Monday, November 22, 2004

Moviegoers Say Pre-Movie Commercials May Keep Them From the Theater

Last week on CNBC, we heard the results of a survey that show more than half of moviegoers (53%) surveyed say cinemas should stop this practice.

The public simply does not want to see advertisements prior to watching a movie after they paid $10 / head for entertainment.

It is clear that a compromise is needed for cinema advertising products. Cinemas will lose a lot of advertising revenue if they completely abandon movie screen advertising. Further, advertisers believe advertising on the screens prior to a movie is very effective. We queried a media buyer for Outback Steakhouse and she mentioned that movie screen advertising is always budgeted for their media buys. Asked if she (Outback) would transition their media buys to lobby advertising - she wasn't educated enough about digital signage in the lobbies to say yes or no.

On the flip side, cinemas must listen to their customers where the majority believe cinema ads should be eliminated.

Is digital signage a solution for the stakeholders - cinemas, advertisers and the consumer?

Yes. We believe cinemas should offer a number of advertising products at the theater to satisfy the needs of the 3 stakeholders. Among these advertising products, a proper mix of pre-movie advertising and digital signage lobby advertising.

Movie screen advertising should include advertising related to the movies. Upcoming movies and fresh, never seen before on T.V. advertising will sooth the movie goers perception of being sold after paying for entertainment. Movie screen advertisements should - in general - be different than advertisements viewed on the televisions at home.

Digital signage can be more liberal and open to local restaurants and product advertising not related to movies/entertainment. The question is - will advertisers embrace the concept of lobby advertising rather than movie screen advertising? We think so if the screen placement / lobby design are implemented correctly and advertisers are properly educated about this advertising product.

Contact Webpavement to begin a discussion on designing a proper media mix for cinema advertising.

1 comment:

Webpavement Digital Signage said...

Pre-movie commercials have been around since the 1980's. The Cinema Advertising Council, which tracks the growing industry, estimates that ad revenues have been expanding by more than 30% annually.

Pre-movie ads are trending from 30 to 60 second commercials and consumers are mad!

In New York,, a councilwoman responded by introducing a bill that would require theatres to list the actual movie start times, the New York Daily Times reported February 18, 2005.