China's Cinemas to Diversify Amid Box Office Slump
China's National Film Administration has issued guidelines encouraging cinemas to expand beyond ticket sales, adding AI concierge agents, karaoke booths, and retail spaces. This move comes as the country's box office fell 40.6% in the first half of 2026, to $2.56bn, following a record $7.45bn in 2025.
Key points
- China's cinemas are being told to diversify their offerings with AI concierge agents, karaoke booths, and retail spaces.
- The National Film Administration aims to turn cinemas into cultural and retail venues.
- China's box office fell 40.6% in the first half of 2026, to $2.56bn, following a record $7.45bn in 2025.
- The guidance formalizes a 'film-plus' push to integrate cinema with tourism, dining, technology, gaming, and merchandise.
- Luo Yang, deputy head of the China Film Administration, described the push as a way to revitalize the industry.
China's cinema industry is facing a significant downturn, with the country's box office falling 40.6% in the first half of 2026, to $2.56bn. This decline follows a record $7.45bn in 2025, when audiences showed up in large numbers.
The National Film Administration has issued guidelines encouraging cinemas to expand beyond ticket sales. The new rules suggest adding AI concierge agents, karaoke booths, and retail spaces to their lobbies. This move is part of a broader effort to turn cinemas into cultural and retail venues.
The 'film-plus' push, as described by Luo Yang, deputy head of the China Film Administration, aims to integrate cinema with tourism, dining, technology, gaming, and merchandise. This strategy is not new, but it has been formalized in the latest guidelines.
The timing of the new rules is not coincidental. China's cinema industry is facing stiff competition from short video and AI-generated micro-dramas. The industry is also struggling with a thinner release slate, which has contributed to the decline in box office revenue.
The impact of the new guidelines remains to be seen. However, it is clear that the Chinese government is taking steps to revitalize the cinema industry. By diversifying their offerings, cinemas may be able to attract more customers and increase revenue.
Sources
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