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The impact of Covid-19 brought hassles for the emerging OOH advertising industry
In the outbreak of the COVID-19 pandemic worldwide, the financial market is being adversely affected due to the decline in operating profits of the companies. Out-Of-Home (OOH) advertising has come up as a better example of it. The sector has witnessed a downtrend in its growth since the lockdown has been implemented. In contrast to this, advertisers have adapted by following consumers. It means that they have prioritized digital advertising as the rise in the digital field has been a remarkable change due to the pandemic.
Last year during the lockdown period (April-July), the average monthly spending on the OOH advertising industry noticed a severe drop down by 80%. It is not a matter of amazement that the decline played a very crucial role in the economic sector.
Downfall in the OOH advertising industry left a remarkable impact
Out-of-Home advertising includes Transit Advertising, Billboard Advertising, Stunt Advertising, Retail Advertising, Ambient advertising, and many more. All these types of advertisements have been affected badly in the pandemic. Reduction in public traffic at places has done away with the need for this kind of advertising. Lockdown has changed the way we live and the way in which we consume media. People had been urged to stay indoors. This resulted in the streets and roads being empty.
Public transportation has faced a grand halt. It has further led to a vacuum in bus shelters and train stations and the busy shopping areas are deserted. The so-familiar bright branding of Oppo, Vivo, is no longer visible while walking down the busy areas. Many hoarding sites have been left empty because there are no consumers to view them. Whether it be temporary, but the scenario has totally changed the OOH industry. In the financial year 2019, the revenue generated from OOH advertising was over Rs 34 billion across India. As per the FICCI-EY Media & Entertainment Report 2021, the OOH industry in the year 2020 faced a decline in its growth of approximately 50%.
Post-Lockdown Expectations in the OOH advertising industry
The post-pandemic effect on the OOH advertising industry is going to be remarkable. Many scholars have pointed out their views on the growth of the OOH industry in the post-pandemic scenario. Some have suggested that the OOH media is going to drive audience sentiment at a much larger scale. New categories such as OTT entertainment, online education, and hygiene products emerged as the biggest spenders have emerged as big investors and this situation is going to play a positive role.
Cab-Branding emerges as a new trend of brand advertisement in the OOH advertising industry
Amidst all the new opportunities in the field of the OOH advertising industry, Cab Branding is becoming quite a unique ideology with a wider impact on people. The advertising on cabs has come with a new opportunity for companies to promote their brand in a large geographical area. This advertisement can be carried out at a pretty reasonable cost compared to other methods of brand advertisement. It is a true fact that cabs don’t offer big advertising slots such as buses for brand promotion, but brand advertising carried out on cabs offers deeper ingress in the target audiences. It is a bit more costly than the other forms of branding, as it provides a more personalized experience to travelers.