The Atlantic covers the trope that will save us all… I mean, er, the Chosen One.
Admittedly the reason is not sound on their list of failures - where the list piles Beautiful Creatures, Beastly, The Golden Compass, Eragon, The Seeker: The Dark Is Rising - it does not identify that there are always failures, or that most of these movies were profitable and just didn’t reach the massive global success of a small few.
That said… some of it is interesting. Picking on Mortal Instruments as the death knell of a genre? Hardly.