NEWS: Carlton buys pounds 58m Cinema Media

Carlton Communications has secured the acquisition of Cinema Media for pounds 58.5 million and raided the poster industry for a chief executive to run the company.

Carlton Communications has secured the acquisition of Cinema Media for

pounds 58.5 million and raided the poster industry for a chief executive

to run the company.



As predicted in Campaign (7 June), Carlton concluded the Cinema Media

deal with Schroder Ventures on Monday and immediately announced that

Adam Poulter, currently the marketing director of the transport

advertising company, TDI, will head the operation.



Poulter, formerly the group media director at Leo Burnett, is expected

to join the company by the end of the summer. He will lead a sales force

that will work alongside Carlton UK Sales, which sells airtime for the

Carlton and Central ITV regions.



Media buyers have reacted cautiously to Carlton’s move, which gives it

around 80 per cent of the cinema market alongside its 32 per cent share

of ITV revenue. Some expressed concern that Carlton would use its ITV

position to persuade buyers to add cinema to their schedules.



Cinema Media’s activities will also complement the Carlton division that

sells videos of its popular TV shows such as Soldier Soldier. Cinema

Media has a growing business selling advertising on pre-recorded videos

and will now sell ad space on Carlton’s videos.



Poulter, who joined TDI a year and a half ago, said that there were

similarities between the cinema and outdoor industries. ‘The businesses

are both contract-based, have a small share of the total advertising

market and have a similar type of client list,’ he said.



Martin Bowley, the managing director of Carlton UK Sales, commented:

‘There must be creative sales opportunities where we can work together,

where we can talk to advertisers about possibilities across all three of

our media outlets - ITV, cable TV and now cinema.’



Peter Howard-Williams, the managing director of Pearl and Dean, which

has just over 20 per cent of the cinema market, said that Carlton’s move

into cinema could be good for the industry.



‘Carlton understands media and is well placed to bring new advertisers

to the medium,’ he said. ‘However, it will have to be judicious about

keeping its cinema and television interests separate.’



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