Hong Kong marketers set to increase spending significantly in programmatic OOH
Hong Kong marketers are expected to increase their investment in programmatic out-of-home in the next 18 months as they seek to maximize their investment in the channel for their brand-led and performance-led campaigns.
93% of Hong Kong marketers expect Covid-19 to impact adoption of programmatic OOH in general
84% of Hong Kong marketers say they have bought OOH programmatically in the last year, more than they did for social media, according to a survey by digital OOH marketplace VIOOH.
“Programmatic technology is opening up new possibilities in a traditional media channel. For marketers looking to maximize the value of their advertising budgets, the agility, flexibility and trigger-based decisions, intrinsic to programmatic OOH are crucial,” said Ben Lin, the chief executive officer for China at VIOOH.
“With 94% of executives looking to increase spend on programmatic OOH within the next 18 months, the future for programmatic OOH in Hong Kong is strong.”
What did the survey find?
-
Hong Kong marketers invested more in programmatic investment in OOH in the last 12 months than in any other media channel, with social media (80%), digital video (80%) and digital audio (70%) following closely behind.
-
76% of all Hong Kong media executives either agree or strongly agree that programmatic OOH is a clear part of their programmatic and digital strategy, with a greater number (82%) agreeing programmatic OOH provides excellent value for money.
-
93% of Hong Kong marketers expect Covid-19 to impact adoption of programmatic OOH in general, but over a third (37%) anticipate more than doubling their spend on programmatic OOH in the next 18 months.
-
81% of Hong Kong marketers planned, bought, or placed programmatic OOH in 2020 due to its flexibility, indicating a high level of appreciation for this feature in times of uncertainty.
-
58% of agencies and 36% of advertisers believe that OOH is important for brand-led campaigns. For performance-led campaigns, 76% of agencies and 38% of advertisers believe that OOH is important.
-
62% of agency executives in Hong Kong want training on the benefits of programmatic OOH advertising to learn more. While both agency and advertiser executives require sector-specific insights for programmatic OOH, this is more pronounced amongst agencies than advertisers, reflecting the trust that advertisers put in their agencies to have the appropriate levels of knowledge.
-
However, 41% of HK executives admit they do not fully understand programmatic OOH and its benefits, suggesting further educational efforts are needed to help programmatic OOH reach its full potential.
Why does this matter?
-
DOOH advertising is undergoing significant transformation across the APAC region, with spending expected to grow over 18% each year until 2026.
-
The growth is driven by a developed infrastructure with a dense distribution of digital screens and by connected technologies that facilitate opportunities for brands.
-
In the same way, traditional TV has benefited from its evolution to CTV, OOH players are reaping the rewards of digital transformation by increasingly recognizing the advantages of programmatic to transact top-tier inventory deals.
-
Marketers need to be flexible and agile in a changing environment to maximize performance from their DOOH spend. Programmatic DOOH offers brands the data-driven targeting, campaign measurement, and real-time optimization they need to meet these challenges, bringing incremental value to both the buy and sell-side.