/span><\/p>\n

The financial struggles extended across various genres and production scales. A case in point was the sci-fi disaster film \u201cThe Moon.\u201d Despite considerable backing from CJ ENM, to the tune of $21.5 million (28 billion won), the film fell drastically short of its break-even goal of 6 million admissions, selling only half a million tickets.<\/span><\/p>\n

Similarly, \u201cRoad to Boston,\u201d a historical drama from Lotte Entertainment with a budget of $16.1 million (21 billion won), also faced a significant shortfall, attracting just over a million admissions, far below the required 4.5 million.<\/span><\/p>\n

These instances were not anomalies but part of a broader trend of underperformance, with other major releases like \u201cPhantom,\u201d \u201cRansomed,\u201d and \u201cThe Point Men\u201d echoing similar disappointing outcomes. Even films like \u201cConcrete Utopia,\u201d which achieved a measure of success and was selected as South Korea\u2019s <\/span>submission for the Academy Awards<\/span><\/a>, struggled to meet its admission targets, barely reaching the threshold of 3.8 million.<\/span><\/p>\n

A particularly alarming aspect was the industry\u2019s inability to attract audiences to local films. Between <\/span>January and August<\/span><\/a>, the total revenue generated by Korean films reached only 45.9% of their pre-pandemic levels. In contrast, international films showed a robust recovery, achieving 89.7% of their previous performance.<\/span><\/p>\n

This disparity highlights a troubling trend for the Korean film industry, which once prided itself on its strong domestic appeal.<\/span><\/p>\n

\"\"

An empty cinema, May 22, 2021 | Image: Tima Miroshnichenko<\/a> via Pexels<\/a><\/em><\/p><\/div>\n

REASONS BEHIND THE DECLINE<\/b><\/p>\n

The downturn in South Korea\u2019s film industry in 2023 can be attributed to several key factors. The rise of streaming services like Netflix and changes in viewing habits post-pandemic are often cited. However, a <\/span>Chosun Ilbo survey<\/span><\/a> in May revealed a more immediate cause: the spike in cinema ticket prices was the primary deterrent, cited by 40.2% of respondents.<\/span><\/p>\n

Ticket prices in South Korean cinemas saw a significant rise during the pandemic, a move aimed at sustaining theaters financially. For instance, the cost of a ticket for a standard 2D weekend screening jumped from $9 (12,000 won) to $11.40 (15,000 won), with premium formats like IMAX or 4DX exceeding $15 (20,000 won).<\/span><\/p>\n

The survey further indicated that 76.2% of respondents would be more likely to visit cinemas if prices were reduced.<\/span><\/p>\n

Beyond ticket prices, the survey identified two other critical issues: a perceived lack of compelling films (28.3%) and a growing satisfaction with streaming media services (26.9%).<\/span><\/p>\n

These findings point to a deeper problem within the industry \u2014 a disconnect between the films being produced and audience preferences. Even big-budget genres such as action thrillers, space operas and historical dramas have seen underwhelming performances, while star power no longer guarantees box office success.<\/span><\/p>\n

\u201cThere\u2019s a stagnation in blockbuster production,\u201d <\/span>Oh Dong-jin<\/span><\/a>, a prominent film critic, told <\/span>Korea Pro<\/span><\/i>. \u201cThe content has become cliched, outdated and lacks originality. Quality has declined and the provocative essence that films used to have has been lost. Consequently, even more exciting films such as \u201cDecision to Leave\u201d and \u201cCobweb\u201d suffered because the weak market could not ensure their expansiveness.\u201d<\/span><\/p>\n

The proliferation of streaming services extends beyond offering alternative viewing options; they have disrupted traditional cinema revenue models. Netflix, with its <\/span>substantial investment<\/span><\/a> in Korean content, has been a key player in this shift. Studios are now under pressure to release films on streaming platforms sooner, shortening the <\/span>traditional waiting period<\/span><\/a> of 45 days and further deterring audiences from cinema visits.<\/span><\/p>\n

However, Oh cautions against blaming streaming services entirely. \u201cIt would be naive to solely blame Netflix. In fact, it has been a positive force in some ways as it helped to diversify Korean films. The industry\u2019s failures in theatrical releases this year revealed weaknesses in its fundamentals,\u201d Oh said.<\/span><\/p>\n

\"\"

A promotional still of the political period drama \u201c<\/span>12.12: The Day,\u201d<\/span> which drew more than 10 million admissions in 2023 | Image: Plus M Entertainment via Twitter<\/a><\/em><\/p><\/div>\n

GLIMMER OF HOPE<\/b><\/p>\n

Despite the industry\u2019s challenging year, the South Korean film industry found a ray of hope in the success of \u201c12.12: The Day.\u201d This political period drama, set against the backdrop of <\/span>Chun Doo-hwan\u2019s<\/span><\/a> military <\/span>coup<\/span><\/a> in 1979, resonated deeply with audiences, becoming only the second film of the year to cross the <\/span>10 million admissions mark<\/span><\/a>, following \u201cThe Roundup: No Way Out.\u201d<\/span><\/p>\n

\u201cWhile last year was about sequels, such as \u2018The Roundup\u2019 and \u2018Confidential Assignment 2,\u2019 this year, some of the films that did well were not based on existing intellectual properties, such as \u2018Smugglers\u2019 or \u2018Sleep,\u2019\u201d Jason Bechervaise, a Korean film expert, told <\/span>Korea Pro<\/span><\/i>.<\/span><\/p>\n

\u201cIt showed that if you have an interesting concept, it can speak to audiences and succeed. This could be very encouraging, as it was original, mid-sized budget films in the early 2000s that ultimately generated the kind of exciting cinema that Korea is associated with today. We might end up seeing more films like that and fewer of the big tentpole films,\u201d Bechervaise noted.<\/span><\/p>\n

Darcy Paquet, another industry expert, echoed this sentiment. He pointed out the unsustainability of the recent trend toward larger-budget blockbusters.<\/span><\/p>\n

\u201cThere needs to be a new approach. The industry has just gotten bigger and bigger for 25 years, but it now needs to focus on becoming more efficient and modest in terms of its production goals,\u201d Paquet said.<\/span><\/p>\n

\u201cWe\u2019re also at this strange moment where the global market for Korean content is expanding, yet domestically, it is shrinking, particularly in theaters. Korean companies are still operating in an older model of distribution and are not well placed to take advantage of the expanding market. It needs to adapt,\u201d he told <\/span>Korea Pro<\/span><\/i>.<\/span><\/p>\n

Bechervaise expressed confidence in the resilience and adaptability of the Korean film industry. He cited the success of \u201c12.12: The Day\u201d as evidence of the industry\u2019s capability to bounce back and evolve.<\/span><\/p>\n

While Oh Dong-jin also agrees that the industry must change, he added, \u201cThere needs to be intervention from public institutions and support from public funds. However, I have doubts whether the current government is willing to do so.\u201d<\/span><\/p>\n

Edited by John Lee<\/span><\/i><\/p>\n

Business & Economy<\/span><\/a>Culture & Society<\/span><\/a><\/div>","protected":false},"excerpt":{"rendered":"

Experts anticipated the South Korean film industry to rebound in 2023, with pandemic restrictions and fears over. However, contrary to these expectations, the industry faced a stark reality. While the U.S. film market saw a resurgence with successful viral marketing campaigns like \u201cBarbenheimer,\u201d the Korean film scene struggled, with only a few films achieving profitability. […]<\/p>\n","protected":false},"author":10909,"featured_media":2203418,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[24,25],"class_list":["post-2203409","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-business-economy","tag-culture-society"],"yoast_head":"\nWhy South Korea\u2019s film industry struggled to draw audiences in 2023 - KOREA PRO<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/koreapro.org\/2024\/01\/why-south-koreas-film-industry-struggled-to-draw-audiences-in-2023\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Why South Korea\u2019s film industry struggled to draw audiences in 2023 - KOREA PRO\" \/>\n<meta property=\"og:description\" content=\"Experts anticipated the South Korean film industry to rebound in 2023, with pandemic restrictions and fears over. 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