Market Prospects For Advertising

Status and prospects of the Russian market for advertising in cinemas
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One of the six segments of advertisements in cinemas, along with television, press, radio, external advertising and the Internet, which have traditionally been presented in the advertising market, both in Russia and abroad. According to ZenithOptimedia, in 2012, the global segment gathered around 2.75 billion dollars in advertising budgets.

The Russian market for advertising in cinemas in the past five years has shown remarkable dynamics, both in absolute terms and in comparison with the domestic advertising market as a whole. AKAR estimated that the segment increased from 0.44 to 1.11 billion or 2.5 times between 2007 and 2012. And this is in view of the worst crisis of 2008-2009. However, the entire advertising market in Russia has increased by only 38% over the same five years.

The domestic market has substantial growth potential, which is now likely to be gradually realized. The fact is that, in the most developed foreign advertising markets, the share of cinemas in general advertising budgets reaches 0.6-0.7 per cent, the figure in Russia is less than 0.4%. But it should not be forgotten that in 2007 the figure was 0.2 per cent.

Today, our country ' s population is extremely unevenly equipped with cinemas, with a population of 4.31 cinemas per 100,000 inhabitants, with a population of between 500 and 1,000 thousand inhabitants of 3.16, in cities with a population of 250 to 500,000, with 2.62, and in Russia the average number is 1.92 screens. And if in millions, cinema saturation is approaching the mid-European level, the rest are still not high enough. In other words, there is now a possibility of a significant increase in the number of filmmakers (and advertising budgets, respectively) through medium and relatively small cities. Investments are already being made.

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