Hollywood's marketing struggles are rooted in its traditional, 'Hollywood out' culture, which mirrors the risk-aversion of old-guard corporations and political campaigns. This prevents the adoption of modern, social-first strategies that would connect with today's audiences more effectively and economically.
Studios spend heavily on traditional advertising like TV commercials and billboards in a short window before a release. This approach is ineffective because it ignores modern, more cost-effective digital and social media strategies that could generate genuine awareness and intrigue with audiences.
The failure to adopt modern marketing techniques means that even high-quality films often fail to find an audience. Conversely, average movies that could have been profitable underperform because they never generate sufficient awareness or intrigue to draw viewers into theaters.