OOH Advertising spend to soar to US $33 Billion by 2021

OOH advertising is now a US$29 billion market, responsible for approximately 6 percent of the $500 billion global advertising spend; and its revenue is expected to grow by 3 percent to 4 percent per year in the next five years to reach US$33 billion by 2021, MAGNA Intelligence’s study predicts.

The study, which is done by MAGNA Intelligence and Rapport, conducted in-depth surveys in 22 key markets including China, Argentina, Australia, Belgium, Canada, Denmark, France, Germany, India, Italy, Japan, Malaysia, Mexico, Netherlands, Norway, Philippines, Russia, Singapore, Spain, Thailand, United Kingdom and the United States.

The finding reveals that the OOH market share will increase from 10% to 12% in some countries, including France and Russia, compared with other media categories including Internet, TV, print, and radio. OOH market share has remained stable in the last five years, hovering around 6 percent.

However, as part of its increasing importance in the media mix, OOH market share has increased from 8 percent to 10 percent of traditional media advertising spend, which includes TV, print, radio, and out-of-home, among other categories.

As OOH audience measurement continues to improve, for example, various technologies including eye-tracking, it will remain as a mass reach medium, the study suggests.

“Media consumers, and generation X and Y especially, have become experts at avoiding advertising by choosing ad-free, paid-for media or blocking ad insertions on free websites. OOH is largely immune from that threat.”

Article courtesy of Outdoor Advertising Association of America, Inc. August 09, 2017