Survey: 42% Of Marketers To Increase DO Spend


Some 42% of agency and brand marketers plan to increase their spending on digital out-of-home video advertising, according to a survey by Adcentricity, which aggregates digital out-of-home video networks, positioning itself as an adjunct to media planning and buying. If their predictions hold true, this holds out hope for a return to strong growth for the new medium as the economy begins to recover.

Adcentricity's new study, titled "2010 Digital Out-of-Home Outlook & Planning Guide," predicts that total DO spending will hit $2.6 billion in 2009 and over $4.5 billion in 2013, from a cumulative annual growth rate of about 15% from 2010-2013. According to the Adcentricity projections, that means DO will garner just over 44% of all out-of-home spending in 2013.

This revenue growth will be driven by several factors, according to Adcentricity. In terms of infrastructure, 38% of DO network operators plan to invest between $1 million and $10 million in expanding or improving their networks, including content offerings, ad-serving and measurability. Twenty percent of those surveyed plan to expand their networks to include over 1,000 screens.



Adcentricity also pointed to growing awareness of the medium's potential among advertisers. On this front, it noted that DO reaches 67% of Americans over the age of 18 on a monthly basis. Furthermore, the medium makes a big impression, partly because of its ability to reach consumers via multiple venues.

Screens in retail venues -- like grocery stores and shopping malls -- reach 53% of Americans over the age of 18 on a monthly basis, while displays in gas stations and movie theaters reach over 20%. Among people who noticed DO displays, 76% recalled seeing them at more than one venue.

Altogether, Adcentricity's tally of DO venue categories found over 70 discrete types of location -- each with unique characteristics attracting a certain kind of consumer and suitable for certain kinds of ad messaging.

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