Billboards, large format, free-standing, elevated displays remain the most popular asset category for digital ads. But, the second half of 2022 saw roughly 10% growth in display panel, and screen/TV usage.
The data is based on the findings of Place Exchange, a supplier of software services to advertisers in the OOH category. It seems to align with most of the general assumptions about performance in the industry meaning. You can work with the assumptions and trends displayed in the report without extrapolating them out to something more axiomatic of market conditions.
The ad rates for OOH are much more favorable than comparable stats for web advertising, probably a little better than social media ads, too. Nothing is going to top traditional broadcast advertising and media sponsorships, but it’s an interesting segment of the advertising market that probably doesn’t get as much exposure as it should because the ads don’t move. They are primarily location-based, mostly acquired by ad agency teams that have no connection to the teams that do programmatic digital ads in other media.
Generally, the DOOH market has lots of room to grow, especially as the technology for ad delivery gets better, and tracking engagement becomes more sophisticated. It’s just a quirk of the way ad agencies are organized that OOH programmatic ads don’t get the same press as web-based programmatic ads.
The blockers for growth are going to be regulations that limit the use of digital displays, particularly the largest format ones, the need to educate customers on the value of the technology, and the capital expenditures needed for installations. It may be a little dystopian to think of a world that is wall-to-wall personalized video ads following you around wherever you go but, advertisers need to find audiences. Constantly. They don’t care as long as their ads are seen.
