Out of Home Advertising Reaches $41.9 Billion, Forecasted to Hit $45.3 Billion in 2024

The World Out of Home Organisation (WOO) has unveiled its 2024 Global Expenditure Survey, showing substantial growth in the Out of Home (OOH) advertising sector. In 2023, global OOH expenditure reached $41.9 billion USD, accounting for 5.2% of global advertising expenditure. Projections suggest this figure will rise to $45.3 billion USD in 2024.

Comprehensive Survey Methodology

The 2024 WOO Expenditure Survey was conducted using a short-form questionnaire sent to WOO members and OOH associations worldwide. This year’s survey included responses from 109 members across 85 unique territories, representing 95% of global GDP and 78% of the global population. For unreported territories, data were modeled based on population and GDP per capita or excluded if necessary.

Historical Context and Recovery Trends

The survey builds on data from 2019 onwards, providing insights into the impact and recovery from the COVID-19 pandemic. It highlights the role of Digital Out of Home (DOOH) in driving sector growth. These insights enable WOO members and trade associations to leverage growth strategies from various markets.

Global OOH Volume and Share (2019-2024)

1. 2019
   • OOH Expenditure: $36.3 billion USD
   • OOH Share of Total Media Adex: 5.8%
   • Analysis: OOH advertising held a strong position with nearly 6% of the total media adex.
2. 2020
   • OOH Expenditure: $30.7 billion USD
   • OOH Share of Total Media Adex: 5.0%
   • Analysis: The impact of the COVID-19 pandemic is evident, with a significant drop in OOH expenditure and its share of total media adex.
3. 2021
   • OOH Expenditure: $36.1 billion USD
   • OOH Share of Total Media Adex: 4.9%
   • Analysis: A recovery phase begins, with OOH expenditure nearly returning to pre-pandemic levels, though the share of total media adex remains slightly lower.
4. 2022
   • OOH Expenditure: $35.4 billion USD
   • OOH Share of Total Media Adex: 4.7%
   • Analysis: A slight decline in OOH expenditure, reflecting ongoing market adjustments post-pandemic, and a lower percentage of the total media adex.
5. 2023
   • OOH Expenditure: $41.9 billion USD
   • OOH Share of Total Media Adex: 5.2%
   • Analysis: Significant growth in OOH expenditure, surpassing the $40 billion mark and increasing its share of total media adex to over 5%.
6. 2024 (Forecasted)
   • OOH Expenditure: $45.3 billion USD
   • OOH Share of Total Media Adex: 5.3%
   • Analysis: Continued growth is projected, with OOH expenditure reaching $45.3 billion USD and its share of total media adex increasing slightly to 5.3%.

Regional Breakdown of OOH Expenditure for 2023

• Asia-Pacific (APAC): Leads with $20.2 billion USD in OOH spend, representing nearly half of the global total and 40% of global GDP.
• Europe: Reports $10.3 billion USD in revenue, aligning with its 25% share of global GDP.
• North America: Follows with $9.4 billion USD.
• Latin America (LATAM) and Africa: Trail with $1.3 billion USD and $0.7 billion USD respectively. Africa’s informal economy likely contributes to under-reporting.

1. Asia-Pacific (APAC)
   • OOH Expenditure: $20.2 billion USD
   • Analysis: APAC leads in OOH advertising spend, accounting for almost half of the global total. This dominance is indicative of strong market growth and investment in OOH formats in the region.
2. Europe
   • OOH Expenditure: $10.3 billion USD
   • Analysis: Europe represents a significant portion of the global OOH market, aligning with its economic scale and mature advertising markets.
3. North America
   • OOH Expenditure: $9.4 billion USD
   • Analysis: North America’s substantial OOH expenditure reflects its robust advertising industry, though it trails behind APAC and Europe.
4. Latin America (LATAM)
   • OOH Expenditure: $1.2 billion USD
   • Analysis: LATAM shows a smaller share of global OOH spend, highlighting potential areas for growth and increased investment in the future.
5. Africa
   • OOH Expenditure: $0.7 billion USD
   • Analysis: Africa’s OOH expenditure is the lowest among the regions, likely due to economic challenges and underreporting in informal markets. This suggests significant potential for future expansion and development.

Growth of Digital Out of Home (DOOH)

In 2023, DOOH expenditure reached $16.7 billion USD, making up nearly 37% of all OOH revenues. Investment in DOOH infrastructure varies globally:

Regional DOOH Penetration in 2023

1. Europe
   • DOOH as a % of Total OOH: 40%
   • Analysis: Europe leads in digital integration within the OOH sector, with 40% of its OOH advertising being digital. This reflects strong investment in DOOH infrastructure and technology.
2. Asia-Pacific (APAC)
   • DOOH as a % of Total OOH: 36%
   • Analysis: APAC shows significant digital penetration, with 36% of OOH advertising being digital. This is indicative of the region’s focus on modernizing advertising methods.
3. North America
   • DOOH as a % of Total OOH: 33%
   • Analysis: North America’s DOOH share stands at 33%, highlighting substantial adoption of digital formats within the OOH sector.
4. Latin America (LATAM)
   • DOOH as a % of Total OOH: 31%
   • Analysis: LATAM’s digital penetration in OOH is at 31%, showing a growing trend towards digital advertising but with potential for further growth.
5. Africa
   • DOOH as a % of Total OOH: 20%
   • Analysis: Africa has the lowest digital penetration in OOH advertising at 20%, suggesting significant opportunities for increased investment in DOOH infrastructure.

Global Digital Penetration

• Global Digital Penetration Rate: 35.7%
• Analysis: The global average indicates that DOOH represents 35.7% of the total OOH advertising spend. This figure underscores the increasing shift towards digital formats in the global OOH industry.

Top Global Markets DOOH

The growth potential of DOOH is evident in markets with heavy investments in DOOH screens, such as Australia (76% of OOH revenue), the UK (65%), Germany (41%), China (40%), and South Korea (40%).

Key Market Insights:

1. Mainland China
   • DOOH Expenditure: $4.5 billion USD
   • DOOH as a % of Total OOH: 40%
   • Analysis: Mainland China has the highest DOOH expenditure, reflecting substantial investment in digital advertising.
2. United States
   • DOOH Expenditure: $2.9 billion USD
   • DOOH as a % of Total OOH: 33%
   • Analysis: The United States shows significant DOOH spend, with digital formats making up a notable portion of its OOH market.
3. Germany
   • DOOH Expenditure: $1.3 billion USD
   • DOOH as a % of Total OOH: 41%
   • Analysis: Germany has a strong DOOH presence, with digital formats constituting a large part of its OOH advertising spend.
4. Japan
   • DOOH Expenditure: $0.5 billion USD
   • DOOH as a % of Total OOH: 18%
   • Analysis: Japan’s lower percentage of DOOH indicates room for growth in digital advertising formats.
5. United Kingdom
   • DOOH Expenditure: $1.1 billion USD
   • DOOH as a % of Total OOH: 65%
   • Analysis: The UK is a leader in DOOH adoption, with digital formats comprising the majority of its OOH advertising spend.
6. France
   • DOOH Expenditure: $0.3 billion USD
   • DOOH as a % of Total OOH: 20%
   • Analysis: France shows a modest investment in DOOH, indicating potential for further digital integration.
7. South Korea
   • DOOH Expenditure: $0.4 billion USD
   • DOOH as a % of Total OOH: 40%
   • Analysis: South Korea’s significant DOOH share highlights its advanced digital advertising infrastructure.
8. Australia
   • DOOH Expenditure: $0.6 billion USD
   • DOOH as a % of Total OOH: 76%
   • Analysis: Australia leads globally in DOOH share, with digital formats dominating its OOH market.
9. Canada
   • DOOH Expenditure: $0.2 billion USD
   • DOOH as a % of Total OOH: 28%
   • Analysis: Canada has a moderate level of DOOH investment, with digital formats representing a smaller share of the OOH market.
10. Italy
    • DOOH Expenditure: $0.2 billion USD
    • DOOH as a % of Total OOH: 29%
    • Analysis: Italy shows a similar pattern to Canada, with a smaller but significant portion of OOH spend going to digital formats.

Programmatic DOOH Growth

Programmatically traded DOOH reached $1.2 billion USD globally, representing 8.1% of total DOOH revenues. This figure is expected to grow in the 2025 report due to increased market adoption and improved reporting.

Global Programmatic DOOH Spend in 2023

1. Global pDOOH Expenditure: $1.2 billion USD
   • Analysis: The global pDOOH expenditure reached $1.2 billion USD in 2023. This indicates a significant investment in programmatic advertising technologies, which automate the buying, selling, and delivery of DOOH advertising.
2. pDOOH as a % of Total DOOH Spend: 8.1%
   • Analysis: Programmatic DOOH represents 8.1% of the total DOOH advertising spend. This percentage showcases the growing trend towards automation and data-driven advertising solutions within the digital OOH market.

The World Out of Home Organisation’s Global Expenditure Survey provides essential insights into OOH market dynamics and growth trends. Detailed geographical data and historical trends from 2019 to 2024 are available to WOO members through the organization’s website.

For more detailed information, visit the World Out of Home Organisation’s website.