Cinema Advertising Rakes in the Ad Revenue

The cinema industry has high hopes for the future; and rightfully so with a 13% increase of ad revenue in 2015, topping $700 million for the first time.

The Cinema Advertising Council (CAC) recognizes the consistency of movie-goers. In fact, there have been at least 1.25 billion movie tickets purchased every year for the past 22 years! Katy Loria, CAC President and Chairman, notes that, “it [cinema advertising] delivers millennial audiences whose consumption habits compared with past generations are different and elusive… except for movies.”

Theater ads have high viewability in front of captive audiences, as well as the ability to target specific demographic and geographic consumers.

In addition to the ordinary cinema ad on the big screen, with the development of new data and technology, advertisers are beginning to connect brands with consumers before, during, and after the movie experience.

While cinema advertising is growing nationwide, the strongest area of growth is amongst national and regional brands. Two hundred fifteen new brands jumped on the cinema bandwagon last year. Overall, national and regional brands make up 77% of cinema ad revenue.