Digital Out of Home Market to Grow
Digital out of home advertising continues to draw money and interest. By now, commuters are used to seeing digital advertising via billboards. This type of billboard may become more common after several recently released reports have shown no link between an increase in traffic accidents and digital billboards. And since the advent of digital billboards, the entire digital out of home (DOOH) market has expanded to include TVs placed in venues that draw foot traffic. Where is this market headed? Adcentricity’s recently published review can provide some insight.
Adcentricity executives have acknowledged an uneven advertising market rebound in 2010, especially for a new format like digital out of home (DOOH). But a couple of key trends have emerged based on their business experience. To begin, specific market segments have shown interest in DOOH. In Q3 this year, the following sectors are expected to be most active in DOOH:
- Financial services
- Electronics, appliances, furnishings
These trends support the assertion recently made by Michele Strazzera, Deputy Managing Director, Nielsen Global AdView who said, “We’re seeing advertisers regain confidence again especially in financial services and automotive industries, which were two of the hardest hit sectors during the recession.”
In addition, marketers have been showing interest in a variety of venues for possible advertising campaigns. Based on RFP activity, Adcentricity analysts expect marketers to purchase space in the following places during Q3 2010:
- Convenience stores
- Hospitality: Restaurant bars
- Airport: Club lounges
- Grocery: Check-outs
Company analysts have noted a drop in interest for doctor and medical offices in the past couple of months. They believe this decrease is the result of a long sales cycle and they expect demand to increase once clients such as pharmaceutical firms are educated about the benefits of DOOH advertising. Analysts are also seeing growing interest in general office venue.
While specific sales levels for DOOH advertising have not been released, Adcentricity’s data point to growing interest in the sector.[Sources: Engineer: Digital billboards Not Linked to Accidents. OAAA.org. 17 Aug. 2010. Web. 23 Aug. 2010; Mandese, Joe. Digital OOH Market Expands. MediaDailyNews. 11 Aug. 2010. Web. 23 Aug. 2010; Q2 Digital Out-of-Home Market Review. Adcentricity.com. Web. 23 Aug. 2010]