In 2023, a surprising resurgence in the Indian film industry has defied previous predictions of its decline. The year witnessed a string of blockbuster releases in Bollywood, starting with “Pathaan” in January, recently followed by “Rocky aur Rani ki Prem Kahani,” “OMG 2,” “Gadar 2,” and “Jawan.” The overall revenue for cinemas has seen significant growth in the last few months and is expected to continue due to the upcoming festive season and highly anticipated films like “Tiger 3,” “Salaar,” “Animal,” and “Dunki.”
The pandemic hit the film industry hard, resulting in a loss of approximately 2.4 crore moviegoers and a significant drop in advertising revenues for theaters and cinemas. Advertisers have also returned to cinemas, with interest increasing by nearly 100% compared to the previous quarter. Cinema advertising revenue, once hit hard by the pandemic, is on the rebound.
Legacy advertisers have returned, and new categories like fashion and retail have capitalized on the “revenge buying” trend. Especially after Jawan, advertisers have gained confidence in the effectiveness of in-cinema advertising, driven by robust content and the unmatched audio-visual experience offered by cinemas.
According to Statista, cinema advertising revenue in India is on track to surpass pre-COVID levels, with estimated revenue exceeding 19 billion rupees by the end of fiscal year 2024.