High visibility and reach: Out-of-home (OOH) ads, such as billboards and transit ads, are seen by approximately 90% of the population on a weekly basis, providing unmatched visibility and brand recall. Unlike digital ads, which can be skipped or blocked, OOH provides constant exposure to a wide audience.
OOH renaissance continues: The global OOH industry is poised for significant expansion in 2025. According to GroupM, it is expected to grow by more than 7% to reach total revenues of more than $56 billion. Digital Out-of-Home (DOOH) is expected to account for 42% of total OOH revenues. Programmatic DOOH (pDOOH) is streamlining advertisers' access to the space, enabling more targeted, data-driven campaigns.
Social media ad fatigue accelerates: Fraud, bots, AI-generated content and invasive algorithms have disillusioned social media users, who are becoming increasingly tired and disengaged. Gartner predicts that 50% of consumers will significantly limit their social media interactions by 2025. Governments are also taking an increasingly aggressive stance against social media platforms, as evidenced by the legal action against TikTok in the US and Australia's ban on social media for under 16s. To adapt to these trends, brands need to focus on creating value-driven, authentic content, and consider exploring traditional channels such as radio, TV and OOH to connect with their target audience.
Creative potential: OOH serves as a creative canvas for bold, imaginative campaigns that stand out in urban environments. Innovations such as augmented reality (AR), interactive screens and digital displays allow brands to create highly memorable experiences.
Trust and credibility: Studies show that OOH is perceived as more trustworthy than online advertising, which is often seen as intrusive. It helps build brand legitimacy and fosters positive community connections.
Independent verification: According to the DPAA, more than half of advertisers cite independent third-party verification as a driver for the growth of DOOH advertising. Independent third-party verification is seen as essential to building trust and demonstrating the effectiveness of campaigns, particularly for DOOH advertising. With independent verification being accepted as the new gold standard, DOOH is poised for a big 2025.
Integration with digital campaigns: A recent study by WARC and JCDecaux found that OOH significantly enhances the performance of other media channels, improving search by 54% and social by 20%. It integrates seamlessly with mobile advertising, increasing recall and emotional engagement.
Influence on purchase decisions: OOH effectively drives both upper and lower funnel objectives, influencing immediate purchase decisions and online actions such as searches or app downloads. Campaigns featuring influencer endorsements on OOH platforms have shown high consumer action rates, especially among Gen Z and Millennials.
Retail revolution: Retail media is emerging as a powerful marketing channel, bridging the physical and digital advertising landscapes. In the US, retail media is expected to account for more than $67 billion in ad spend by 2025, representing approximately 20% of total digital ad spend.
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