Well, let's bear in mind that the digital market has stagnated too. After a flurry of upgrades/updates and new this and that, the past year has seen very little from the likes of Canon and Nikon. (and Olympus is in big trouble, for different reasons) In terms of actual capability, you could argue that it's been stagnant for a while. Various new models have been rumored for some time, but held back, probably because of low consumer demand and also the floods in Asia and the tsunami etc.

Demand for these kinds of non-essential consumer goods has been an unprecedentedly low, across the board. This period hasn't been bad just for film, and there's no real reason for film to perform any better in a downturn. Yeah it's lower cost but processing is vanishing and has thus become more expensive...