How digital OOH is picking up to match pre-pandemic levels

Industry experts say that the next couple of years will be marked by convergence in business operation, marketing & business delivery with digital at its center

e4m by Shantanu David
Published: Apr 5, 2022 8:28 AM  | 3 min read

The digital dominance of advertising & marketing is likely to continue and consolidate in 2022 and beyond, raking in the shares of other media. According to industry reports, 2022 is the year when digital AdEx will finally pip TV’s, which has enjoyed a lion’s share of advertising budgets over the past few years.

OOH, which enjoyed a respectable constant of 6% market share till 2019, was badly affected by the Covid pandemic as people were stuck indoors due the lockdown induced by the crisis. As per the Pitch Madison Adex Report 2022, Rs 2,178 crore were spent in OOH in the year 2021 as compared to Rs 3,495 crore spent in 2019. However the numbers in 2021 were encouragingly higher than the Rs 1,292 crore spent in 2020.

In terms of market share, OOH slipped to 3% in 2021, but gained 1% share in 2020. While the Conventional OOH market grew at 63%, Transit Media grew by almost 100% in 2021. However, as with every other segment, digital OOH, is starting to get traction, with PMAR 2022 estimating in 2021 there were 60,000 screens, up from 55,000 in 2020.

Megha Ahuja, VP-Digital Media Planning, Carat India, said, “The next couple of years will be marked by convergence in the areas of business operation, marketing and business delivery with digital at its center. We predict that by the end of this journey, the lines between individual mediums viz. television, OOH, radio, digital etc. will be blurred, if not non-existent”.

“In this age, business delivery will be key, attaining a more organic model and independent of the individual mediums”, Ahuja added.

Nitin Gupta, CEO, Xapads Media, agrees with Ahuja, saying that advertising has become even more multifaceted since the pandemic, and this isn’t a trend that is going away anytime soon. “Of course, people are now going out for work, social events and to meet friends and brands are aware of this and returning to marketing outdoors. But we’ve also seen how comfortable people have become in their homes, knowing that they can get anything they want delivered to their doorstep, from their phones. So we’re going to see a lot more convergence in advertising.”

While PMAR 2022 noted that DOOH spending had skyrocketed from Rs 50 crore to 300 crore in 2021, it also underlined the fact that much like Traditional OOH, Digital OOH had crashed down from Rs 600 crore in 2019 to Rs 50 crore in 2020. Digital OOH now has a share of 13.77%, but this is far below the global average of 40%. As noted above, digital is going to become a larger part of every space.

Tanish Shah, Director, Influencer Marketing and Video Production, White Rivers Media, notes, "We live in a world that is not only extraordinarily connected but also intersects with the digital and social realms, which enables us to ensure brand interactions in a seamless manner across channels. This is where dynamic messaging, comes into the picture and allows brands to convey messages contextually and more importantly, in a targeted way."

"With the rise of AR in the advertising and marketing space, interactive and engaging brand communication is a trend worth hopping onto. By incorporating AR in OOH ads, brands can engage consumers by simply getting them to stop and interact with it, making use of their mobile devices", Shah adds.

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