A media market update - an in-depth look at what's been
OOH: Revenue forecast for 2017 +2% with
digital set to hit 40% of all OOH spend
OOH media owner invested into digital in 2016, and that trend is
set to continue in the coming year. Some of the major OOH media
owners claim over 50% of their revenue in 2016 came through their
digital assets. This investment from the OOH media owners is fast
changing the landscape of OOH and arguably the UK's most iconic
digital screen - Piccadilly Lights - is even getting a face lift in
2017. The site is being transformed into one of the world's largest
screens, which will rejuvenate this historic landmark.
The speed of digital development is
apparent when you look at 6 sheets and small format screens in the
Capital. This year we will see Clear Channel and Primesight both
compete with JCDecaux's stronghold on the small format digital
market in London, with both companies rolling out digital small
formats screens. Primesight have struck a deal with BT and
Alphabet-backed Intersection to bring Link-NYC kiosks to the UK,
offering free calls, ultra-fast free Wi-Fi and state-of-the-art
digital ad screen. The units just won't be panels for advertisers
to shout to the masses on, they will add value to the users and
provide a huge data capture opportunity. This is the start of the
Smart City concept.
Digital out-of-home (DOOH)
is at the forefront of the growth the UK OOH market and with this
continued investment from Media Owners, combined with the
flexibility and unique benefits that DOOH can offer, we forecast
40% of all OOH spend to be digital by the end of 2017.
The next step will be how we
buy the space on these screens, and ensure we utilise the wealth of
data which is becoming readily available from numerous sources -
Mobile data, retailer data, and even the data the units themselves
capture - with number plate recognition and facial recognition
becoming standard on these new build screens. There are various
tests happening over the course of the year, exploring various
different trading mechanics and also how we can automate the buying
process and the creative delivery, making dynamic ads standard!
Whilst the advertising industry hasn't yet quite cracked how to
utilise Beacons, the infrastructure is still preparing for them,
with the beacons still being installed on these sites.