Lok Sabha polls to boost OOH biz by 25%: Experts

As the out-of-home industry gears up for the general elections in India, experts weigh in on the challenges and opportunities presented by the medium

by Chehneet Kaur
Published - January 29, 2024
4 minutes To Read
Lok Sabha polls to boost OOH biz by 25%: Experts

It's that time of the year again when one sees election posters everywhere, from elite metros to shabby walls, especially in the capital region of Delhi. These posters herald the general elections that are expected to be held in India between April and May 2024 to elect 543 members of the Lok Sabha.

Any election, whether it’s local, legislative assembly or Lok Sabha elections, augurs well for the outdoor industry at the local state and national level, according to Dipankar Sanyal, CEO of Platinum Communications.OOHplays a very prominent part in the election campaign. It gives 24-hour visibility over a sustained period.

“A Lok Sabha election would mean an additional Rs 300 crore plus being pumped into the market,” he added.

Predicting the growth percentage is a bit tricky for Amarjeet Hudda, COO, of Laqshya Media. Still, it's safe to say that the upcoming elections could drive a substantial boost in the occupancy of outdoor advertising assets. “If you say growth percentage, it should increase at least by 25 percent”.

Haresh Nayak, Founder and CEO, of Connect Network estimates that all parties' spending across the country will be around Rs 1000-1200 crore.

Challenges 

But, not all is hunky dory; there exist challenges too. During the campaign period, the messaging and displays by various political parties are quite intense, vying for the key spots, according to Sanyal. Multiple parties, multiple messaging and key locations taken over by the parties leave very little space for the regular advertisers hence they normally avoid doing campaigns during this period.

“Besides that, illegal banners by various political parties are put over displays are unavoidable and cannot be controlled,” he added.

Adding to this, Nayak opines the biggest challenge will be increased clutter across, non-availability of strategic media or location, inflation in cost and operational challenges on the ground due to control and restrictions.

As demand surges, securing the best locations for billboards or other outdoor ads could become a competitive race, as per Hudda. “The second biggest challenge would be operational and logistics due to the large geographical coverage”.

What's new in store? 

While there are challenges, OOH also offers an array of opportunities in the form of high-tech tools for clients.

Hudda highlighted that interactive billboards with QR codes, hologram technology or NFC technology are things for clients to explore. This allows people to engage directly with the content through their smartphones, making the advertisement more memorable and participatory.

He added, “Additionally, leveraging augmented reality (AR) in outdoor ads could provide a unique and immersive experience for viewers, these tech-based innovations can be explored other than regular innovations of cutouts, cutouts, balloon branding, mobile van branding, etc.”

Sanyal has noticed all forms of outdoor advertising are put into play right from hoardings, kiosks, mobile vans, wall paintings, wall wraps, banners, etc. The campaigns and messaging go as local as possible hence every form of outdoor that gives reach and impact becomes important.

With the ability to reach a vast and diverse audience, political parties that leverageOOHwill use it most effectively. Nayak underlined, “The key will be the use of Geographical Diversity where India's diverse landscape and demographics makeOOHadvertising a crucial tool for political campaigns.”

"The DOOH technology is another avenue political parties want to invest in. Digital Out-of-Home (DOOH) advertising has emerged as an integral component, providing clients with a powerful branding opportunity and a dynamic presence," Nikhil Kumar, Chief Growth Officer at mediasmart, Affle explained.

He says that innovation in DOOH powered by programmatic is also allowing advertisers to leverage geolocation, and increased targeting to customise their messages to demographics, time of the day, and even weather to optimise creatives and ad messaging in real-time.

Political parties and candidates carefully plan theirOOHcampaigns to maximise reach and impact. At the end of the day, the goal is to create a strong visual presence that leaves a lasting impression on voters and helps build a positive perception of the candidate or party.

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