MAM
Cinema advertising to grow at 20%: Interactive Television’s Ajay Mehta
MUMBAI: Movie buffs prefer visiting a cinema for the almost minimal number of advertisements that play during the movie run. Advertisers are still somewhat hesitant of opting for these ads since there is a lack of measurement of these ads. Contrary though according to Group M’s biannual advertising expenditure futures report titled ‘This Year Next Year’ (TYNY) cinema advertising closed 2014 with a 25 per cent increase.
When asked at what rate he expects cinema advertising to grow for this year, Interactive Television CEO Ajay Mehta says that it will grow at 20 per cent.
Interactive Television specializes in cinema advertising and releases the CAM report. According to Mehta, for the last two – three years cinema has been the second fastest growing medium after the digital. “While digital is on a different growth trajectory, the basic level of cinema in the country is low,” says Mehta.
“Even though we are a cinema savvy country, the total cinema spends is less than one per cent, which is even lower than the global average. When you look at global averages there are countries where cinema is hardly part of the consumer’s habit,” he adds.
There are a few reasons why the segment is seeing a growth. Firstly it is because of the low base number, which is increasing today. Secondly, over the last two to three years there has been the phenomenon of “multiplexisation” of the industry, which is getting reflected because of a whole round of consolidation that will continue in 2015. “As players like PVR, INOX, Cinepolis and Carnival get bigger and stronger, the whole consolidation will further aid growth.”
The growth can also be attributed to the digitisation process of single screen theaters wherein films are being delivered directly via satellite to theaters as compared to the costlier traditional prints, which has reduced costs and is creating transparency as practically the entire single screen universe (barring an odd 500) is digitised.
According to industry estimates, a 60 second ad in a multiplex for one week (which is minimum of 21 shows and can go up to 28) in the top metros would cost Rs 10,000 to Rs 12,000, while the cost for single screens would between Rs 1,500 to 2,000 for the same period. The cost in areas such as South Mumbai and South Delhi multiplexes is much higher than the average figures for multiplexes.
As per a report by Interactive Television brands such as Choc On, HDFC Life, Vicco Vajradanti, Engage, Vicco Sugarfree, Woodland, TVS Apache, Vicco Shaving Cream, LIC and Bhima Jewellers have been consistently advertising on cinema. The report takes into account their presence on cinema for the period August 2013 to January 2015. Choc On as a brand is totally built on cinema as majority of their spends are on this medium.
The selection process of including cinema advertising spends depends on the brand’s target audience and cinema space in their priority markets. While a regional brand could select a single screen cinema, for brands with larger pockets it could be an “and” option wherein both multiplexes and single screens are combined.
Telecom is one category that has started advertising recently on cinema on both single screens and multiplexes as it seek to penetrate its brand campaign in Tier III and rural markets, like the FMCG category. “In 2014 we saw e-commerce brands like Flipkart and Amazon including specific travel verticals like travel websites increase their spends, which will continue,” opines Mehta.
2014 also for the first time saw luxury brands taking to multiplexes, especially car brands such as Mercedes, Jaguar and Audi. “In 2015, when the economy promises to be better, there are a lot of launches lined up and auto is going to be one interesting category for multiplexes,” says Mehta.
MAM
DGTOOHL partners Magnite to scale programmatic DOOH in India
Tie-up aims to boost transparency and real-time access in outdoor ads
NEW DELHI: DGTOOHL, a product of Mobiyoung, has entered into a strategic partnership with Magnite to expand programmatic digital out-of-home advertising capabilities in India, as the sector looks to modernise and align more closely with digital media standards.
The collaboration is aimed at addressing long-standing inefficiencies in the outdoor advertising ecosystem, where manual processes and limited transparency have often made campaign execution difficult to track and measure. By introducing programmatic integration, the partnership seeks to bring real-time visibility, improved accountability and data-led decision-making to the medium.
Outdoor advertising in India has traditionally lagged behind digital channels in terms of measurement and optimisation. The move towards programmatic DOOH is expected to change that, enabling advertisers to monitor, audit and refine campaigns with greater precision.
Under the partnership, Magnite will provide the infrastructure to connect DOOH inventory with global demand-side platforms, allowing advertisers to plan and activate outdoor campaigns programmatically, much like they do across mobile, web and connected TV.
“Programmatic DOOH is bringing a much-needed shift in how outdoor advertising is planned and executed,” said DGTOOHL co-founder and CTO Mayank Sharma. “By introducing transparency and real-time capabilities, we are enabling advertisers to move beyond traditional limitations and adopt a more measurable, data-led approach.”
DGTOOHL will focus on aggregating and streamlining access to DOOH media inventory, while Magnite will handle real-time transactions and demand integration, creating a more seamless buying experience for brands and agencies.
The timing reflects a broader industry shift. As programmatic buying becomes standard across digital formats, DOOH is increasingly being seen as the next frontier, allowing brands to extend digital strategies into physical environments. This integration enables more cohesive, cross-channel campaigns, where outdoor advertising complements online and CTV efforts to boost reach and recall.
“As advertisers look for unified and measurable media solutions, programmatic DOOH offers a strong opportunity to extend digital strategies into the physical world,” said Magnite senior account manager Jerit Kunjumon.
Industries such as FMCG, real estate, automotive and retail, traditionally heavy users of outdoor media, are expected to be among the early adopters of programmatic DOOH in India.
The partnership also promises operational benefits, including near real-time campaign activation, reduced reliance on intermediaries and improved monitoring of campaign performance.
As digital and physical media ecosystems continue to converge, the collaboration between DGTOOHL and Magnite signals a step towards making outdoor advertising more accountable, scalable and aligned with the expectations of modern marketers.
