With the global film industry slumping due to Omnicorn variant, people have been turning away from going out to movie theaters in droves which will likely increase demand for home theater equipment.
How Coronavirus is affecting the Home Theater Business?
The coronavirus pandemic has had a devastating effect on the global film industry. Ticket sales for US domestic box office plummeted 80% to $2.28 billion in 2020, the worst year since 1981. This is a significant blow to an industry that is already struggling with competition from streaming services such as Netflix and Hulu.
With the coronavirus epidemic bringing about a lockdown, everyone was bored at home. This is where televisions, soundbars, and other Home Entertainment Equipment came in handy. The devices allowed people to watch their favorite television programs or listen to music while they were unable to go outside public areas such as parks and shopping malls since quarantine zones had been established.
Although this trend was good for TV manufacturers, it also resulted in a decrease in ticket sales which are televisions’ biggest competition. “People don’t need to spend money on going outside if they have everything they need at home,” Richard Jones, an analyst at ColorViewFinder said.
The global home theater market is expected to grow at a rate of 6.6% from 2020 to 2026, according to a report by MarketsandMarkets. This would mean that the market size will reach $9417 million by 2026. This would be a huge increase from the $5975 million that was generated in 2020.
The market for home entertainment equipment is seeing growth due to several factors. Firstly, the global panic over the COVID-19 virus has led people to stay indoors more. In addition, the increasing demand for smart TVs is also contributing to the growth of this market. Manufacturers are focusing on 4K Ultra HD and OLED displays, high dynamic range (HDR), and quantum dot technology to offer enhanced picture quality. These technologies are also being used in smartphones, tablets, and laptops, which is likely to increase their demand.
The Omnicorn variant has led to a significant boost in sales for soundbars, home theater receivers, speakers, and other Home Entertainment Equipment according to ColorViewFinder. Home Theater Systems are an easy way for people to venture outside into their homes entertainment needs; this has created booming demand among residents seeking high-quality audio equipment–especially those living with families or throughout busy cities that have limited public spaces where gatherings could take place without being seen by passersby (or worse).
As the global film industry slumps and people are increasingly turning to TV as an alternative form of entertainment, demand for home theaters will likely continue its upward trend. Manufacturers have started implementing strategies that can be projected to increase the demand for Home Entertainment Equipment in perpetuity with every purchase through 2030!
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