The Outdoor Media Association (OMA) has reported that the Out of Home (OOH) industry is facing a further decline on revenue.
It announced that OOH net media revenue for the third quarter of 2020 has dipped by 56 per cent – down from $218.2 million in the previous corresponding period, to $95.8 million.
OOH reported a total net media revenue of $289.1 million for the first half of 2020. This was a decline of 35.4 per cent from the $447.3 million it recorded for the same period in 2019.
However, despite overall net media revenues dropping, its digital revenue for the third quarter of 2020 was up from Q3 2019.
Digital revenue is sitting at 55.6 per cent of total net media revenue year-to-date, an increase from the recorded 55.3 per cent for the same period last year.
“Although our industry has been hit hard by the global pandemic and the additional lockdown in Victoria, we are seeing the market gradually improve,” OMA CEO Charmaine Moldrich said.
“In Q2 the OMA reported a drop in revenue of 65 per cent on the year prior, so it is heartening to see advertising spend increase from what was our lowest point.
“It is especially hopeful as we see lockdown measures lifted across the country in the lead up to what is the industry’s strongest quarter, with Spring, Summer and the Christmas period ahead.”
The OMA also identified that data has shown that as restrictions lift and the weather warms that audiences are returning to outdoor spaces and places, and with traffic back 75 to 90 per cent of pre-COVID level across Australia, there are positive signs of audiences returning to public transport.
“These trends, in addition to lifting of restrictions in Victoria, are hopeful signs that signal the start to industry recovery,” Moldrich added.
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