Billboard Valuation & Advisory Services
Out-of-Home Advertising (OOH) has become the year’s fastest-growing medium, with revenue hitting a record high of $8.6 billion in 2022, surpassing the pre-COVID record set in 2019. According to data from the Out-of-Home Advertising Association of America (OAAA), OOH revenue increased by 20.7% compared to the previous year, and digital out-of-home (DOOH) jumped by 24.2% YoY. All four categories of OOH, namely Billboards, Street Furniture, Transit, and Place-Based, experienced double-digit growth. Vincent Letang, EVP, Director of Global Forecasting for Magna Global, pointed out that the perception of OOH as scalable, addressable, and brand-safe makes it an attractive channel for marketers in 2023 and beyond. The growth in OOH advertising has been driven by a range of factors, including DOOH’s ability to reach a larger audience, as well as the creative platform’s power on national, regional, and hyperlocal levels. The top 10 advertisers in 2022 were Apple, McDonald’s, Amazon, Panera, Google, American Express, T-Mobile, Disney, Coca-Cola, and Universal Pictures. Apple took the top spot with a 27% increase in investment from 2021.
According to the OAAA data, 88% of the top 100 OOH advertisers increased their OOH spending from 2021, while 24% of the top 100 OOH advertisers more than doubled their spending. The technology or direct-to-consumer brands accounted for 26% of the top 100 OOH spenders. The impressive growth of OOH advertising shows no signs of slowing down, and industry experts expect that it will remain an attractive channel for marketers in the coming years. As businesses look to expand their reach and engage with audiences in new and innovative ways, OOH advertising is expected to play a vital role in their marketing strategies.