Industry expert Mark Boidman paints bright picture for post-pandemic Out of Home ‘Recovery and Opportunity’

Industry expert Mark Boidman paints bright picture for post-pandemic Out of Home ‘Recovery and Opportunity’

Industry expert Mark Boidman paints bright picture for post-pandemic Out of Home ‘Recovery and Opportunity’

In the first World Out of Home Organization webinar of 2021 Mark Boidman of New York investment bank PJ Solomon - an acknowledged industry expert and the author of Times Square Everywhere - painted a bright picture for Out of Home worldwide as advertisers return to the post-pandemic marketplace.

The webinar, the first in a series throughout 2021, was attended by over 100 W00 members.

Recovery and Opportunity

While the Out of Home market is estimated to have fallen by 20-25% in 2020 - this year will see a strong bounce-back, Boidman said, with revenues rising from  $26bn in 2020 ($37bn in 2019) to $33bn in 2021 and $39.6bn in 2022. Estimated revenue in 2024 is $44bn.

Digital OOH is driving growth, increasing its share from 33.8% in 2019 to 37.4% in the midst of the pandemic. It is forecast to take 43% worldwide by 2024.

Furthermore, PJ Solomon predicts that digital, by the far the biggest ad medium worldwide now, and OOH will be the only two main media to increase share in 2021 and beyond. Trends driving the growth in 00H, according to research from the OAAA and Harris in the US, are consumers suffering “burn-out” from too many digital devices (68%) and 65% of consumers saying they want to spend more time out of home. The same research shows that 45% of consumers notice OOH ads more than they did pre-pandemic.

Boidman tracked the development of OOH from classic, static billboards through via the digital OOH revolution to a future shaped by what he calls “data-enhanced” OOH. This new ability to enlist data in OOH is leading to two important developments, both benefitting the medium: combining with other media, especially mobile, for cross channel campaigns and the rise of programmatic and ad exchanges.

From a still relatively small base, programmatic is increasing its share rapidly in some markets, notable the US. The forecast in the Us is that programmatic will rise from $90m in 2019 to $530m by 2022. 

The task, for OOH, Boidman said, is to “grow the pie,” competing with the new media behemoths like Facebook, Amazon and Google to ensure that the medium gets its fair share and more as major advertisers (including the so-called FAANGs which are heavyweight users of OOH) increase budgets dramatically as the pandemic ebbs.

To do this, he said, there needed to be more consolidation in OOH so that players had the scale needed to compete with the world’s biggest companies, the digital media giants, for ad revenues.

WOO President Tom Goddard, who chaired ‘Recovery and Opportunity, says: “As ever, Mark has set the bar incredibly high with a fascinating, informative and inspiring presentation. He really is a champion of the industry and a true believer in the unleashed value in OOH.

“This was a brilliant way to kick-off the Webinar element of our packed 2021 programme and all of us at WOO will be working flat out to make sure that we maintain this very high standard in future events.”

A video of Mark’s presentation and the slide deck will be available to download for all WOO members next week.

Interested in becoming a member?

Fill in your details and submit the form, we will contact you shortly about membership...

Enter this number to confirm your human!: 31147

Subscribe to our weekly OOH newsletter

LATEST INDUSTRY NEWS: focusing on the top OOH stories of the week from around the world.

Newsletter Signup