Moroccan Cinemas Face 80% Revenue Loss as COVID-19 Shutters Theaters

The entire film industry is bearing the full brunt of the consequences of the covid-19 pandemic. Since Saturday, March 14, all cinemas have been closed due to the lockdown. Operators estimate the loss recorded since the closure of theaters at "80% of turnover in 2020".

Pierre-François Bernet is the CEO of Ciné Atlas Holding. Even though he understands the measures put in place by the government to fight against covid-19, he considers that the sacrifice is quite heavy for his company. For him, the estimated losses depend on three events: "the date on which cinemas will be allowed to reopen, and the conditions under which the theaters will be operated". He indicated that before the covid-19 pandemic, Ciné Atlas had built an impeccable reputation in terms of hygiene and cleanliness. "Theaters cleaned thoroughly every morning by a team of 8 people, but also between each session for the 4 theaters," he specified, before stressing that they "will further accentuate this hygiene according to the provisions of the State at the reopening".

The third event according to him will be the film offering. For this entrepreneur, the film factor is decisive. He explains that "the studios in the United States have postponed all the big releases to the end of 2020 or the beginning of 2021. This is the case with the new James Bond "No Time to Die" whose release, initially scheduled for April 8, has finally been postponed to November 11. Pierre-François Bernet explains that studio films represent 80% of their turnover. "We expect low attendance," he said before adding that "Moroccan operators who have seen their turnover drop to ’zero dirhams’ overnight on all their revenue (box office, confectionery, advertising and room rentals) estimate a turnover loss of around 80% in 2020. It’s extremely heavy".

The same observation is made by Jamal Mehyaoui, communication and marketing manager of the Mégarama Maroc group. He talks about a crisis with almost catastrophic consequences. "We are like all the sectors that are in events, leisure, restaurants, cafes. Now, we are controlling the situation; we are trying to highlight the health of our customers and the health of viewers, and we understand it. But I think the bodies that represent us should react to the State," he demands. For him, estimating the losses without knowing the reopening date would not be relevant.

Pending reopening, the Ciné Atlas team is currently considering alternative programming to maintain attractiveness. As for the cinema recovery plan, the communication and marketing manager of Mégarama Maroc believes that it will depend on the release dates of the films.