We partnered with DCM to showcase the pricing power of cinema. We used an experimental design to isolate the impact of different media channels on people’s willingness to pay for brands. Firstly, we introduced our tried and tested fictional brand TIXE. We then created two product description – one being a mobile network, and one a laundry detergent. We then take a nationally representative sample of 2,700 UK adults and split them evenly across 18 demographically matched media cells. Nine cells see the mobile network category, and 9 in the laundry detergent one.

 

Evidenced across nine channels in the study, we found that media channel choice positively affected the way people perceived quality and what they considered to be 'good value. The research found that a brand's media channel can significantly improve the optimal price people are willing to pay for a product. 

 

For example, when participants were presented with a TIXE laundry detergent brand set to launch in cinema, the research delivered a +14% higher ‘optimal price’ vs. the all-channel average. Similarly, when presented with a TIXE mobile network brand, the results showed a +10% higher ‘optimal price’ when told it would launch in cinema vs. the all-channel average.

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On average, across the two categories tested, cinema delivered an uplift in optimal price of 12% vs. the all-channel average.

 

​"Our research bolsters this experience with real data, reinforcing the importance of context and the power of premium video to build long-term brand value." Karen Stacey, CEO, DCM. 

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You can download the research here.

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