How F-Bombs and Family Fare Saved the Box Office

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As a seasoned film critic with over three decades of experience, I must say that 2024 has been quite a year for the silver screen. The box office successes and failures have been as diverse as the movies themselves, and it’s fascinating to see how the industry continues to evolve amidst the rise of streaming platforms.

In my humble opinion, Disney once again reigned supreme with their film studios, particularly with the record-breaking performances of “Inside Out 2” and “Deadpool & Wolverine.” However, it’s not just the big studio films that have caught my attention. Independent distributors like Neon, A24, Focus Features, and Searchlight Pictures have shown us that elevated genre fare can be just as profitable – and perhaps even more so – than art-house and awards fare.

One film that particularly stood out for me was Osgood Perkins’ “Longlegs.” As someone who has seen his fair share of horror films, I must say that it was a breath of fresh air in a genre that often feels stale. The fact that it became the top-grossing indie movie of the year is a testament to its quality and the enduring appeal of well-crafted horror stories.

However, let’s not forget about the families who have returned to the multiplex in droves. It was a relief to see animated films making up three of the top-five grossing titles of the year. I remember when I first started reviewing movies; animated films were often an afterthought. Now, they make up a significant portion of the overall box office and are every bit as sophisticated and entertaining as their live-action counterparts.

In closing, I’d like to leave you with a little joke: Why don’t we ever tell secrets at the movies? Because it’s a place where the plot always thickens! Keep enjoying the magic of cinema, folks, and may 2025 be even more exciting than this past year.

Over the last two decades, or perhaps even longer, Hollywood has predominantly relied on PG-13 productions to attract audiences. Labeling a high-budget spectacle film with a PG rating could potentially displease older children, teenagers, and young adults (who are the most frequent cinema attendees). Consider the example of the decision to adjust the rating from PG to PG-13 for the fourth and fifth Harry Potter movies. The franchise experienced a significant increase in earnings for films with a more mature rating.

2021 significantly challenged a long-standing assumption as PG-rated films, such as Universal’s blockbuster “Wicked,” contributed up to 30% of domestic box office earnings – a new high, according to Comscore’s chief box office analyst Paul Dergarabedian. In his words, “2024 will be the year that PG-rated movies demonstrated their universal appeal across all age groups and demographics.” He further noted, “PG films are like everyone’s favorite pizza – they’re loved by all.” Additionally, Paramount’s worldwide president of distribution and marketing, Marc Weinstock, remarked, “this trend underscores the consistent demand for family-oriented movies. Over this holiday season, four PG films are dominating the charts.

To put it plainly, the postponement wasn’t planned. The studios had to push back numerous high-profile PG-13 franchise sequels to 2025 and 2026 due to the lasting effects of labor strikes and COVID-19. Examples like “Mission: Impossible”, “Jurassic World” continuations, and the new “Avatar” installments illustrate this trend. Additionally, some acclaimed directors in Hollywood, such as Francis Ford Coppola, Clint Eastwood, and Kevin Costner, found it difficult to find sufficient backing for their latest projects, which didn’t receive favorable reviews from critics (in the cases of Coppola and Costner).

Disney’s film empire, rooted in family-friendly success, regained its strength in 2023, reclaiming the market share crown from Universal after almost a decade of dominance. The studio’s films grossed an impressive $5.56 billion worldwide, marking the first time a major studio has surpassed the $5 billion mark since the pandemic. Diversifying its content strategy proved profitable as Disney and Marvel’s R-rated film, Deadpool & Wolverine, became the highest-grossing R-rated movie ever made, while Pixar and Disney’s Inside Out 2 led the pack in PG-rated films, earning nearly $1.7 billion globally and claiming the title of the highest-grossing animated film of all time (unadjusted for inflation). Walt Disney Animation’s Moana 2 is on track to join Inside Out 2 and Deadpool 3 as the only other 2024 releases expected to reach the billion-dollar box office club.

2024 appears to have been a profitable year for Disney, as films like “Alien: Romulus”, the new addition to the “Planet of the Apes” series, and the Oscar-contending movie “A Complete Unknown” produced by Searchlight, generated quite a buzz at cinemas. According to Disney co-chairman Alan Bergman, who heads up the film divisions, the collection of films released this year was of high quality, catering to diverse tastes, and cinema-goers flocked to theaters to have a wonderful time watching these movies.

Donna Langley, who has been in charge of Universal Pictures and the specialty label Focus Features for quite some time now, is rapidly climbing the corporate ladder. As of November, she has the final say on all content across NBCUniversal. She should also be acknowledged for the surge in PG films in 2024, as the movie adaptation of Wicked has earned over $424 million domestically and $651 million worldwide, making it the highest-grossing Broadway stage adaptation ever. Under her leadership, Illumination and DreamWorks Animation produced Despicable Me 4, Kung Fu Panda 4, and The Wild Robot, which are three of the year’s top five animated films. As Dergarabedian points out, “PG-rated animated films account for a significant number of ticket sales due to the relatively low cost of children’s tickets.” Jim Orr, president of Universal domestic distribution, adds that 2024 was a difficult year at the box office but ultimately very successful.

In 2024, the film “The Wild Robot” was one of those that managed to stay in cinemas despite being released early for home viewing through premium video-on-demand (PVOD). This strategy, pioneered by Universal at the start of the COVID-19 pandemic, showed potential benefits for all involved. Studios claim that a film’s release on PVOD can actually boost its box office performance due to third-party advertising from platforms like Amazon Prime or Apple TV+. “The Wild Robot” was available on PVOD just 18 days after its cinema release, yet it continued to play on over 2,000 screens for several weeks afterwards. Similar results were seen with Universal’s films “Twisters” and “The Fall Guy”. For instance, Paramount’s “Gladiator II” saw an increase in box office revenue when it was released on PVOD during the year-end holidays.

Dergarabedian points out that the domestic box office revenue deficit stood at a concerning 27.5% before the release of ‘Inside Out 2’ in mid-June and just prior to ‘Deadpool’. However, he notes that the recovery, which started during summer and intensified around Thanksgiving with the openings of ‘Wicked’ and ‘Gladiator II’, was truly astounding. He further explains that this recovery continued through the Christmas season, boosted by the releases of ‘Mufasa: The Lion King’ and ‘Sonic the Hedgehog 3′. “The final six weeks of 2024 offered one of the most diverse and enticing slates of films ever presented during this crucial period,” he says, highlighting various titles that catered to a wide range of tastes and age groups, generating significant box office appeal that has ended the year on a high note. Among these holiday releases were Focus Features’ mature vampire film ‘Nosferatu’, ‘A Complete Unknown’, and Nicole Kidman’s award-contending movie ‘Babygirl’.

According to the predictions, the domestic revenue for 2024 was approximately $8.75 billion, which represents a decrease of about 3.3% compared to last year’s $9.04 billion. It is likely that the revenue in 2025 will surpass the $9 billion mark again, but it will still be significantly lower than the pre-pandemic levels of $11 billion.

Revenue Snapshot: It Could Have Been MUCH Worse

In contrast to a substantial rebound at home, foreign earnings experienced a significantly larger drop. China, in particular, saw a significant decrease in revenue for Hollywood films, with numbers falling by double digits. Worsening the situation is a shift in Chinese audience preferences towards local content, as opposed to Hollywood productions. Additionally, tensions with Ukraine have resulted in major Hollywood studios being barred from operating in Russia.

Studios Marketshare Scorecard

As a gamer, I’ve just leveled up in the world of box office hits! Disney, under Bergman’s leadership, reclaimed its top spot this year with an impressive lineup of films that smashed one record after another. “Inside Out 2” and “Deadpool & Wolverine” were the standout titles, both raking in over a billion dollars worldwide, making them the only two films to do so this year.

However, it’s not all about Disney. Universal also had a fantastic year under Langley’s guidance, becoming an even stronger force within the larger NBCU empire. Warner Bros., although facing a significant setback with Todd Phillips’ “Joker” sequel, managed to hold onto the second spot overseas in market share. They deserve credit for kick-starting the year with the releases of “Dune: Part II” and “Godzilla x Kong: The New Empire”. These movies helped keep the competition fierce!

Specialty Box Office Scorecard

Osgood Perkins’ film “Longlegs” surpassed predictions when it launched in July, earning a staggering $22.6 million domestically – the highest debut for an original horror movie of 2024 under Neon’s distribution. Notably, this was Neon’s best opening yet, given their impressive roster that includes Oscar winners such as “Parasite.” The R-rated film went on to become the year’s top-grossing independent movie with a domestic box office of $74.6 million and a global total of $126.9 million. This success underscores the fact that indie distributors can no longer solely rely on art house and award-winning films; movies like “Longlegs” or A24’s “Civil War” can keep a company afloat. Focus Features’ vampire movie “Nosferatu” is another example, debuting with more than expected earnings of $40 million. This isn’t a completely new trend, but it has become a crucial strategy in the battle against streaming platforms. While awards season remains vital for specialty companies, Focus Features had success last year with “Poor Things” and hopes to repeat that this year with Timothée Chalamet’s Bob Dylan biopic, “A Complete Unknown,” which performed well over the holidays. Neon’s Oscar contender “Anora” has already earned $14 million in the U.S. to date.

Animation Makes History With a Capital ‘A’

Concerns arose that families might not revisit cinemas post-COVID-19 and the growth of streaming services. Put your fears aside. In recent film industry history, it was unheard of for animated films to occupy three of the year’s top-earning spots – until 2024 – or make such a significant contribution to the total earnings. Typically, large live-action blockbusters are what rule the box office.

I came across this fascinating story in the January 3rd edition of The Hollywood Reporter magazine. If you’re not already a subscriber, let me tell you, it’s worth every penny to get this magazine delivered straight to your doorstep. As someone who has been in the entertainment industry for over two decades, I can attest that The Hollywood Reporter is an essential read for anyone looking to stay informed about the latest news and trends in the world of showbiz. Don’t miss out on this valuable resource – subscribe now!

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2025-01-04 17:25