Mumbai: Marketing services company Integrid Media Pvt. Ltd has won exclusive advertising rights for 700 cinema theatres across Andhra Pradesh (AP), with the number of theatres likely to rise to 1,500.
Integrid hopes it can replay this script in other states, too, and parlay that presence into the ad budgets of big advertisers such as Vodafone Essar Ltd.
The company already has exclusive ad rights for JetScreen, the in-flight audio-video on demand service of Jet Airways, which promises a viewership of more than 120,000 passengers per month on certain domestic and international flights.
“Any media plan in Andhra Pradesh is incomplete without its most powerful communication medium—cinema. With more than 200 Telugu movies released every year and more movies made in Telugu than in any other language in India, Andhra has the highest theatre occupancy ratio across India.
Theatre offers a very high reach and is a very powerful add-on medium,” said Sanjay Dhar, chief operating officer of Integrid Media. “We expect revenues from the theatre vertical to reach approximately Rs.25 crore over the next two-three years.”
Just a year old, Integrid says it has attracted private equity of $10 million (Rs39.8 crore).
Rathankar Rai, director of Primetime Media Services Ltd, an outdoor advertising company, says efforts such as Integrid’s in forming relationships with theatres are interesting.
“Yes, there’s a growth story happening in tier-II towns,”he says. “I am not too sure whether cinema is the best medium to address masses in (such), as opposed to technologies that are finding their way to these towns such as DTH (direct to home). (And) advertisers still have reservations about in-cinema advertising, because it’s characterized by research shortcomings,” he said.
Dhar says Integrid will offer post-screening, weekly theatre-occupancy reports and daily occupancy reports for every show to help advertisers gauge the reach of their ads.