Movie theaters have continued to struggle post-COVID, as many consumers have gotten used to streaming films in their own home, and now may only go out to the theater to watch big-budget action films. This problem in the movie industry has spilled over to another sector—advertising on movie screens.
This segment is dominated by National CineMedia Inc., which is essentially an agency which sells ads, delivers them to the theaters, and then does a revenue share. The company provides a pre-movie show in 57 leading and national theater circuits which own 21K screens run by over 1,700 theaters and is all of the top 50 Designated Market Areas, or DMAs, as designated by Nielsen.
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