In the rapid development of technology and communication techniques, communication channels are making big changes, outdoor advertising (OOH) is no exception.This article predict the trends of the outdoor advertising industry in Vietnam in the future.
- The proliferation of electronic screens
The rise of electronic screens in outdoor advertising comes from both supply and demand source. 3-4 years ago, the number of outdoor advertising screens only counted on the fingertips with the average display quality. Meanwhile, more new positions have appeared with much better display quality.
Supply: The price reduction of electronic display modules and the permission of many state agencies in the provinces.
Demand: Advertisers are accustomed to running and book electronic displays, along with the innovation pressure of companies set for marketing communications.
This increase is an opportunity for OOH to compete with other media channels, especially Digital in increasing content transmission.
2.The proliferation of location-based outdoor advertising vehicles (Place Based)
Areas that consumers stop for a long time and have specific purposes (hospitals, commercial centers, Metro stations, bus stations, gas stations, motorbike washing stations, etc.) will grow rapidly in terms of quantity and price than the usual big billboard advertising. Advertising on transport also has growth in quantity but the price will not grow much.
Despite the traffic volume is lower in these areas, it is more persuasive (viewers can see the content at closer and longer distances). In addition, viewers in these areas use mobile devices, which is an ideal condition for combine Online and Offline (a concept is gradually becoming widely applied). For example: When you see an interesting content that wants to find out more information, almost no one in the middle of the road stops to pull the phone out to find more information, however if a student is sitting at the bus stop then that ability will be much higher.
Especially the appearance of the Metro in Hanoi and Ho Chi Minh City (with the metro stations located all over the route) will have a great impact on this growth.
Advertising at a wash’s motorcycle shop
3. The advertising campaign combines Offline and Online
Outdoor advertising has the advantage of low cost / amount of access and geographical access, but the amount of information that can be provided is too low compared to other media channels. Therefore the combination between Offline and Online is a concept that is gradually gaining popularity to bring high effect on media (mix media).
The force of this growth comes from information technology (QR Code, Internet, Camera identification, sync content online, …) as well as learning from advertising campaigns that have been successful abroad and fast. quickly introduced to Vietnam.
4.The participation and rise of supporting companies for the industry
Participation and resurgence of specialized companies to support the industry. For example: Traffic flow measurement (EyeQ Tech), evaluation of outdoor billboards (Trinity Media: although almost withdrawn), advertising technology equipment… These companies will support to increase and evaluate the effectiveness of advertising activities, while helping outdoor advertising activities to be more transparent and clear.
5.Department structure in agencies which have outdoor advertising
Previously, the power of agency outdoor advertising can be price and relationship with suppliers as well as customers, it will gradually shift through the ability to own information (Data product advertising and user data), along with the creative ability to use OOH. Because currently in the market more information and more stringent requirements from customers, some good advertising positions with reasonable prices are not convincing enough for customers to use the service. Therefore, there will be more creative departments in advertising agencies to create creative advertising campaigns using OOH, as well as to incorporate additional services plus outdoor advertising facilities.
Some other outdoor advertising agencies focus on collecting information and creating partnerships to be able to provide a variety of outdoor and quick advertising channels to customers. For example: Shojiki, Unique, ..
6.The shift to the industry
Besides FMCG, some industries will increase demand for OOH within the next 5 years.
E-commerce & Mobile Application: OOH will be an indispensable channel for e-commerce sites and mobile applications. It can be seen that Lazada, Tiki, Shoppee or Grab are all big players in the outdoor advertising market (when it is possible to deploy 10-15 locations in Ho Chi Minh City, along with Many forms of outdoor advertising are used simultaneously. This is explained mainly from the connection between Offline and Online. In addition, e-commerce and Mobile Application are the industries that require a lot of trust (consumers still have a lack of trust when transactions via mobile devices, so outdoor advertising is a simple channel near you to increase the trust of brands and services.
– Real estate: Currently the premium positions of electronic and banking brands are gradually being replaced by real estate related brands (Novaland, Angia, Alpha King).
– Fastfood: When the number of Fastfood stores is small, the cost of investing in an advertising store for a store is too high, so when the number of stores increases, the cost for each store will be lower. corresponding.
– Fashion: Along with the appearance of popular fashion brands abroad (Zara, H&M, Uniqlo, ..) can see the development trend of fashion industry as well as increase spending ability. into branded fashion. The brands that have started to participate in recent outdoor advertising can be mentioned: Zara, Skecher, Biti’s, GAP, CalvinKlein, …
Conclusion
Each media channel has its own strengths and is constantly changing to meet the needs of the market. OOH is no exception, and probably is the same as the whole industry. The growth of OOH industry will mainly depend on data, technology and content. Successful agencies in the market are also people who actively capture data, technology and content (creativity).
