The Australian Out-of-Home (OoH) market has been growing continuously for the past eight years at a CAGR of about 9%.

Going forward, we expect the OoH market to grow at a 5.4% CAGR through to 2023.

This growth will be primarily driven by growth of Digital Out-of-Home, which will be further driven by improving programmatic advertising and new and innovative audience targeting solutions.

We forecast that Digital Out-of-Home (DOOH) will grow at a 14.3% CAGR from 2018 to 2023, reaching A$869mn by 2023 and representing 76.5% of the overall OOH advertising expenditure, while Physical OOH will decline at a -9.2% CAGR from 2018 to 2023, reaching A$275mn by 2023 and representing only 23.5% of  overall OOH revenues.

Spending on traditional sites will continue to decline as spending on DOOH increases as major OOH players accelerate their investments in DOOH which enables advertisers to combine data-driven targeting with powerful, dynamic ad campaigns.

Programmatic advertising has played an important role in shaping the current digital advertising landscape and its success has led to its adoption by more traditional media formats such as TV, radio and OOH which in turn has been supported by the digitisation of these formats.

Industry players are now looking to bring more functionality, formatting and effectiveness to advertisers beyond just digitizing existing sites, along with transitioning to trading platforms which will customers to automate ad buying process to increase efficiency.

OOH players are partnering with data analytics businesses to gain access to geospatial, behavioral and transaction level insights for their display locations. Location data is being leveraged to deliver targeted campaigns for specific audiences and enable OOH vendors to fully leverage their digital capabilities and premiumise inventory.

OMA’s continues to expand and upgrade the MOVE platform while third party platforms emerge to fill a gap in the audience measurement and reporting space for DOOH

Contents

Executive Summary

Advertising market forecast (2018-2023)

• OOH will continue to outperform the overall advertising market

Digital out-of-Home

• Digital OOH to drive growth while physical OOH will remain under pressure in-line with other traditional media formats

Audience Measurement

• OMA’s continues to expand and upgrade the MOVE platform while third party platforms emerge to fill a gap in the audience measurement and reporting space for DOOH

Supply composition

• The OOH inventory continues to grow driven by new and innovative specialty OOH players

Demand composition

• Out of the box campaigns are driving the usage of OOH as an advertising medium

Combining OOH with other media channels – traditional and digital

Programmatic OOH

• Programmatic advertising has transformed the online advertising space and could play an important role in the growth of the OOH market going forward.

Data is becoming the new differentiator

• Location data is being leveraged to deliver targeted campaigns for specific audiences and enable OOH vendors to fully leverage their digital capabilities and premiumise inventory

List of charts/tables

Fig. 1: Advertising revenue by segment (A$b)

Fig. 2: AdEx (A$m) by sub segment of Out-of-Home – FY

Fig. 3: AdEx (A$m) and growth (%) for Out-of-Home – FY

Fig. 4: DOOH as a percentage of total OOH revenues (A$M, 2015-23) – FY

Fig. 5: Audience growth YoY (%, MOVE)

Fig. 6: 2018 growth by format (A$mn)

Fig. 7: Programmatic advertising in Australia (A$mn)

Fig. 8: Programmatic OOH flowchart (illustrative)

Fig. 9: ooh! Media Smart Reach Platform data points

Fig. 10: JCDecaux data offerings