Data & DOOH: OOH players aim for the sky in 2025

2025 begins with marquee events for the Out of Home industry – Maha Kumbh, Delhi elections, and sporting leagues like the Asia Cup. These events, combined with evolving consumer preferences, programmatic advertising and data-driven targeting, look set to make 2025 a landmark year for the OOH sector.

As India transitions into a more digitally integrated economy, Haresh Nayak, Founder & CEO, Connect Network, foresees that OOH will evolve into a hyper-local, tech-enabled, and infrastructure-driven medium.

Strategic data usage, improved measurement systems, digital innovations, and a focus on modern infrastructure will position OOH as an indispensable part of the media mix, delivering measurable outcomes for brands across industries, Nayak added.

As per the recent Pitch Madison Advertising Report, OOH grew 13% in 2023, substantially higher than that achieved by TV and Print.

Expansion of DOOH market share

As per Rajesh Radhakrishnan, Co-Founder & CMO, Vritti iMedia, DOOH is anticipated to experience substantial growth, increasing its share from the current 20% to approximately 30% of the total OOH market by 2025. This progression has been attributed to India's digital advancement and the integration of AI into advertising platforms. Metropolitan areas are rapidly evolving into digital hubs, facilitating this expansion.

Furthermore, he said, “The advertising industry is expected to make a significant beginning towards programmatic advertising enabling advertisers to manage campaigns digitally. This shift is driven by the creation of numerous Digital Out-of-Home (DOOH) assets over the past two to three years.”

The proliferation of digital screens will significantly expand inventory, introducing a new optimization phase for media buyers. Here, the quality of screens will emerge as a critical factor alongside cost, influencing media planning and buying decisions, said Nayak. Enhanced display technologies, better location analytics, and integration with digital ecosystems will ensure that premium digital OOH formats dominate the market.

However, Dipankar Sanyal, CEO, Platinum Communications said, "While digital OOH will drive conversations, static billboards will continue to build imagery. Hence, the importance of static will never be demolished.”

Strategic use of data

The way data is used in India's OOH landscape is being revolutionized by technological improvements and the availability of second-party client data.

“Measurement frameworks will also undergo significant refinement. While Indian advertisers currently use metrics like impressions, reach, brand awareness, and sales uplift, the growing emphasis on data-driven planning will help streamline these metrics. In 2025, buyers will strategically align their measurements with campaign objectives, moving beyond legacy KPIs to focus on metrics that deliver actionable insights,” Nayak highlighted.

When paired with richer audience insights, programmatic capabilities are helping businesses better mine data, leading to increasingly complex and predictive targeting methods. This enables marketers to develop programs that are very relevant to their audiences and timely.

“Advertisers seek consistent income throughout the year and aim to secure the best rates during peak seasons. Programmatic advertising facilitates this by offering a platform that ensures consistent returns and optimal pricing,” added Radhakrishnan.

Sanyal mentioned, “As we evolve, more and more database planning will take over.”

Modern infra, expanding urban growth

Nayak further explained, “With the development of smart cities, new metro rail systems, expressways, and airports, OOH advertisers will gain access to high footfall locations across both metros and small cities. These infrastructure projects will bring new, strategically placed advertising opportunities, enhancing visibility and engagement for brands.”

The quality of OOH formats will also rise as a result of legislation and urban beautification projects that support top-notch municipal facilities. These urban improvements will include interactive kiosks, smart bus shelters, and high-definition digital billboards, guaranteeing that OOH will remain the preferred medium for advertisers aiming to reach India's growing urban population.

The development of AI-based planning tools is set to transform localised outdoor advertising. Currently, the utilisation of AI in India is limited due to a scarcity of localised content, often resulting in the adaptation of non-native materials, Radhakrishnan explained. Moving forward, there will be a concerted effort to generate region-specific content, enabling AI to craft tailored advertising strategies that resonate with local audiences.

Sanyal agreed saying AI will make inroads to create relatable sentiments for the consumer. Moreover, mobile penetration has given a smartphone to every citizen today and OOH along with mobile will foster more scope for augmented reality.

Sustainability Measures

According to Sanyal, there is a growing emphasis on sustainability, particularly through the use of reusable and eco-friendly materials. Additionally, efforts are being made to reduce power consumption, which in turn helps minimise the carbon footprint.

Moreover, companies are implementing recycling and upcycling programmes for used materials, ensuring discarded OOH assets do not contribute to landfills.