When we compare with flops like the Moana remake it really demonstrates that people who love going to the movies are discerning and demand authentic films, which often includes practical effects.
When a movie mostly consists of actors standing around motionless in front of a 360 degree screen stage or a green screen with cheap, rusher AI, people notice and they don’t recommend the movie to their friends.
Unrelated, I wonder if there’s still potential for movie rental shops in more dense urban areas. I think the concept could be more reimagined and focused on a third space, events, maybe involve a coffee shop or similar routine-worthy purchase.
I think the main barrier is that many people don’t have players anymore.