• Subscribe to our newsletter
The Media Online
  • Home
  • MOST Awards
  • News
    • Awards
    • Media Mecca
  • Print
    • Newspapers
    • Magazines
    • Publishing
  • Broadcasting
    • TV
    • Radio
    • Cinema
    • Video
  • Digital
    • Mobile
    • Online
  • Agencies
    • Advertising
    • Media agency
    • Public Relations
  • OOH
    • Events
  • Research & Education
    • Research
    • Media Education
      • Media Mentor
  • Press Office
    • Press Office
    • TMO.Live Blog
    • Events
    • Jobs
No Result
View All Result
  • Home
  • MOST Awards
  • News
    • Awards
    • Media Mecca
  • Print
    • Newspapers
    • Magazines
    • Publishing
  • Broadcasting
    • TV
    • Radio
    • Cinema
    • Video
  • Digital
    • Mobile
    • Online
  • Agencies
    • Advertising
    • Media agency
    • Public Relations
  • OOH
    • Events
  • Research & Education
    • Research
    • Media Education
      • Media Mentor
  • Press Office
    • Press Office
    • TMO.Live Blog
    • Events
    • Jobs
No Result
View All Result
The Media Online
No Result
View All Result
Home Broadcasting Cinema

Cinema: It’s hot again!

by Britta Reid
September 27, 2019
in Cinema
0 0
0
Cinema: It’s hot again!
Share on FacebookShare on Twitter

The RMB/BER Business Confidence Index (BCI) for Q3 2019 has hit a 20-year low; it is not surprising that the state of ad investment is dismal.

The last time I looked at the Nielsen numbers, they made for depressing reading. From January to July 2019, overall ad investment in traditional media was down by 0.5% over the same period in 2018.

Of course, Nielsen tracks rate card investment, and cannot identify discounted or packaged deals, so the real investment levels will be notably lower than that. Predictably, print was a major driver of the decline, down by 19.7% on rate-card and out of home was down by 8%. Radio, which had seemed fairly buoyant over the recent years, showed a 3.9% slip, while TV showed a 6.7% increase. Given that TV is where the most serious discounting takes place, it is likely that this seemingly bulletproof medium has also experienced a drop in real investment.

Cinema, however, seems to be experiencing outrageously good fortune, with its share almost doubling to 1.5% of the market. Even taking this with the mandatory pinch of salt, there is clearly something happening with this medium.

The World Advertising Research Centre’s (WARC) most recent Global Ad Trends showed that “investment in cinema advertising is set to rise for the sixth consecutive year in 2019” with projected growth running ahead of the all media forecast; cinema will be the only ad medium other than internet not to lose share of global advertising spend this year.

The WARC article pointed out that while China is the real growth engine, cinema admissions in the UK reached a record high last year and North American admissions were up 5%. It highlighted the advantages cinema still maintains over streaming services: its experiential nature, the exclusivity of box office hits, access to younger, more affluent audiences who have an affinity with the medium, and a brand safe environment often close to point of purchase.

The South African perspective

I was curious about our local situation and asked Eric Blignaut, Ster-Kinekor’s national sales manager of media sales, whether the situation was as rosy as the Nielsen data suggested. He cautioned me that the massive growth number is misleadingly high, driven by some clients who are buying “en masse” and “aggressive discounting and value adding by our competitors”. Nevertheless, he confirmed that cinema is in a “positive space”. New clients are coming into the medium and Ster-Kinekor has seen growth in several categories including travel, financial, automotive, retail, clothing and apparel.

“It is a global thing and we’re seeing it here,” said Blignaut, referencing Kantar’s Global Cross Media database (The Power of Connection 2019), which shows cinema delivery is better than any other video medium, particularly in terms of generating awareness, but also delivers well in terms of creating brand associations and motivation. This study shows cinema’s cost effectiveness has increased by 34% in the last five years.

Cinevation’s managing partner, Karen Bailey, struck a singularly upbeat note, telling me, “We started Popcorn on behalf of Nu Metro, Movies@ and other key independents in 2006, and the first six months of this year has been our biggest six months ever!” 

She also commented on new categories and clients coming to cinema and repeat clients increasing their cinema spend. The introduction of Cinevation’s, around August 2018, of ‘Bulk / Volume Deals’ offered relatively inexpensive onscreen rate for advertisers buying all the screens, providing them with the maximum reach at an affordable rate. Bailey pointed out this would have as pushed the value up of some 10+ advertisers. She added that CPT guarantees that are competitive with TV are appealing to many advertisers.

She suggested that cinema is no longer only being used for “big brand ads that flight for six to eight weeks” and pointed out that “we now have competitions, retail, government and shorter duration campaigns that come on to cinema”.

The Netflix effect

Another local shift that Bailey highlighted is that DStv has lost premium subscribers to Netflix, which has caused advertisers to shift budgets to cinema to reach that audience. More tentatively she wondered whether the “SABC troubles continuing” had spooked some advertisers into moving budgets into other media. She reflected on the benefit of an established sales team saying, “They have been with us for a number of years, are experienced and know their stuff and as such are doing a phenomenal job.”

Great content pulls in the audiences and also draws advertisers wanting to follow movies, Bailey pointed out. The January to July ‘blockbusters’ for Cinevation included Avengers Endgame, Captain Marvel, Aladdin, Spiderman Far from Home and The Lion King.

Bailey applauded the efforts the Screen Advertising Worldwide Association (SAWA) at Cannes Lions over the last few years to attract Creatives to the medium again. She explained that “a worldwide case study was presented last year with a follow up this year: SAWA partnered with United Nations’ World Food Programme to run a highly successful global cinema campaign. Both Ster-Kinekor and Popcorn contributed to this initiative.

Both Blignaut and Bailey commented on the many international articles about cinema’s increasing advertising revenue, which must certainly play a part in international brands moving onto cinema. In particular, I enjoyed Professor Mark Ritson’s Cinema’s Comeback Is A Tale Worthy Of The Big Screen. He certainly deserves the last word on the matter: “Cinema, that ancient old fucker, is hot again!”


Having spent some decades working in the media agencies, Britta Reid now relishes the opportunity to take an independent perspective on the South African media world, especially during this time of radical research transformation. 



Tags: adinvestmentadvertisingBritta Reidcinemacinema advertisingcinema audienceCinevationKaren BaileyMB/BER Business Confidence IndexNielsenNu MetroRScreen Advertising Worldwide AssociationSter KinekorThe Power of Connection 2019

Britta Reid

A stalwart of the media industry, Britta Reid has worked for both media agencies and media owners, which has given her a valuable view of the inter-relationship of these two sectors. Over the decades, she has worked through numerous industry transitions from the launch of the first private commercial TV station to the establishment of media independents and now the ongoing evolution of the digital world. She is a committed trainer, who has given much time to the development and mentoring of her colleagues. In her personal capacity, Reid is a something of a magazine junkie. While she eagerly incorporated her iPad into her media repertoire, she still revels in discovering thriving niche paper publications such as The Gentlewoman, Flow and Kinfolk. After well over a decade as MD of MediaCom, Reid has recently had the privilege of taking a sabbatical. She returns to the industry as an independent media consultant, with a newfound objectivity

Follow Us

  • twitter
  • threads
  • Trending
  • Comments
  • Latest
Kelders van Geheime: The characters are here

Kelders van Geheime: The characters are here

March 22, 2024
Dissecting the LSM 7-10 market

Dissecting the LSM 7-10 market

May 17, 2023
Keri Miller sets the record straight after being axed from ECR

Keri Miller sets the record straight after being axed from ECR

April 23, 2023
Getting to know the ES SEMs 8-10 (Part 1)

Getting to know the ES SEMs 8-10 (Part 1)

February 22, 2018
Sowetan proves that sex still sells

Sowetan proves that sex still sells

105
It’s black. It’s beautiful. It’s ours.

Exclusive: Haffajee draws a line in the sand over racism

98
The Property Magazine and Media Nova go supernova

The Property Magazine and Media Nova go supernova

44
Warrant of arrest authorised for Media Nova’s Vaughan

Warrant of arrest authorised for Media Nova’s Vaughan

41
Social media platforms are replacing Google

Social media platforms are replacing Google

May 8, 2025
CMO to CEO​: 10 top tips from those who’ve done it

CMO to CEO​: 10 top tips from those who’ve done it

May 8, 2025
Media moves: Bonang’s House of BNG pops at launch, WPP launches empowerment initiative for women leaders in SA, MTF goes live

Media Moves: IAS off to AdForum, Lindsey Rayner new MD of Levergy, applications open for Digify Pro Online 2025

May 8, 2025
Crisis Comms 101: Don’t just run to the lawyers

Crisis Comms 101: Don’t just run to the lawyers

May 7, 2025

Recent News

Social media platforms are replacing Google

Social media platforms are replacing Google

May 8, 2025
CMO to CEO​: 10 top tips from those who’ve done it

CMO to CEO​: 10 top tips from those who’ve done it

May 8, 2025
Media moves: Bonang’s House of BNG pops at launch, WPP launches empowerment initiative for women leaders in SA, MTF goes live

Media Moves: IAS off to AdForum, Lindsey Rayner new MD of Levergy, applications open for Digify Pro Online 2025

May 8, 2025
Crisis Comms 101: Don’t just run to the lawyers

Crisis Comms 101: Don’t just run to the lawyers

May 7, 2025

ABOUT US

The Media Online is the definitive online point of reference for South Africa’s media industry offering relevant, focused and topical news on the media sector. We deliver up-to-date industry insights, guest columns, case studies, content from local and global contributors, news, views and interviews on a daily basis as well as providing an online home for The Media magazine’s content, which is posted on a monthly basis.

Follow Us

  • twitter
  • threads

ARENA HOLDING

Editor: Glenda Nevill
glenda.nevill@cybersmart.co.za
Sales and Advertising:
Tarin-Lee Watts
wattst@arena.africa
Download our rate card

OUR NETWORK

TimesLIVE
Sunday Times
SowetanLIVE
BusinessLIVE
Business Day
Financial Mail
HeraldLIVE
DispatchLIVE
Wanted Online
SA Home Owner
Business Media MAGS
Arena Events

NEWSLETTER SUBSCRIPTION

 
Subscribe
  • About
  • Advertise
  • Privacy & Policy
  • Contact

Copyright © 2015 - 2023 The Media Online. All rights reserved. Part of Arena Holdings (Pty) Ltd

No Result
View All Result
  • Home
  • MOST Awards
  • News
    • Awards
    • Media Mecca
  • Print
    • Newspapers
    • Magazines
    • Publishing
  • Broadcasting
    • TV
    • Radio
    • Cinema
    • Video
  • Digital
    • Mobile
    • Online
  • Agencies
    • Advertising
    • Media agency
    • Public Relations
  • OOH
    • Events
  • Research & Education
    • Research
    • Media Education
      • Media Mentor
  • Press Office
    • Press Office
    • TMO.Live Blog
    • Events
    • Jobs

Copyright © 2015 - 2023 The Media Online. All rights reserved. Part of Arena Holdings (Pty) Ltd

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?