W Group’s Philip Matta Talks of Shaping a Future of Innovation and Impact
By Philip Matta, Group COO at W Group Holding
Source: Campaign Middle East
February 2024
Group COO Philip Matta shares W Group Holding insights on the future of the Out-of-Home (OOH) industry in 2024.
Click here to read the article in Campaign Middle East.
The OOH advertising industry is on the brink of significant transformations in 2024, with several trends and innovations poised to shape the global media landscape, especially in the GCC and the UAE.
As the industry rebounds from the challenges posed by the Covid-19 pandemic, experts anticipate key developments that will redefine the role of OOH in the media ecosystem.
DATA INTEGRATION AND PDOOH
Advancements in technology are propelling programmatic digital out-of-home (PDOOH) to the forefront of advertising strategies in 2024. The landscape is set for enhanced privacy-safe data access, allowing marketers to seamlessly bridge the divide between online and offline activities.
At Hypermedia, we have empowered our media network, the largest of its kind in the UAE, with cutting-edge data measurement tools through partnerships with regional and global leaders in this domain.
Today, with our new integrated AI smart technology, our DOOH and retail media are not just screens and large advertising formats but rather smart platforms for advertisers to engage with their audiences in smarter data-driven campaigns and real-time triggered advertising.
Our next step is into PDOOH adoption, fostering a fluid movement of inventory and the overlay of performance data for insightful future media planning.
Globally, advertisers are projected to increase PDOOH campaigns by a significant amount from $557 billion in 2021 to reach 616 billion in 2024. Beyond simply counting cars and traffic in front of media panels, data measurements serve as a potent instrument for assessing the efficacy of campaigns.
This is achieved through the utilization of precise and dependable metrics that enhance Return on Advertising Spend (ROAS). Notably, recent studies project a noteworthy growth in Out of Home (OOH) advertising expenditure in the MENA region, from $1.4 billion in 2023 to $1.5 billion in 2024.
RESILIENCE, INNOVATION, AND GENERATIVE AI
The OOH industry, showcasing remarkable resilience and a strong commitment to innovation in 2023, sets the stage for a transformative 2024.
Generative AI, retail media and sustainability emerge as pivotal trends. Generative AI’s deployment is predicted to usher in a wave of bold and innovative OOH advertising, dynamically optimizing campaigns.
AI’s integration into programmatic platforms is expected to streamline planning and buying processes, accelerating market, audience, and media analysis.
An estimated 68 per cent of industry leaders predict a surge in AI-driven creative campaigns, indicating a substantial shift towards data-driven insights and dynamic creative processes.
Additionally, the industry anticipates heightened creativity fuelled by technological advancements such as 3D and AR, offering fresh engagement opportunities.
RETAIL MEDIA’S ASCENDANCE
The convergence of physical and digital realms in the retail sector is creating new opportunities for in-store and in-mall retail media. Often overshadowed, retail media represents an untapped reservoir of potential for advertisers willing to explore its possibilities.
Beyond traditional trade and promotional budgets, the real potential lies in brand and media funds managed by media agencies. Capturing the media value of in-store shoppers through programmatic activation offers retailers the ability to dynamically reach audiences, providing a holistic and enriched shopper journey.
Retail media, characterized by digital assets controlled by specific retailers, is gaining global traction with an expected growth of 8.3 percent in 2024. The relationship between retail media and DOOH is evident, with both contributing to revenue growth for advertisers and retailers alike.
Notably, Hypermedia has played a pivotal role in the retail media evolution in the UAE. After successfully digitizing a substantial portion of its media network, Hypermedia has successfully deployed its AI smart advertising technology, transforming 100 screens into smart signages across Dubai Metro’s 53 stations, and soon extending to its in-store and in-mall retail network.
OOH AND SUSTAINABILITY
Sustainability is no longer a buzzword but a driving force behind business decisions, including those in the OOH industry. As 96 per cent of the world’s top 250 companies report on sustainability, the OOH sector has responded by implementing eco-friendly practices. Solar panels, electric vehicles and digital displays are among the measures adopted to align OOH with sustainability goals in 2024.
NEW HORIZONS
As the OOH industry strides into 2024, it stands at the intersection of technological innovation, sustainability, and creative prowess. Navigating the year ahead requires a strategic approach, embracing programmatic advancements, sustainability initiatives, and the latent power of retail media.
By doing so, the OOH industry is poised not only to weather challenges but to redefine the future of advertising and consumer engagement.
