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‘Post 2-min ad cap on TV, OOH medium will see double digit growth’

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Out of Home industry has always been categorised as a supporting medium for television; however, it has gained more popularity amongst advertisers after the two-minute ad cap on television. Interestingly, television medium has sufficient channels and different TV slots to cope up with ad cap restriction. But I really think that OOH medium will grow and see double digit growth in the next three to five years. The key reasons for OOH medium’s growth would be that people have figured out better ways to utilise this medium in terms of innovations, latest technology and result orientated campaigns  and another reason is that the young audiences is spending ample amount of time outside, therefore this medium becomes much more relevant.

The FMCG category has never made a significant use of OOH medium. But this will change consistently and this medium has more potential for the FMCG category. But the OOH medium will see a lot of spends from the entertainment and movies categories. Also, the OOH medium will see huge impulse spends from e-commerce sites and therefore this area will grow. I also believe that it will be difficult for brands to pay such sharp increase in rates.

I believe that outdoor advertisements are one of the most cost efficient ways to reach potential customers and clients. Additionally, we can target with OOH the consumers across culture, language, season, age, and in any format. In order to address GAPS in terms of marketing reach, OOH is the best customized solution for the organization.

However, there is tussle between advertisement spend when it comes to Internet and OOH. In fact OOH media is used throughout the year for product launches, branding initiatives, sales activation because of its cost-effectiveness.

But I am also sure that TV budget will never be kept nil as it is an important medium. But having said that, a brand needs to be always active in OOH medium, as it gives multiplier effect on ground level. The large format with its local communication, singular pictorial representation, minimal and bold message, strategic locations, cost efficiency and media effectiveness helps a brand deliver its key message to a large audience in an uncluttered environment.

With new techniques, innovation and new formats, outdoors has earned its share in the market. Brands which are looking at exploring unique solutions, outdoor offer them great creativity in still media and random visibility with the help of transit media.

Importantly, outdoor will have to compete with print, radio and most importantly social media. Innovations will play crucial role if more brands are diverting their interest on this medium. Ambient and transit media along with BTL activation will become important.  Monitoring system and assured ROI will enhance the preference for the medium.

(The writer is the Managing Director, Global Advertising)

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