The 2 Worries That Keep Studio Executives ‘Up at Night’

Published: April 2, 2025

pexels-pixabay-33129 — Photo from Pixabay

By Michaela Gordoni

Jeff Goldstein, president of global distribution for Warner Bros. Pictures, is warning that it’s getting more expensive to make theatrical release movies.

“That’s the bigger story here,” Goldstein said at CinemaCon Monday, according to Deadline. “The economics of making motion pictures” are becoming problematic. “What’s that value proposition?”

“How do you make movies that net a studio money in today’s economy, and particularly from legacy studios? It’s much different than streaming companies that have different kinds of funding,” the Warner Bros. CEO said.

He says a change is needed but has faith that his company will figure it out because it doesn’t “have a choice.”

“The dollars we spend are, in many cases, much greater than we’ve ever spent before, but the effectiveness is much less…when you look at those numbers, quite frankly, it does keep you up at night, and it keeps me up at night,” he said.

He noted traditional methods aren’t having the same effect anymore and marketing has become less effective, per Screen Daily. At the same time, costs have gone up. Goldstein believes working with exhibitors on their “loyalty programs” may be one alternative.

“We are looking, as an industry, at how do you get that audience? … The fact that you have to hit a bull’s-eye right in the center [because] now you don’t get past the previews,” he continued. “The world is a village and information gets out in a nanosecond and it can really kill a concept that you may have been working out for a long period of time.”

He noted that Warner Bros has wasted a lot on movies that weren’t worth their budget. The main “frustration” is not enough audience reach.

Paramount Pictures president of International Distribution, Mark Viane, explained that a marketing plan may be successful one month but out the window the next. And trying to keep up with audiences costs a lot of money.

“That is, I think, our biggest challenge — how much money we’re spending” he added.

Viane also noted that the cinema experience may need to change. Viewers sit at home and don’t have to watch commercials, but they’re almost unavoidable at movie theaters.

“It’s almost counterintuitive,” Viane said. “And I know it’s not easy just to turn it off, but I do think it’s something that we need to continue to work on.”

Tom Rothman, chairman and CEO of Sony Pictures Motion Picture Group, has an optimistic outlook.

“Cost and windows can work for us or against us. Theatrical needs to be smart about them both. I will let you know that Sony will work with you on both,” he confirmed at CinemaCon, adding that cinema faced its worst days during COVID-19 and overcame it.

The scarceness of moviegoers may actually all boil down to one thing: a lack of family values at the box office. Movies with morals attract more people and sell more tickets, as proven in Movieguide®’s annual report to the entertainment industry.

Last year, Disney took that to heart and did well with INSIDE OUT 2 and MUFASA: THE LION KING, which displayed wholesome values. As such, Disney’s not one of the companies complaining. These other movie giants would be wise to follow suit.