Core Insights - The emergence of "star NPCs" in tourist attractions reflects both a marketing strategy to attract visitors and a response to the challenges faced by middle-aged actors in the current film and television industry [1][14][17] - The trend highlights a symbiotic relationship between scenic spots and actors, where actors bring vitality and benefits to the attractions while finding new employment opportunities [2][34] Industry Context - The film and television industry is experiencing a significant downturn, with a notable decline in the number of registered long dramas and a reduction in budget allocations for historical dramas [18][19] - The market for short dramas is growing, with a projected market size of 634 billion yuan by 2025, while the production of long dramas is expected to drop by nearly 25% [19][20] Actor Dynamics - Many well-known actors are now taking on roles as NPCs in scenic areas, with ages ranging from 49 to 70, indicating a shift in the industry where older actors are seeking alternative avenues for income [14][17] - The role of NPCs allows these actors to maintain their professional dignity while providing immediate financial returns, contrasting with the uncertainty of traditional acting roles [1][23] Audience Engagement - The presence of star NPCs has led to a surge in ticket sales, with reports of a 150% increase in ticket sales following announcements of star appearances [14] - The nostalgic appeal of these actors resonates with middle-aged audiences, who are willing to pay for experiences that connect them with their youth [17][34] Social Perception - The phenomenon has sparked debates about the dignity of actors and the perception of their roles, with some viewing it as a degradation of their status while others see it as a legitimate form of employment [27][28][30] - The discussion reflects broader societal views on the definition of "dignity" in professions and the evolving nature of the entertainment industry [31][32]

Core Viewpoint - The Chinese film market in 2024 is experiencing a significant downturn, with total box office revenue and audience attendance both declining sharply compared to 2023, leading to substantial losses for major cinema companies [1][2]. Industry Summary - The total box office revenue for the Chinese film market in 2024 is 425.02 billion (including service fees), a decrease of 22.6% year-on-year. Audience attendance is 1.01 billion, down 22.3% from the previous year [1]. - The number of new films released in 2024 is 497, which is 11 fewer than in 2023. There are 72 films that grossed over 100 million, an increase of 2 films, but only 16 films grossed over 500 million, a decrease of 13 films [1]. - A total of 5 cinema companies, including Wanda Film, Hengdian Film, Jinyi Film, Happiness Blue Sea, and Shanghai Film, reported a combined revenue of 16.69 billion, a year-on-year decrease of 17.5%, with a net loss of 1.229 billion, a drastic decline of 202.74% compared to the previous year [1]. Company Performance Summary - Wanda Film leads with a revenue of 12.362 billion, contributing approximately 74.1% to the total revenue of the 5 companies, but experienced a year-on-year decline of 15.44%. Its net loss is 940 million, a reversal from a profit of 912 million the previous year, marking a 203.05% decline [3][4]. - Happiness Blue Sea shows the largest revenue drop of 40.53%, with total revenue of 654 million. It is the only company to continue reporting losses, with a net loss of 192 million, an increase of 772.98% compared to the previous year [3][4]. - Shanghai Film is the only company maintaining profitability, with a net profit of 90 million, although this represents a year-on-year decrease of 29.08% [4]. Revenue Breakdown - For Wanda Film, box office revenue is 6.687 billion, down 20.82%, accounting for 54.09% of total revenue, a decrease of 3.67 percentage points from 2023. Other companies follow with varying revenue declines [5]. - Non-ticket revenue for Wanda Film from merchandise and advertising is 1.545 billion and 1.278 billion, respectively, contributing about 23% to total revenue. The other four companies have revenue in the million range, which has a limited impact on overall performance [5][6]. Profitability Metrics - In terms of gross margin, Jinyi Film is the only company with a positive gross margin from film screening at 2.78%, while the others report negative margins, with Happiness Blue Sea at -17.62% [7]. - The overall gross margin for the five companies is positive, with Shanghai Film and Wanda Film exceeding 20%. However, Hengdian Film and Happiness Blue Sea are at the bottom with margins of 3.06% and 3.21%, respectively [8]. - Only Shanghai Film has a positive net margin, while the other four companies report negative margins, with Happiness Blue Sea at -29.61%, the lowest among them [8]. Cost and Expense Analysis - Happiness Blue Sea's asset impairment and credit impairment losses have significantly increased, contributing to its poor net margin. Its expense ratio is the highest among the five companies at 26.77%, up about 10 percentage points year-on-year [9].