Thursday, March 31, 2011

2010 marked a strong year for cinema advertising

Why is cinema advertising revenue growth a big deal?

Media platforms in America have worked to steadily increase advertising budgets and revenue since the economic downturn in 4th quarter 2008. According to MediaPost, one platform outperformed all others in 2010.

With total ad spending growing 6.5%, cinema advertising saw a 12.7% revenue increase during the last fiscal year. 2010 marked an earnings of $658 million reported the Cinema Advertising Council. All revenue reported included commercials airing before the previews, lobby digital video, sampling, audio programming, special events, concession-based promotions and other lobby-based promotions.

Total revenue was broken out between national and regional ad sales and local ad sales. Local claimed about 19.8% while national and regional garnered about 80.2%.

Why is cinema advertising revenue growth a big deal? It shows that in a financially tight economy, enough people are seeing the movies to warrant advertising dollars being funneled towards cinema ad sales. In fact, it was said that enough 18-34 year olds go to the movies on Friday and Saturday nights, that cinema advertising would be the largest TV network.

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1 comment:

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