Cinema Concessions - Nigeria

Nigeria

Highlights

In Nigeria, revenue in the Cinema Concessions market market is projected to reach US$58.21m in 2024.
Revenue is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 5.49%, leading to a projected market volume of US$76.03m by 2029.
In the Nigerian Cinema Concessions market market, the number of viewers is anticipated to reach 9.3m users by 2029.
User penetration in Nigeria will be 3.5% in 2024 and is expected to increase to 3.6% by 2029.
The average revenue per viewer in Nigeria is projected to be US$7.34.
In a global context, the majority of revenue will be generated the United States, amounting to US$9.88bn in 2024.
In Nigeria, the cinema concessions market is experiencing a surge in demand as local audiences increasingly favor immersive film experiences over traditional entertainment options.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Cinema Concessions market in Nigeria has been experiencing significant growth in recent years, driven by changing customer preferences and the development of local special circumstances. Customer preferences in Nigeria have shifted towards a more immersive cinema experience, with a focus on convenience and variety. As a result, there has been an increased demand for a wide range of concessions, including popcorn, soft drinks, nachos, and candy. Nigerian moviegoers are increasingly looking for a complete entertainment package when they visit the cinema, and concessions play a crucial role in enhancing their overall experience. Trends in the market indicate that cinema operators in Nigeria are recognizing the importance of concessions and are investing in expanding their offerings. They are partnering with local and international food and beverage brands to provide a diverse range of options to cater to different tastes and preferences. This trend is driven by the desire to attract and retain customers, as well as to increase revenue streams. Local special circumstances also contribute to the development of the Cinema Concessions market in Nigeria. The country has a large and growing population, with a significant portion of the population being young and urban. This demographic group is more likely to visit cinemas and spend money on concessions. In addition, the Nigerian film industry, known as Nollywood, is one of the largest in the world and produces a high volume of movies each year. This creates a strong demand for cinema experiences, including concessions, to complement the movie-watching experience. Underlying macroeconomic factors also play a role in the growth of the Cinema Concessions market in Nigeria. The country has experienced steady economic growth in recent years, leading to an increase in disposable income and consumer spending. This has allowed more Nigerians to afford cinema tickets and concessions, contributing to the overall growth of the market. Additionally, the growing middle class in Nigeria has a higher propensity to spend on leisure activities, including going to the cinema and purchasing concessions. Overall, the Cinema Concessions market in Nigeria is developing due to changing customer preferences, the development of local special circumstances, and underlying macroeconomic factors. Cinema operators are capitalizing on these trends by expanding their concessions offerings to cater to a diverse range of tastes and preferences. As the Nigerian film industry continues to grow and the economy expands, the market for cinema concessions is expected to further develop and thrive.

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.