Which strategy should you be considering in 2022?
Sometimes it can be easy to forget about other media besides the digital media companies are investing in. While digital advertising is important, let’s not forget about other key players like out of home advertising. The global out-of-home advertising market is expected to grow from $25.61 billion in 2021 to $28.48 billion in 2022. This is a compound annual growth rate of 11.2%.
What is OOH?
The main types of out-of-home advertising are billboard, transport, street furniture, transit displays, and others. The different billboard platforms include static and digital and are used by the food and beverage industry, vehicle industry, health and medical industry, commercial and personal services, consumer goods, and others.
Major players in the out-of-home advertising market are JCDecaux, Lamar Advertising Co., OUTFRONT Media, Inc., Clear Channel Outdoor Holdings Inc., and Intersection among others.
Why OOH?
The rising urban population has contributed to the growth of the OOH advertising market. The increase in population in urban cities increases traffic congestion and waiting time. According to INRIX 2019 Global Traffic Scorecard, Boston is ranked as the most congested city in the US losing 149 hours per year to congestion, followed by Chicago (145 hours), Philadelphia (142 hours), New York City (140 hours), and Washington D.C. (124 hours).
With people spending more time outside their home in traffic and other areas, OOH advertising is essential to marketing. According to the UN World Urbanization Prospects revision, the urban population is expected to increase to 68% across the world by 2050.
Out of home advertising doesn’t have to be boring. Companies are increasingly using artificial intelligence to advertise their product. For instance, Marketing Keys managed a digital outdoor campaign for the Chicago Wolves which included Live Scoring while the games were going on. McDonald's used data like weather and time of day to remind the consumers to promote ice creams sundaes on a hot day. Coca-Cola promoted smart water when the temperature exceeded a specific temperature. Virgin trains also used real-time traffic data to show motorists how much quicker their journey could have been by using trains. Therefore, AI and automation can optimize ads and update them creatively.
At Marketing Keys we believe in an omnichannel marketing strategy. This allows for businesses to meet their consumers where they are with the right message at the right time. Through omnichannel marketing, organizations can deliver a unified customer experience by reaching their target audience online, through print, on the radio, and outside the home.
Carolina Macedo, the author, is Project Coordinator of Marketing Keys.