The Rise of Digital Out-of-Home Advertising


In today’s fast-paced digital world, advertising has evolved to keep up with the changing habits of consumers. Traditional forms of advertising, such as television and print media, have seen a decline in their market share, while digital advertising channels like Facebook, Instagram, and Snapchat have gained immense popularity.

However, amidst this digital revolution, there is still ample room for another form of advertising to thrive – digital out-of-home (DOOH) advertising.

What is Digital Out-of-Home (DOOH) Advertising?

Digital out-of-home advertising refers to the display of media content on digital screens in public areas. It is an enhanced version of traditional out-of-home (OOH) advertising, which encompasses any advertisement found outside the home and not on mobile devices. Digital screens and billboards in town squares, airports, train stations, shopping malls, and other public spaces are examples of DOOH advertising.

The Growth and Potential of DOOH Advertising

The growth potential of DOOH advertising is evident in its increasing market share. While television and print media are losing their market share at a rate of 1.5 percent annually, OOH advertising is growing at four percent, and DOOH advertising is experiencing a staggering growth rate of 16 percent every year. Furthermore, more than 46 percent of Americans use a search engine after seeing an OOH advertisement, indicating the effectiveness and reach of this medium.

Research by Upbeat predicts that the DOOH market will reach $8.5 billion by 2023, further highlighting the immense potential for growth in this sector.

How Can DOOH Help Brands?

Digital out-of-home advertising offers several benefits for brands looking to enhance their advertising campaigns. Here are some ways in which DOOH can help brands:

1. Establishing Brand Awareness

DOOH advertising plays a crucial role in establishing brand awareness by reaching a wide audience in public spaces. The eye-catching and dynamic nature of digital screens allows brands to capture the attention of passersby and leave a lasting impression.

2. Complementing Multi-Channel Campaigns

DOOH advertising complements a brand’s advertising campaigns on other channels, such as television, print, and digital media. By incorporating DOOH into their media mix, brands can significantly increase the effectiveness of their overall campaigns.

3. Driving Online Engagement

An interesting DOOH advertising campaign can trigger curiosity and prompt people to search for the brand online. This online engagement, combined with other media channels, can have a significant impact on a brand’s visibility and customer acquisition.

4. Leveraging Interactive Displays

The integration of interactive displays in DOOH advertising enhances campaign success. Information centers and free wifi hotspots connected to the internet provide opportunities for interactive ads, allowing brands to engage with consumers in real-time.

Advantages of Digital Out-of-Home (DOOH) Advertising over Traditional OOH Advertising

Digital out-of-home advertising offers several advantages over traditional OOH advertising, making it a compelling choice for brands. Here are some key advantages of DOOH advertising:

1. Cost-Effectiveness and Dynamic Content

Compared to traditional OOH advertising, DOOH advertising is cost-effective and allows for dynamic content. Multiple ads can rotate within one banner area, eliminating the need for manual labor and enabling instant changes. Advertising platforms even allow for personalized ad rotations based on the viewer’s profile.

2. Accurate Metrics and Measurements

DOOH advertising provides more accurate metrics and measurements compared to traditional advertising. Advertisers can pay for impressions and receive detailed analytics on their campaigns, allowing them to optimize their strategies and achieve better results. For instance, if you’re advertising on Chicago billboards for one week, at a high traffic hour and then test to change the hour or the area, you’ll have all the necessary data to make an informed decision regarding the optimization of your campaign.

3. Integration of Online Capabilities

With the digital transformation of OOH advertising spaces, DOOH advertising has become more connected to the internet. Digital billboards, kiosks, wifi hotspots, and other digital signages offer more than just ads. They provide charging stations, internet connectivity, and the ability to serve personalized content, enhancing the overall customer experience.

4. Utilizing Rich Media for Better Engagement

DOOH advertising enables the use of rich media, such as videos, to create more engaging campaigns. The dynamic nature of digital screens and the ability to incorporate audio and visuals make it easier for brands to grab the attention of people in public spaces and generate a higher return on investment.

5. Enhanced Targeting and ROI

By leveraging artificial intelligence and advanced targeting options, advertisers can refine their DOOH campaigns to reach the right audience at the right time. This precision targeting leads to better results and a higher return on investment compared to traditional OOH advertising.

The Benefits of DOOH Advertising in Comparison to Traditional Outdoor Billboard Advertising

When comparing DOOH advertising to traditional outdoor billboard advertising, several benefits become evident. Here are some key advantages of DOOH over traditional outdoor billboard advertising:

1. Flexibility and Targeting

DOOH advertising allows for greater flexibility in terms of content and targeting. With digital screens, advertisers can easily change their content and reach specific demographics or locations, ensuring their message reaches the right audience at the right time. It’s now easy to make a switch from Nashville billboards to Bellevue, if you notice your main audience is actually spending more time in the suburbs.

2. Real-Time Updates and Interactivity

Digital screens enable real-time updates and interactivity, providing opportunities for brands to engage with consumers on a deeper level. Advertisers can incorporate interactive elements, such as touchscreens and QR codes, to encourage consumer participation and gather valuable data.

3. Cost-Effectiveness and Efficiency

DOOH advertising offers cost-effectiveness and efficiency compared to traditional outdoor billboard advertising. Digital screens eliminate the need for printing and installation costs associated with static billboards. Additionally, the ability to schedule and rotate ads on digital screens reduces wasted impressions and ensures maximum exposure.

4. Measurable Results and ROI

DOOH advertising provides measurable results and a higher return on investment. Advertisers can track impressions, engagement rates, and conversions, allowing them to evaluate the success of their campaigns and make data-driven decisions for future advertising strategies.

5. Integration with Digital Marketing Channels

DOOH advertising seamlessly integrates with other digital marketing channels, creating a cohesive and comprehensive advertising strategy. Brands can synchronize their DOOH campaigns with social media, mobile advertising, and online platforms to amplify their message and drive customer engagement.

Digital out-of-home advertising is a rapidly growing sector with immense potential for brands to reach and engage with their target audience. With the rise of digital screens and innovative technologies, DOOH advertising offers flexibility, interactivity, and measurable results that traditional outdoor billboard advertising cannot match. By leveraging the benefits of DOOH advertising, brands can enhance their visibility, establish brand awareness, and drive online engagement, ultimately leading to increased customer acquisition and business growth in the digital age.

So, whether it’s digital billboards in Chicago or dynamic displays at airports, DOOH advertising presents a compelling opportunity for brands to make a lasting impact in the public sphere. Embracing this evolving advertising medium can unlock new possibilities and drive success in today’s competitive marketplace.

The views expressed in this article are those of the authors and do not necessarily reflect the views or policies of The World Financial Review.