Movie theater ad spend is growing faster than all other traditional ad formats — and China dominates
Ads shown before movies in theaters are set to generate $4.6 billion in revenue around the world in 2019, a 6.8% increase on last year.
This is a faster rise than any other traditional ad format, such as TV, radio or billboards, according to the World Advertising Research Center , but a slower rise compared to ads shown on mobile phones or via online video. Ad growth is set to increase by 4.6% overall in 2019. Although still a small proportion of global ad spend on all media at 0.7%, pre-movie ads are popular because of their large formats and captive audience. Commercial spots are also "brand safe," because unlike with some digital formats, media buyers can be sure that ads won't be placed next to inappropriate content.
China dominates ad spend in cinemas, set to take $1.8 billion in 2019 and the country has accounted for 75% of global growth in cinema ad spend since 2015, according to WARC. The U.S. will take around $735 million in ad spend., which equates to around 25 new screens per day, mostly in smaller conurbations known as tier two to tier five cities.
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