Cinema Advertising - South America

South America

Highlights

In South America, ad spending in the Cinema Advertising market market is projected to reach US$68.73m in 2024.
The ad spending in this region is expected to show an annual growth rate (CAGR 2024-2029) of 6.91%, resulting in a projected market volume of US$95.99m by 2029.
While the majority of revenue in the Cinema Advertising market market will be generated the United States, in South America is also witnessing growth.
In this market, the number of viewers in South America is expected to amount to 66.1m users by 2029.
The average ad spending per viewer in the Cinema Advertising market market in South America is projected to amount to US$1.20 in 2024.
Cinema advertising in Brazil is increasingly leveraging local cultural narratives to engage audiences, reflecting a growing trend towards personalized marketing strategies.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

Cinema advertising in South America is experiencing steady growth, driven by customer preferences, market trends, and local special circumstances. Customer preferences in South America are playing a significant role in the development of the cinema advertising market. South American consumers have shown a strong preference for immersive and engaging experiences, and cinema advertising provides just that. With its large screens, high-quality sound systems, and captivating visuals, cinema advertising offers a unique and memorable way for brands to connect with their target audience. Additionally, cinema-goers in South America tend to be more receptive to advertising compared to other forms of media, making cinema advertising an effective tool for reaching and influencing consumers. Trends in the market further contribute to the growth of cinema advertising in South America. One notable trend is the increasing popularity of local and regional films. South America has a rich and diverse film industry, producing a wide range of films that resonate with local audiences. As these films gain popularity and attract larger audiences, they also provide more opportunities for advertisers to reach their target market. Another trend is the integration of technology into cinema advertising. Digital screens, interactive displays, and virtual reality experiences are becoming more common in South American cinemas, enhancing the impact and effectiveness of advertising campaigns. Local special circumstances also play a role in the development of the cinema advertising market in South America. The region has a large and growing middle class, which has resulted in increased disposable income and higher spending on entertainment activities such as going to the cinema. This growing middle class presents a lucrative market for advertisers, as they have the purchasing power to support brands and products advertised in cinemas. Additionally, South America has a vibrant and dynamic advertising industry, with creative agencies and production companies constantly pushing the boundaries of what is possible in cinema advertising. This level of creativity and innovation has contributed to the overall growth and success of the market. Underlying macroeconomic factors also contribute to the development of the cinema advertising market in South America. Economic stability and growth in the region have resulted in increased consumer spending, including on entertainment activities. Furthermore, the rise of digital technology and the internet has not diminished the appeal of cinema advertising in South America. Instead, it has opened up new opportunities for advertisers to integrate online and offline campaigns, creating a seamless and cohesive brand experience for consumers. In conclusion, the cinema advertising market in South America is developing and growing due to customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. With its immersive and engaging nature, cinema advertising offers a unique way for brands to connect with South American consumers. As the region's middle class continues to grow and consumer spending increases, the cinema advertising market is expected to further expand in the coming years.

Data coverage:

The data encompasses B2B enterprises. Figures are based on the Cinema Advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising both on and off screen in cinemas, including ads shown before a movie and those displayed inside a cinema.

Modeling approach / market size:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, and survey results from our primary research (e.g., Consumer Insights) to analyze the markets.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, reported performance indicators of key market players as well as performance factors (e.g., user penetration and usage) to analyze the markets.

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 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.