Cinema advertising will have 0.9 percent share in total traditional advertising, amounting to Rs 1,047 crore, in 2024, according to the Pitch Madison Advertising Report 2024. This would mark a 35 percent annual growth for the domain. However, cinema’s global share of advertising is expected to be only 0.3 percent.
According to the Pitch Madison Advertising Report 2024, while cinema continues to be the smallest medium in advertising, it has been recording a good growth rate post-COVID. Cinema’s share in total traditional advertising in 2022 was 0.6 percent. Advertisers allotted Rs 568 crore to the same. This saw a 36 percent jump in 2023, when advertising jumped to Rs 776 crore. This marked a 0.8 percent share in the total traditional advertising.
The report also noted that with a line-up of highly anticipated releases and certain audiences returning to theatres, advertisers can benefit from leveraging the power of big screens delivered with 100 percent attention to effectively communicate their brand story.
For major hits like Animal or Pathaan, the ad schedule was extended from 10-15 minutes to 20 minutes, e4m had earlier learnt from experts. There were also several instances of brand integrations in movies.
Talking about cinema advertising, Gautam Dutta, Co-CEO of PVR Inox said, "As we reflect on the journey of PVR Inox throughout 2023, the resounding success of blockbuster movies has been the driving force for the advertising business. The stellar performance in H1 FY24, was underlined by a commendable 17 percent increase in advertising revenue on a year-to-year basis. We are nearly at par with pre-pandemic levels.”
Rahul Puri, managing director at Mukta A2 Cinemas had also noted that the cinema industry has recovered from the OTT boom, saying, “In 2023, cinema players experienced a notable surge, overcoming challenges posed by the OTT sector. Ad rates have seen a positive shift compared to the previous year, aligning with the success of back-to-back hits. The increased admits and footfalls have enhanced the value proposition for advertisers.”
Sharing a different perspective, Veena Sequeira, vice president of Miraj Entertainment said that even though brands understand the importance of the medium, they are still cautious with the investment. “Until 2019, brands used to make yearly deals, now they only invest in major hits or large-scale movies. As experiential marketing gains prominence in 2024, brands are actively engaging in strategies to connect with their audience and become a part of their social media narratives. Recognizing this trend, cinema theatres are evolving into venues for brands to host activities and initiatives, ensuring a memorable presence in the audience's experiences.”
Click here to download the report https://e4mevents.com/pitch-madison-advertising-report-2024/.