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These 8 Smart Strategies Can Save Small-Town Theaters

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Film enthusiasts and casual moviegoers alike remember going to smaller theaters and watching something with their community.

While many establishments only live on in memory, there are still a few that remain and need support to keep their doors open.

The Challenge Small-Town Theaters Face

Small-town theaters are a fundamental part of local communities. Aside from hosting movies, they can also provide a space for residents to gather for events or offer a stage for live performances. However, many are struggling to keep up these services.

One major contributor is the era of online video streaming, which has completely changed how viewers consume media. Many watch shows or even blockbuster movies from the comfort of their own home. In fact, more than half of Gen Z and millennials spend a significant amount of time searching for content online. They are also more likely to discover films through social media and online content creators.

The lack of an audience can result in inconsistency or even a total decline in revenue. It can become difficult to keep up with the rising month-to-month operating costs. Theaters must develop a plan to generate revenue.

How to Keep the Theater Doors Open

Theaters are a cornerstone that helps people remember the beauty of witnessing a theatrical experience and bonding with other people because of it. Here are ways to keep the dream alive.

1. Start Community Partnerships

Partnering with the community is a way to give back to locals while also increasing exposure for the theaters. For example, connect with restaurants and other similar businesses to cross-promote. Every purchase that they make would provide them with a discount on a movie screening. 

Theaters can also consider partnering with local schools. Hold joint productions or filmmaking workshops where people can celebrate the joys of art.

2. Create a Customer Loyalty Program

It’s vital to create a loyal customer base to have continuous revenue. It costs five times more to onboard new customers than retain old ones, so consider developing a membership program that offers rewards to customers after a specified number of ticket purchases. You can also offer a paid membership that provides access to special screenings or other exclusive perks. 

Make it as easy to join as possible and ensure you’re balancing the rewards with the level of engagement. Customers in a loyalty program tend to splurge 37% more with businesses, so evaluate and adjust accordingly.

3. Leverage Social Media and Digital Marketing

Everyone’s online nowadays, and small-town theaters must take advantage of that. Create a business profile and start sharing relevant content with your customers, from screening schedules to film reviews. 

Focus on starting a pleasant conversation. Personal and interactive engagement on social media is positively associated with good movie performance in the long run.

4. Diversify What’s Showing

It’s good to show the big Hollywood hits at these establishments. For example, Titanic was the highest-earning film of its time, and it played pretty much everywhere. However, there needs to be diversity to pull in other parts of the audience.

Look for hidden gems that the local community would like to see. It’s also great to showcase indie films by moviemakers from your area as a form of support.

5. Accept Private Screening Requests

Another way to generate revenue is by accepting private screening requests. A community theater is ideal when assembling a large group of people to watch a film. It eliminates the hassle of finding projectors and other necessary equipment for a movie showing.

Market the opportunity to the local community as a way to host a unique party or intimate gathering. You can even offer discounted rates for the first wave of group bookings or on concessions.

6. Host Special Events

Small-town theaters have long been a venue for showcasing films, but they can also serve as a valuable space for hosting events. For example, work conferences can gather company employees and have speakers project presentations onto the big screen. 

The theater space itself can also work as the perfect stage for a school play. Ensure the sound system is set up for a smooth experience and leave a good impression.

7. Modernize the Experience

Many people may still value the movie-watching experience in theaters, but may find certain inconveniences in the process. Try to find ways to modernize and simplify it. For example, upgrade the audio and lighting systems, or incorporate ergonomic seating.

Establishments can also consider exploring cashless payment systems or online ticket purchasing. In 2022, only 14% of Americans used cash when making all or almost all of their purchases in a typical week.

8. Sell Good Movie Snacks

There’s something about theater popcorn that tastes better than homemade. With a survey confirming that 81% of moviegoers are aware that concessions are a vital part of going to the theater, it’s key to capitalize on that sentiment. 

Have fresh popcorn available when the theaters are open. You can also provide other options, such as chips and chocolates. And don’t forget the drinks!

Attract a Theater Audience

Small-town theaters are such an integral part of pop culture that they deserve to be cherished and appreciated more. Follow the proactive strategies above to attract a new generation of visitors and keep these establishments open.


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