Cinema Advertising - NAFTA

NAFTA

Highlights

In NAFTA, ad spending in the Cinema Advertising market market is projected to reach US$1.11bn in 2024.
Ad spending is expected to exhibit an annual growth rate (CAGR 2024-2029) of 8.36%, leading to a projected market volume of US$1.65bn by 2029.
With a projected market volume of US$952.00m in 2024, the majority of revenue will be generated the United States.
In the Cinema Advertising market market within NAFTA, the number of viewers is anticipated to reach 335.7m users by 2029.
The average ad spending per viewer in the Cinema Advertising market market is projected to be US$4.13 in 2024.
In the United States, cinema advertising is increasingly leveraging digital innovations to enhance audience engagement and drive brand loyalty in a competitive market.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Cinema Advertising market in NAFTA is experiencing steady growth due to customer preferences for immersive and engaging advertising experiences, trends in the market towards digital and interactive advertising formats, local special circumstances such as the popularity of cinema culture, and underlying macroeconomic factors driving consumer spending. Customer preferences in the NAFTA region are shifting towards immersive and engaging advertising experiences.

With the rise of ad-blocking software and the decline of traditional advertising channels, customers are becoming increasingly selective about the ads they consume. Cinema advertising offers a unique opportunity to captivate audiences in a distraction-free environment, where they are more likely to pay attention to the messages being conveyed. Additionally, cinema advertising allows for larger-than-life visuals and surround sound, creating a more impactful and memorable experience for viewers.

Trends in the Cinema Advertising market are also contributing to its growth in NAFTA. One major trend is the shift towards digital and interactive advertising formats. With advancements in technology, advertisers are now able to create dynamic and interactive content that can be displayed on cinema screens.

This allows for greater audience engagement and interactivity, as viewers can participate in surveys, games, and other interactive experiences during the pre-show or intermission. Furthermore, digital advertising formats enable real-time targeting and customization, allowing advertisers to deliver more personalized and relevant messages to their target audience. Local special circumstances in the NAFTA region also contribute to the growth of the Cinema Advertising market.

North America has a strong cinema culture, with a high number of movie-goers and a preference for watching movies on the big screen. This creates a captive audience for advertisers, as movie-goers are already in a receptive mindset and are more likely to be engaged with the advertising content. Additionally, the popularity of blockbuster movies and highly anticipated releases in the region attracts a large number of viewers, providing advertisers with a valuable opportunity to reach a wide audience.

Underlying macroeconomic factors are also driving the growth of the Cinema Advertising market in NAFTA. The region has a strong and stable economy, with high levels of consumer spending. This allows advertisers to invest in cinema advertising as a way to reach a large and affluent consumer base.

Furthermore, the increasing popularity of streaming services and on-demand content has not significantly impacted the cinema industry in NAFTA, as movie-going remains a popular form of entertainment. As a result, advertisers continue to see value in investing in cinema advertising to reach a broad and engaged audience. In conclusion, the Cinema Advertising market in NAFTA is experiencing steady growth due to customer preferences for immersive and engaging advertising experiences, trends in the market towards digital and interactive advertising formats, local special circumstances such as the popularity of cinema culture, and underlying macroeconomic factors driving consumer spending.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the Cinema market, which comprises revenues from box office, advertsing and concessions. The market includes both consumer and advertising spending. All monetary figures refer to consumer spending on tickets and concessions. This spending factors in discounts, margins, and taxes.

Modeling approach / market size:

The market size is determined through a bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party studies and reports, survey results from our primary research (e.g., Consumer Insights), as well as performance factors (e.g., user penetration, price per product, usage) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as various macroeconomic indicators, historical developments, current trends, and reported performance indicators of key market players. In particular, we consider average prices and annual purchase frequencies.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant market. For instance, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption. The main drivers are GDP per capita, consumer spending per capita, and 4G coverage.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). Consumer Insights data is reweighted for representativeness.