Adshel’s Sunglass Hut installation in Sydney’s Martin Place station
The Australian out-of-home (OOH) advertising industry has rounded off 2014 with an unprecedented 10 per cent overall growth in net revenue for the year, taking it from $547.6m in 2013 up to $602.1m. The 10 per cent spike in FY2014 compares to a rise of 7.1 per cent in 2013. Charmaine Moldrich, CEO of the Outdoor Media Association (OMA), says this is the fifth year straight of growth for the industry since it recovered from the GFC in 2010. She says, “We are thrilled with the result of 2014, solidifying the value of outdoor in the media plan. What is so exciting about the 2014 results is that we are seeing growth across all formats. Technology is driving some of this, with the uptake of digital and mobile integration, but traditional, static formats are winning too.”
Charmaine Moldrich, CEO of the OMA
In tracking the growth of OMA members across 2014, there was a modest start with a 1.8 per cent year on year increase for quarter one, which picked up in quarter two with an 8.9 per cent increase from the same period in 2013. The industry hit its stride over winter showing an 11.6 per cent increase for quarter three which was followed by skyrocketing growth in quarter four of 15.6 per cent. The association’s audience measurement tool, Move, reports that OOH audiences are growing – with an increase of 3.6 per cent in total daily contacts measured compared to 2013. This brings the total eyeballs up from 386 million to 400 million daily contacts, as people travel further each day and spend an average of 14 hours travelling and shopping each week. According to Move, Australians are now likely to see an average of 26 advertising faces a day. “The OOH industry continues to deliver healthy results and evolve at the pace that audiences are demanding – and we have plans for further advancements in 2015. Watch this space.” Roadside other, including street furniture, taxis, buses, trams and small format media, was the year’s most profitable category, with revenue of $199.7m. Runner up is roadside billboards, bringing in $197.8m, then transport with $106.1m and retail with $98.5m. Digital inventory now represents 18.8 per cent of revenue, having grown by 66 per cent since 2013.
Comment below to have your say on this story.
If you have a news story or tip-off, get in touch at editorial@sprinter.com.au.
Sign up to the Sprinter newsletter