Box Office Blues

Hollywood slumps over holiday weekend, sales down 44 percent from last year.
3:00 | 07/07/14

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Transcript for Box Office Blues
Okay. It is Monday July 7 -- New York City markets are open today's big number is negative 44%. Back how much less money was meant the box office holiday weekend that's compared to last year despite -- continued strong choice for transformers age of extinction. Still not that struck everyone Dan Butler in New York figure that he -- regulatory -- finance joining us on this Monday Rick -- -- a -- weekend I didn't. So what happened what contribute to this box office with -- -- over the weekend. No blockbusters this summer that was part of it -- -- was the big winner but that actually. Debuted a week earlier so that -- some of the the early viewers in there. -- officials say people were watching soccer. Although that may change -- the next few weeks with the US out of it. And you know -- just changed in the market I mean we all know that we all know the transformation if you will going on in this business with more people. Watching. Video on demand at home watching on tablet devices wherever they want in their house. So -- -- leading to just a drop in summer sales for the movie industry overall. Yeah and in May actually did have a bigger impact than just this year alone because the folks at box office knowledge our science fact that this might be one of the lowest grossing summer movie seasons. In fact in a decade so it's not just a matter of public calendar worked out right. -- yeah that's right I mean -- that you know the movie industry struggling at least in terms of US sales. It's just this explosion of alternatives. All live all the different programming it's -- you know -- -- you don't just have to sit down at home and wait for to come on at 9 PM anymore you just dial up a movie whenever you want to. That's really hitting movie theaters in fact -- another development we saw recently is AMC which owns a bunch a movie change. They're actually. Installing recliner seats in a few movie theaters to try to make people as comfortable as today as they can get in their homeland in their living room at home so. That kind of tells you when the movie industry is trying to replicate the way you watch movies at home instead of the other way around. That tells you how this industry is changing. Trying to bring -- -- -- some kind of excitement and drum up some kind of you know draw when it's not just on the screen but you know also on your back -- guess as well. It's interesting -- what do I wanna make on this is that Disney parent company ABC didn't have a big movie coming out this week -- -- that have a big -- a lot of times. Big production houses can contribute in certain times of the year. Yeah probably so. I mean I mean you know this is what we have to ask yourself what happened to the summer blockbuster I mean it's almost fading away. But I think that gets to something else which is that you know the movie market is no longer just the United States and then everybody else. -- week they just take whatever we have to offer them I think increasingly. Sales -- -- sales are coming from overseas ticket sales. And I think movie in the studios -- are timing their releases in their scheduling some -- Not so much of the US market anymore but to overseas markets which are becoming. Arguably as important as the US market so. I think you can say -- you know their -- not the fourth of July weekend in Europe or in Asia so that -- and again a change in strategy in Hollywood. Well speaking to that point the LA times reported the Chinese box office exploding in fact right up 22%. In the first half of this year to 2.2 billion dollars -- mean. I guess it can be says that that we are exporting some -- significant value. To the child so brilliant in fact for a movie like the latest and transformers installment. Families going to make way more overseas in makes in the US market. And -- if you -- if you wonder why Tom Cruise -- keeps making these formulaic adventure movies. That not that many people really -- here in United States and -- it's because they're very popular overseas. So increasingly that's where the money is so it's not the US market determining the timing and sometimes not even -- movies. Hollywood exporting our regular from Yahoo! finance on his money Margaret -- so much appreciate it thanks Dan. And of course you know keep up latest headlines right here abcnews.com. You don't -- -- a big number doubt that attorney mark.

This transcript has been automatically generated and may not be 100% accurate.

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