Out-of-home (OOH) advertising roared back in 2023, with a robust 13 percent growth rate surpassing traditional giants like TV and print. According to the Madison advertising report, this sharp rebound follows a pandemic-induced slump in 2020, where OOH spending plunged from Rs. 3,495 crore to Rs. 1,292 crore. By 2023, however, it hit a record AdEx of Rs. 4,140 crore, while holding its global share of 4 percent.
“Key drivers for growth in OOH have been the increasing number of airports and metro rails, starting operations in many Tier-1 and Tier-2 cities. Also, the upgradation of many outdoor sites and bus shelters and of course rapid expansion of large digital screens, replacing static sites in prime localities. This development in infrastructure along with rapid advances in technology have enabled the use of anamorphic, 3D and CGI, increasing the impact of OOH,” said the report.
Read More: TV AdEx grew 7 percent in 2023, touched Rs 32,886 crores
A quarter-wise analysis also throws open an interesting trend. In the past there has been large variations from quarter to quarter and Q2 and Q3 were much softer with AdEx peaking in Q4. 2022, saw a more uniform spend across quarters and this trend has continued in 2023.
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Looking at OOH AdEx by category, real estate and construction materials maintained its lead, with a 19 percent share. FMCG which had moved up in share to 13 percent in 2022 rolled back to a 11percent share. Organised retail maintained its 13percent share. Telecom, which at one time was the largest contributor to OOH AdEx now has a share of just five percent.
The top 4 categories real estate, retail, FMCG and consumer service dominate OOH AdEx with a 55 percent share.
Read More: 2023 AdEx slips just below Rs 1 lakh crore, lowest growth in 6 years: Madison