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Two-Thirds of US Adults See Digital Out-of-Home Screens

By numantra on October 29, 2009 8:17 AM

RESEARCHBRIEF

FROM THE CENTER FOR MEDIA RESEARCH

 

Thursday, October 29, 2009

 

According to a forecast and industry update report from Adcentricity, 42% of agency and brand marketers plan to increase their digital out-of-home (DOOH) advertising spending through 2009 and the first half of 2010. Total DOOH spending is on target to hit $4.53 billion by 2013, up from $2.6 billion in 2009.

Digital Out-of-Home Media Spending (US$ in Billions)

Year

Media Spend ($Billion)

2005

$1.300

2007

2.100

2009

2.600

2011

3.565

2013

4.530

Sources: PQ Media; VSS Forecast, October 2009

This projection suggests that DOOH is among the fastest-growing media in North America and will account for 44.1% of all OOH spending by 2013, the report concludes.

The  Adcentricity "2010 Digital Out-of-Home Outlook & Planning Guide," also revealed that digital out-of-home advertising currently reaches two-thirds of US residents ages 18+  each month and delivers a fairly representative cross-section of consumers.

Previous Month Digital OOH Audience (Persons Seen Screen x000)

Venue

Digital OOH Audience Past Month

Persons Estimated

All listed

67%

155,519

Shopping mall

31

71,957

Grocery store

30

69,636

Retail or department store

29

67,314

Gas station

22

51,066

Movie theater

21

48,745

Airport

19

44,103

Doctors office or hospital

19

44,103

Stadium or arena

18

41,781

Drug store

14

32,497

Restaurant

14

32,497

Office building

11

25,533

Bar

8

18,569

Health club

7

16,248

Elevator

5

11,606

Riding public transit

5

11,606

Waiting for public transit

4

9,285

Source: Adcentricity, October 2009

Of those who recall seeing digital out-of-home displays in the past month, 76% noticed them at multiple venues, the report says.

  • Digital video screens in retail locations (including grocery stores, large retailer/department stores, drug stores, shopping malls or convenience stores) reach more than half of American adults in an average month.
  • Digital out-of-home displays at gas stations and movie theaters each reach more than 20% of US adults per month.

Digital out-of-home currently has approximately 112 significant network operators (many running multiple networks) in the US and approximately 45 within Canada who accept third-party advertising. Collectively, there are active media screens in more than 70 venue types each with unique audience and media characteristics to understand.

38% of active digital OOH network operators are planning capital investments of between $1M-$10M to expand their venue and screen capacity in the next 12 months, finds the study. Just less than 20% of them plan on expanding their screen count to more than 1,000 each.

Though digital OOH advertising continues to grow, figures from the Outdoor Advertising Association of America for Q209 revealed that out-of-home revenue declined 18% for the quarter, from $2.2 billion in Q208 to $1.82 billion.

For additional information, please visit Adcentricity here

For more information visit www.mediapost.com

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