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Top 5 predictions for DOOH in 2024

Hivestack by Perion

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January 4, 2024 | 11 min read

Drawing on their 2024 Trends & Predictions for DOOH report, here Hivestack give you their top five predictions for digitial out of home this year.

Two men and a woman look up at digital out of home ads in 2024

Another year brings another opportunity to reflect on the incredible advancements we’ve made as an industry. Although relatively new compared to other advertising channels, digital out of home (DOOH) has not only proven its resilience and agility in the face of significant challenges, but it hasn’t wavered when presented with opportunities to adapt, innovate and grow.

After setting a strong foundation and seeing a surge in trust and adoption, 2024 will be the year a more mature, sophisticated and dynamic DOOH takes center stage.

Discover our annual predictions for the year ahead.

1. Seamless omnichannel integration

In today's dynamic marketing landscape, the integration of DOOH within a larger omnichannel marketing mix has emerged as a powerful strategy. In fact, brands that adopt omnichannel strategies retain 89% of their consumers. Instead of each channel operating in silos, an omnichannel inclusive approach allows brands to create a comprehensive and cohesive canvas for storytelling, performance marketing and attribution within one strategy, one plan and one execution - and in many cases, all from one platform.

DOOH is a bold, dynamic, unmissable and unskippable format that provides a unique opportunity that sits at the intersection of data and creativity. By integrating DOOH within a broader marketing strategy, brands can ensure a consistent and immersive storytelling experience across various touchpoints. Whether it's location-based DOOH or any of the various DOOH venue types, audio OOH, connected TV, social media, or digital display advertising, a cohesive message improves brand recall and can increase revenue by up to 33% through enhanced customer loyalty. Omnichannel advertising will become even more advanced, further enhanced by data and AI-powered capabilities creating seamless and effortless experiences growing DOOH’s role as a bridge between the physical and the digital ecosystems.

2. Artificial Intelligence (AI)

It is an understatement to say that AI has been a popular topic at every industry event this year but the question remains; how is AI being applied to the DOOH space? Although there are some pretty cool use cases for AI in wider marketing creative disciplines, the core principles of machine learning and programmatic modeling are quite similar. Here are some of the conversations that are happening around AI across DOOH and where we see it going:

Visual and graphic design

Some of the earliest advancements to AI that came to market were its applications for visual and graphic design. In the coming year, we expect to see advancements to AI when applied to creative production and dynamic creative optimization (DCO).

Education and readiness

According to AI in Marketing & Communications: Boosting Productivity—and Creativity, Too?, 87% of marketers and 85% of communicators have used AI or experimented with AI tools to drive efficiencies or provide organizations with more autonomy vs. outsourcing. There is a lot of curiosity around AI tools and models that can drive efficiencies or provide organizations with more autonomy vs. outsourcing. There are also a fair amount of questions around diligence and transparency. At the core of the discussion is the need to be open and transparent around what AI tools we are using, but also to be open minded to learning new skills and adopting new technologies.

Technological innovation

We believe most of the technological developments are primarily focused around driving efficiencies across data and analytics, consumer or client relationship management (CRMs) and, of course, advertising technology products and platforms. One opportunity is how AI can power programmatic capabilities or enable the analysis of large amounts of data for better precision in audience targeting. Additional areas that hold potential include big data analysis and predictive analytics, campaign interactivity & optimization and centralization or coordination of omnichannel campaigns.

Since AI has become a very popular term, there are instances where related principles are being confused with true AI. It’s important to ask questions and decipher what’s beneath the surface.

3. Diversification of screens

DOOH advertising is a truly transformative and adaptable channel, evolving from static billboards to dynamic, interactive screens that engage audiences in unprecedented ways. As technology continues to advance, the possibilities for creative and interactive content on DOOH screens are expanding, presenting advertisers with new and exciting opportunities to connect with their target audiences.

Whether it be holograms, or new cutting-edge displays, screens aren’t just billboards; they can become immersive experiences, leveraging technology to captivate viewers and create a lasting impression. You should also keep in mind that these boards often include features that enable seamless integration with smartphones. QR codes, NFC technology and Bluetooth connectivity facilitate a direct link between an outdoor ad and the consumer's mobile device, creating a bridge for further engagement and conversion.

Above: an example of a DOOH immersive billboard experience ("Outernet presents The Butterfly Trail, brought to you by Pixel Artworks).

Finally, technology like augmented reality (AR) allows you to superimpose digital content onto the real world. Whether it's trying on virtual clothing, previewing products, or wowing audiences with anamorphic videos, AR adds a layer of excitement and enhancement for otherwise apathetic consumers.

4. Sustainability

Sustainability will remain a key priority for the advertising industry in 2024. Initiatives like Ad Net Zero, are trying to influence change in the advertising industry by decarbonising the production, distribution, and publication of advertising. The global challenge of achieving net zero emissions is met with a growing realization among businesses that they can, and must, play a pivotal role in fostering positive change. A notable shift is occurring within DOOH, with more intentional focus on greener alternatives that reduce environmental impact.

A shining example of positive change from this year was the utilization of energy grid data to optimize the timing of a campaign for OVO Energy, running the ad only during periods of lower carbon emissions. This not only reflects a commitment to responsible advertising, but also acknowledges the important role of advertisers in addressing the climate and ecological emergency throughout their campaigns.

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In 2024, we hope to see efforts madeto plan events more consciously, minimizing long-distance travel and encouraging sustainability as a core consideration in event planning. The importance of measurement in reducing emissions is paramount for the year ahead and we predict the industry will begin to see more value in data for making crucial, informed business decisions that help transition us to a green economy. Collaboration is key and the DOOH industry needs to mobilize and come together to embrace new solutions that are on the horizon for measuring the end-to-end emissions of ads outside of the home.

5. Scale and precision

In the dynamic landscape of digital marketing, 2024 will bring forward a nuanced trend that will likely reshape the way campaigns approach their objectives. The dichotomy between scale and precision in DOOH, once considered mutually exclusive, is now evolving into a symbiotic relationship, where marketers are finding innovative ways to strike a balance between reaching a broad audience and delivering highly targeted messages.

Traditionally, ads in OOH were either designed for mass appeal, casting a wide net to capture a broad audience, or crafted with precision targeting, aiming to connect with a specific demographic. However, in 2024, savvy marketers will integrate both scale and precision seamlessly into their strategies, powered by programmatic DOOH technology.

Advancements in AI and machine learning algorithms are enabling marketers to analyze vast amounts of data to create personalized experiences for a wide audience. From tailored product recommendations to dynamic content, campaigns will become more attuned to individual preferences without sacrificing reach.

Campaigns leveraging dynamic content optimization (DCO) will have the added benefit of real-time customization of creative elements based on consumer behavior. This not only ensures a personalized experience for individual users, but also allows campaigns to adapt and resonate with different segments of the audience simultaneously, maximizing both scale and precision.

To get the full scoop, download our 2024 Trends & Predictions for DOOH

Content by The Drum Network member:

Hivestack by Perion

Hivestack by Perion is the largest global, full stack, marketing technology company, powering the buy and sell side of programmatic digital out of home (DOOH) advertising. Founded in 2017 with headquarters in Montreal, Canada, Hivestack by Perion operates in 35+ countries across the globe. For more information, please visit hivestack.com or follow us on LinkedIn, Twitter and Facebook @hivestack.

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