I think if more filmmakers were a bit deeper than "oh just throw a ton of blood at the screen and people will love it", the horror genre would be in a better state than it is now, when it comes to modern movies.
However, I find that when it comes to films that disturb or make you question things, make you confront feelings of dread and uncertainty that you otherwise wouldn't think of, the genre has alot to give from the past.
What's put the genre in the mess that it's in right now is the seemingly unstoppable trend of remakes, reboots and sequels. It's rare today that a great, original and challenging film comes out and when it does, nobody pays attention to it.
I think that horror is something that is niche, and will always be niche. The "masses" will always flock to the lowest common denominator, and as you can't really change peoples mind that may be the way that it's always going to be.
I would put my stock, personally, in filmmakers who like I said present challanging ideas, know how to cast someone who can do more than let out a blood curddling scream, and know how to present their work visually in a way that clicks with the subject matter.
Good luck, though, in getting most people to come to terms with the fact that horror is more than just blood and guts.
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