Digital Out of Home Market Trend, Share, Growth, Size Analysis and Forecast 2030

Digital Out of Home Industry Prospective:

The global digital out of home market size was worth around USD 18.2 billion in 2022 and is predicted to grow to around USD 46.6 billion by 2030 with a compound annual growth rate (CAGR) of roughly 12.5% between 2023 and 2030

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Digital Out of Home Market: Overview

Digital out of home advertising is a cutting-edge strategy that employs digital media to promote products and services outside of the home. Digital out-of-home, or digital signage, has essentially taken the role of conventional marketing and advertising strategies. With the help of this technique, local merchants and marketers may interact with their target consumers in real time and maximize the impact of their DOOH marketing messaging. It enables marketers to connect with target consumers in authentic settings. The digital out-of-home market size includes jukeboxes, elevator displays, and digital billboards.

Key Insights

• As per the analysis shared by our research analyst, the global Digital Out of Home market is estimated to grow annually at a CAGR of around 12.5% over the forecast period (2023-2030).
• In terms of revenue, the global Digital Out of Home market size was valued at around USD 18.2 billion in 2022 and is projected to reach USD 46.6 billion, by 2030.
• The growing urbanization and infrastructure development across the globe are expected to drive digital out of home market growth over the forecast period.
• Based on the format type, the transit segment is expected to hold the largest market share over the forecast period.
• Based on the application, the outdoor segment is expected to dominate the market over the forecast period.
• Based on region, North America is expected to dominate the market during the forecast period.

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Digital Out of Home Market: Growth Drivers

Extensive use of displays and rising adoption of digital media drives the market growth

The expansion of the global digital out-of-home market is anticipated to be accelerated by the advertising sector's more frequent use of commercial displays. The rise can be attributed to the introduction of reasonably priced digital screens. Cloud-based platforms, the rising need for IoT, and the greater use of augmented and virtual reality are likely to boost the sector. Additionally, businesses may expand the reach and participation of their projects by fusing DOOH with VR and AR. Benefits like enhanced content management, flexibility, and connectivity provided by cloud-based solutions are driving industry demand.

Digital Out of Home Market: Restraints

High cost hampers the market growth

There are many billboards along the roadways. Instead of focusing on the side-of-the-road ads, drivers are more attentive to the road. Many billboards are merely glanced at for a few seconds at most. Therefore, the most significant issue with digital out-of-home advertising formats is their transient nature. For their advertisements to be viewed for an average of only a few seconds, businesses must pay substantial sums of money. Consequently, compared to alternative methods, the cost of advertising for each exposure could be greater. For small and medium-sized businesses, this makes it relatively impractical. Other digital out-of-home advertising formats, such as 6-sheets in shopping centers or post office displays, are less expensive per panel than billboards. Thus, the high cost of the DOOH is expected to hamper the growth of the digital out of home industry.

Digital Out of Home Market: Opportunities

Growing product launch offers an attractive opportunity

The growing product launch is expected to offer a lucrative opportunity for digital out of home market growth during the forecast period. For instance, in January 2022, In Malaysia, Hivestack introduced a programmatic digital out-of-home (DOOH) marketplace. Hivestack has announced partnerships with Dentsu-owned Posterscope, which launched a live campaign in December 2021, and GroupM in 14 countries across the globe. These agency clients may now launch campaigns inside Malaysia and throughout Hivestack's exclusive global network by using data-driven audience targeting. Through the Hivestack Supply Side Platform (SSP), Hivestack has also achieved access to some of the biggest and most influential OOH/DOOH media owners in Malaysia, including BIG Tree, Seni Jaya, Spectrum, Laguna, Lantern Media, Sky Blue, Power Screen, WOW Media, Era Jaya, and AOS Media. These media owners may connect in real time to a global pool of marketers to monetize their premium DOOH inventory.

Digital Out of Home Market: Challenges

Competition from online advertising poses a major challenge to market growth

Advertisers must balance giving resources to digital and internet campaigns since DOOH channels compete with online advertising channels. It might be difficult to assess the ROI and efficacy of DOOH in comparison to online marketing. Thus, this is expected to pose a major challenge for the market growth.

Digital Out of Home Market: Segmentation

The global Digital Out of Home industry is segmented based on the format type, application, end-user, and region.

Based on the format type, the global market is bifurcated into billboard, transit, street furniture, and others. The transit segment is expected to hold the largest market share over the forecast period. A significant portion of the growth in transportation media income may be attributed to interactive ads on the platform through many forms of advertising, including billboards, kiosks, and signboards. These commercials are the consequence of the need for digital content and information pertinent to travelers. As a result, consumer behavior has changed in terms of customer involvement across all modes of transportation, allowing businesses to deliberately increase brand recognition within their target audience. This is going to turn off prospective customers from conventional media over the coming years. Thereby, driving the segment growth.

Based on the application, the global Digital Out of Home industry is bifurcated into indoor and outdoor. The outdoor segment is expected to dominate the market over the forecast period. The cost of outdoor digital out-of-home kits is higher than that of indoor models. The rising usage of digital technologies like interactive displays, projection mapping, and LED displays is one of the main factors propelling the growth of this market. With the use of these technologies, marketers can produce more dynamic and captivating advertising campaigns that draw customers outdoors. The development of data-driven advertising solutions also helps the outdoor market to expand. Advertisers may increase the success of their outdoor campaigns by using data on consumer behavior, demographics, and preferences to target and deliver more relevant advertising messages to customers. For instance, digital out-of-home advertising was introduced by American multinational technology giant Google in August 2022 through its display & video 360 ad planning tool. In public places like stadiums, retail malls, bus stops, elevators, and taxis, users may now buy screens.

Based on the end user, the global digital out of home market is bifurcated into automotive, personal care & households, entertainment, retail, food & beverages, telecom, BFSI, and others.

Digital Out of Home Market: Report Scope

Digital Out Of Home Market: Regional Analysis

North America is expected to dominate the market over the forecast period

North America is expected to dominate the global digital out of home market during the forecast period. The increasing use of digital out-of-home advertising in commercial verticals and the quick urbanization of the region's rising nations, such as the United States and Canada, is credited with the market's expansion. The regional market's continued expansion fuels both the spread of smart cities and the acceleration of technology breakthroughs. For example, programmatic digital out-of-home advertising was introduced at major U.S. airports in February 2022 by VIOOH Limited and JCDecaux, an outdoor advertising services provider. Airports in Texas, California, Pennsylvania, and Massachusetts will have the service available.

Besides, the Asia Pacific is expected to grow at the highest CAGR during the forecast period. This is explained by the fact that growing nations like China, India, and Japan have larger customer bases and hence spend more on digital out-of-home advertising. Furthermore, it is anticipated that the market for digital out-of-home advertising will grow during the forecast period due to the growing acceptability and popularity of out-of-home advertising across a range of business verticals. In addition, the industry has been growing over the last few years because of the increased infrastructure development in developing nations like China and India.

Digital Out of Home Market: Competitive Analysis

The global Digital Out of Home market is dominated by players like:

• JCDecaux Group
• Clear Channel Outdoor Holdings Inc.
• BroadSign International LLC
• OUTFRONT Media
• Daktronics Inc.
• Talon Outdoor Ltd
• oOh!media Limited
• QMS Media Limited
• SevenOne Media GmbH
• Stroer SE & Co. KGaA
• Exterion Media Group
• The Times Group
• EyeMedia LLC

The global Digital Out of Home market is segmented as follows:

By Format Type

• Billboard
• Transit
• Street Furniture
• Others

By Application

• Indoor
• Outdoor

By End User

• Automotive
• Personal Care and Households
• Entertainment
• Retail
• Food and Beverages
• Telecom
• BFSI
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa