In 2024, out-​of-​home advertising campaigns drew more marketer dollars and consumer attention. Some of this growth was the result of using new tactics.

The industry overall generated a 4.5% revenue increase over the previous year. And digital out-​of-​home (DOOH) jumped 7.5%. Total spending on the format amounted to $9.1 billion according to the Out of Home Advertising Association of America.

How Big is The DOOH Influence?

The DOOH component accounts for 34% of the total industry spending. Additional industry studies in 2024 show that younger consumers, especially those who reside in urban areas, are influenced by DOOH. They notice ads as they take public transportation to work and other destinations.

AudienceSCAN research, from AdMall, shows that 51% of urban residents are between the ages of 25 and 44. In addition, 31% of these consumers have taken action in the past 30 days as a result of an OOH ad they’ve seen. If your accounts haven’t tried this format yet, show them the benefits of out-​of-​home advertising campaigns.

How is Traditional OOH Advertising Changing?

Anna Bager, President and CEO, OAAA, reports that every component of traditional OOH advertising increased last year: billboards, transit and street furniture. In particular, transit experienced a 10.6% increase in 2024. However, the billboard category remains the largest sector for OOH.

Which Verticals Use OOH?

Local Accounts

Local businesses are big purchasers of OOH advertising. In 2024, the largest verticals in the media format were:

• Legal services
• Hospitals, clinics and medical centers
• Domestic hotels and resorts

Legal services increased their spending the most last year – by 16%. Another category with a big spending increase was chain food stores and supermarkets.

Large Accounts

In addition to local accounts, large businesses invest in OOH placements. In 2024, Apple, McDonald’s and Amazon were among the key accounts for OOH sellers. OAAA analysts also report that Old Navy, Meta and Total Wine & More “doubled their OOH investment” last year. This spending makes sense as these accounts attempt to connect with younger consumers.

Direct-​to-​consumer brands, along with tech companies, make up 25% of the top 100 accounts in the OOH industry.

The OOH and Influencer Connection

Your accounts may be missing an opportunity in their out-​of-​home advertising campaigns. Specifically, OOH is underfunded in media mixes. Often, TV receives a greater share of ad budgets than the time consumers spend with it.

Shifting some money from other formats like TV to OOH can help your accounts reach young urban consumers. Currently about 2.5% of all media dollars go to OOH.

Your accounts may also be able to increase their impact by connecting with social influencers. According to the OAAA research, “67% [of adults] would take action after seeing a brand being endorses by an influencer in an OOH ad.”

How Is Technology Impacting OOH Operators?

Operators in the industry will try to attract accounts by touting the latest technology available for out-​of-​home advertising campaigns. Offering an interactive billboard in specific locations where a captive audience waits, such as a transit station, will pay off. Depending on the creativity used, consumers may engage and become brands fans. Similarly, selling space on solar-​powered billboards may attract accounts that want to enhance their reputation as being environmentally sensitive.

Industry experts also point to the need to sell a variety of time periods in OOH. Traditionally, a billboard ad purchase may have required a six-​month commitment. But technology now allows for more flexibility. You may be able to pitch to accounts that want to run a one-​week promotion on a billboard. Or they might be interested in having their message appear in transit locations when specific traffic or weather-​related situations arise.

It's time to connect with your account on the benefits of out-​of-​home advertising campaigns. Bring them up to date on what’s available and sell them a package that will benefit their bottom line.

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