Cinema Advertising: Can the silver screen grab a greater share of AdEx?

As the theatre lights fade to black, the audience settles into their seats, phones are silenced, and all eyes focus on the massive screen before them. In this unique moment of undivided attention, cinema advertising captures viewers, unlike any other medium. It’s an immersive environment where ads become part of the entertainment experience. The combination of state-of-the-art sound systems, high-definition projection, and a captive audience transforms these traditional ads into a compelling spectacle. 

The impact is measurable: According to the recently released GroupM report ‘Profiling Cinemagoers’, 42% of the audience claims that ads seen on cinema screens influence their purchase behaviour. The conversion rate suggests cinema's potential as an influential advertising channel that can move viewers into taking action.

While multiple industry reports show digital platforms capturing the lion’s share of ad budgets, cinema offers a curious contrast. It stands as one of the few mediums where audiences actively engage with ads as part of their entertainment experience. However, this advantage hasn't translated to market share, with cinema contributing less than 1% of total AdEx in India.

“Theatre ads provide the perfect immersive experience wherein the audiences are in a good frame of mind and most receptive to the messaging in a captive environment and free from distractions,” says Yogesh Kapil, National Sales Head, Qube Cinema Network. He adds that it’s the larger-than-life image and sound that leaves a deep impact on the audiences, creating a setting where brands can reach out to discerning customers with memorable experiences.

Industry observers state that while cinema advertising’s importance remains irrefutable, it’s the dependence on a blockbuster schedule that restricts the medium’s contribution to AdEx. 

The recently released e4m-dentsu Digital Advertising Report 2025 remarked, “Cinema's performance remains highly variable, indicating that external factors play a significant role in its viability as an advertising medium.”

In 2024, Cinema AdEx saw modest growth, likely driven by blockbuster releases and a post-pandemic resurgence in theatre attendance. In 2025, market-dependent factors such as inconsistent movie releases, increased competition from streaming platforms, and changing consumer behaviour could potentially lead to a decline for the medium, the report said.

Unlike other mediums, where a one-off ad could also potentially cause ripple effects, cinema advertising requires long-term associations that can build recall over time, especially among regular cinemagoers. According to media owners in the domain, brands must leverage cinema advertising consistently throughout the year to truly make the most of it.

“Cinema advertising works best to create recall for a brand message. It also allows you to communicate a larger-than-life story, owing to the big screen format. In the larger strategy, it fits in as a reminder media channel — in combination with television and other media,” shares Jignesh Shah, Head - Media & Digital Marketing, Adani Wilmar Limited.

He further delves into the brand’s strategy for cinema advertising: Cinema screens are strategically picked based on Screen Type Cinema Planning and Geography.

“You can segment the audiences based on the category of theatres and ticket prices. For example, we would run ads for Rice Bran Oil offerings in premium theatres (Fortune Rice Bran targets NCCS AB Households) but for Sunflower Oil, we may choose to run ads at mass theatres (Fortune Sunflower Oil caters to the needs of NCCS ABC Households),” he explains.

The geographical location of the theatre is also a key factor, he says, adding, “In the North and East markets, we are leaders in soybean oil offerings, we advertise these products using cinema advertising. In the West, we promote our sunflower oil offerings more.”

Sharing insights into the brand’s strategic focus on recall, Shah says, “It takes about three to four weeks to create and sustain brand awareness using cinema advertising as it’s all about building recall. Our core idea is to sustain the messaging for a longer period for one area, rather than investing in media once in a while when a movie is a hit at the box office.”

A blockbuster medium requires blockbuster ads. Last year, Indriya, a jewellery brand by the Aditya Birla Group, lit up the cinema screens in Delhi, Ahmedabad and Mumbai with a 3D holographic display showcasing its latest collection. 

“Indriya went beyond the traditional use of cinema to use it as a disruptive medium,” shares Shantiswarup Panda, Chief Marketing Officer of Indriya – Aditya Birla Jewellery. 

View this post on Instagram

A post shared by Indriya Jewels (@indriyajewels)

Explaining the campaign, he says, “By way of holographic projection, it introduced the captivated audience to the brand mnemonic Gazelle, along with some stunning pieces of larger-than-life jewellery through projection, followed by the brand film showcase.”

Further, the brand created buzz for the activation on social media, garnering close to 2.9 million views on Instagram and further reach and impressions through UGC videos, he adds.

So, what makes cinema ads truly stand out? “The cinema screen is often the largest, most immersive medium for storytelling, offering a visual and auditory spectacle that smaller screens can't quite match. An ad celebrating movie grandeur and the immersive nature of the cinematic experience will evoke an emotional reaction, making people feel excited, curious, or intrigued,” says Sachiin Gupta, National Sales Head, UFO Moviez.

Further, he shares insights into the importance of regional languages and nuances in cinema advertising: “With a diverse population and a wide range of movie genres, advertisers can target specific audience segments based on language, interest and demographics. For example, if a brand is targeting Eastern UP, Bihar or Jharkhand, an ad featuring a Bhojpuri setting and culture will make more impact as that resonates well with the audience.”

QCN’s Kapil adds to the list of strategies brands can implement for cinema advertising: “Long-duration edits with a storytelling format tailored for cinemas can maximise impact, leveraging the only medium that offers unduplicated reach. Segment sponsorships that align with the brand proposition can enhance relevance. Off-screen engagement, including sampling and lobby branding, can help brands connect with audiences beyond the screen.”