Traditional Out-of-Home Advertising - GCC

Ad spending in the Traditional Out-of-Home Advertising market in the GCC country is forecasted to hit US$276.90m in 2024.
The sector is anticipated to demonstrate an annual growth rate (CAGR 2024-2030) of 1.71%, leading to an estimated market size of US$306.50m by 2030.
The average ad spending per capita in the Traditional Out-of-Home Advertising market is projected to be US$4.59 in 2024.
Traditional Out-of-Home Advertising in the GCC is experiencing a resurgence due to increased focus on local cultural nuances and targeted messaging.

Definition:
Traditional Out-of-Home (OOH) Advertising refers to all advertising revenues generated by traditional (physical) out-of-home media in public areas. The Traditional Out-of-Home Advertising market includes all ad spending on large outdoor formats, street furniture, transit and transportation, and others.

Additional information:
Traditional Out-of-Home (OOH) Advertising comprises advertising spending, users, and average revenue per user. The market only displays B2B spending. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. Key players in Traditional Out-of-Home Advertising include JCDecaux, Ströer, Focus Media Information, Hakuhodo, Dentsu, Clear Channel Outdoor, and APG SGA. For more information on the data displayed, use the info button right next to the boxes.

Traditional billboards (bulletins, large banners, inflatable billboards)
Traditional street furniture (advertising columns)
Traditional transit & transportation (traditional indoor and outside advertising in and on vehicles used for public transportation)
Traditional place-based media (e.g. traditional ambient media at point of sale, posters in restrooms)

Digital billboards (city-light boards)
Digital street furniture (city-light posters, city-light posters)
Digital transit & transportation (digital advertising in and on vehicles used for public transportation)
Digital place-based media (digital ambient media at point of sale)
Event- and promotion-related media

The Traditional Out-of-Home Advertising market in GCC is experiencing significant growth and development due to changing customer preferences and local special circumstances.

Customer preferences: Customers in the GCC region have shown a strong preference for traditional out-of-home advertising methods such as billboards, transit advertising, and street furniture. This is primarily due to the high visibility and impact of these mediums, which allow advertisers to reach a large audience in a short span of time. Additionally, customers in the GCC region have a high level of trust in traditional advertising methods, as they are seen as more credible and reliable compared to digital advertising.

Trends in the market: One of the key trends in the Traditional Out-of-Home Advertising market in the GCC region is the increasing use of technology to enhance the effectiveness of advertising campaigns. Advertisers are now incorporating digital elements into traditional out-of-home advertising, such as interactive billboards and digital signage. These technological advancements not only attract the attention of customers but also provide advertisers with valuable data and insights on consumer behavior. Another trend in the market is the growing demand for targeted advertising. Advertisers in the GCC region are increasingly looking for ways to reach specific target demographics and personalize their messaging. This has led to the development of innovative solutions such as dynamic content and programmatic advertising, which allow advertisers to deliver tailored messages to the right audience at the right time.

Local special circumstances: The GCC region has a unique set of circumstances that contribute to the growth of the Traditional Out-of-Home Advertising market. One of the key factors is the high population density in urban areas, which provides advertisers with a large captive audience. Additionally, the GCC region is known for its vibrant and bustling cities, which attract a significant number of tourists and visitors. This presents a lucrative opportunity for advertisers to reach a diverse and international audience.

Underlying macroeconomic factors: The Traditional Out-of-Home Advertising market in the GCC region is also influenced by underlying macroeconomic factors. The GCC countries have experienced rapid economic growth in recent years, which has led to an increase in consumer spending and business investments. This has created a favorable environment for advertisers, as companies are willing to allocate larger budgets for advertising and marketing activities. Furthermore, the GCC region is known for its strong infrastructure and transportation networks, which facilitate the effective placement of out-of-home advertising. The presence of well-maintained roads, public transport systems, and airports allows advertisers to target a wide range of audiences and maximize the reach of their campaigns. In conclusion, the Traditional Out-of-Home Advertising market in the GCC region is developing and growing due to changing customer preferences, technological advancements, local special circumstances, and underlying macroeconomic factors. Advertisers in the region are leveraging traditional out-of-home advertising methods and incorporating technology to enhance the effectiveness of their campaigns. The high population density, vibrant cities, and strong infrastructure in the GCC region provide a conducive environment for advertisers to reach a large and diverse audience.

Data coverage:

Data encompasses enterprises (B2B). Figures are based on traditional out-of-home advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers offline out-of-home advertisements such as billboards, street furniture, transit and transport displays, and place-based media.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, and survey results from our primary research (e.g., Consumer Insights Global Survey) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, population, urban population, and internet infrastructure.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.

When consumers take a break from smartphones, connected TVs, and computer screens, outdoor advertising is often there, promoting products and services on billboards and transit displays. Still, out-of-home (OOH) channels have also gone increasingly digital – today, online and programmatic solutions drive the industry's expansion worldwide. Mid-2023 estimates indicated that static OOH could barely grow half as fast as the digital OOH (or DOOH) subsegment between 2023 and 2025.