The Cinema Advertising Council
Cinema Advertising Overview


America loves the movies.

It is compelling entertainment that the whole family can enjoy and tops the list of adult leisure activities - even beating out such popular activities as dining out, entertaining friends or relatives at home, and reading books.*

Box Office**:
Global box office for all films released in each country around the world reached $32.6 billion in 2011, up 3% over 2010's total, due entirely to the increase in international box office ($22.4 billion). Each international region experienced growth in 2011. Chinese box office grew by 35% in 2011 to become the 2nd largest International market behind Japan, experiencing by far the largest growth in major markets.

International box office in U.S. dollars is up 35% over five years ago, driven by growth in various markets, including China and Russia.

Strengths of Cinema Advertising:
Premium Marketing Opportunity
Cinema Advertising has also contributed to the overall cinema experience. Since the CAC's founding in 2003, the industry has tracked healthy growth. This trend continues as cinema advertising delivers advertisers a premium marketing opportunity in a unique environment with an attentive audience, multiple consumer touch points, and new technologies-including digital capabilities delivering flexible and entertaining pre-shows.

John Fithian, president of National Association of Theatre Owners (NATO), speaking at the "Marquee Marketing at the Movies" event noted that Cinema Advertising has become part of the core business of theatre owners, citing that cinema advertising income ranks third in revenue streams behind ticket sales and concessions. And, regarding audience acceptance, said that patrons are not just comfortable with the pre-show, but that they actually like it.

Unique Audience
The cinema audience is unique in that it is attentive, engaged, and comprised of highly desirable young, affluent, and well educated consumers who aren't distracted by telephones, remote-control devices, electronic media, or simply performing household activities away from broadcast media during commercial breaks.

In 2012, the CAC announced that in 2011, 128 new brands embraced cinema advertising, while local spending grew 3.4 percent. Since 2002, the cinema advertising industry has averaged $600 million in revenue and an average of 15.7 percent annual growth. In 2011, CAC members reported annual sales of $644,294,000.

New Technology-Digital delivery
The medium's impressive growth can be attributed in part to the advancement of the digital platform. Within the last two years, a primary contributor to the rapidly increasing use of the medium by national advertisers has been the shift from analog to Digital projection systems, easing barriers to entry driven by production and flighting practices.

This shift to digital production systems has also led to the development of "digital pre-shows" which enable cinema advertising vendors to project advertisements in a seamless presentation of motion advertising and long-form, entertainment-based content.

* 2011 GFK/MRI Doublebase
** MPAA Theatrical Market Statistics 2011
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