The Nigerian film industry, also known as Nollywood, experienced a significant surge in box office revenue in the first quarter of 2024, according to a report by Filmone.
Filmone revealed a 46 percent year-on-year increase in box office revenue for Q1 2024. This growth translates to N2.25 billion in total revenue, including spillovers.
However, this positive development comes at a cost. The average ticket price for the quarter jumped by 52 percent, from N2,479 in Q1 2023 to N3,765 in Q1 2024, while admissions dipped slightly, raising questions about the trend’s long-term sustainability.
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This significant price hike resulted in a 4 percent decrease in admissions, highlighting a potential negative correlation between ticket prices and viewership. Despite the dip in admissions, Nollywood movies continue to dominate the Nigerian box office. Local productions held 56 percent market share during Q1 2024, while Hollywood productions held 44 percent. This is a significant growth for local productions as it had a lower market share in Q1 2023.
The period saw the release of 40 new Nigerian films, excluding spillovers from previous quarters. The runaway success story of the quarter was ‘A Tribe Called Judah’, which accounted for a remarkable 27 percent of all Q1 revenue.
The report also delved into the market share breakdown for distributors. Filmone emerged as the leading distributor for Q1 2024, capturing 87 percent of the market. Silverbird distribution held 7 percent, while CINEMAX held 4 percent.
FilmOne is projecting full-year earnings of over N10 billion and a full-year admission of 2.6 million people. According to the firm, local productions from Funke Akindele, Toyin Abraham, Odulade Akindele, Anthill, and Inkblot and Hollywood movies like Joker 2, Deadpool and Wolverine, Lord of the Rings, and Mufasa scheduled for later releases this year will bring these numbers.
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It also expects increased ticket prices, new cinema openings, and increased middle class to affect year-end earnings.
Industry experts remain cautiously optimistic about Nollywood’s future. The box office boom is a positive sign, but rising ticket prices and declining admissions raise concerns. Experts noted that balancing profitability and audience accessibility will be crucial for the industry’s continued success.
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