Market Insights Advertising & Media Advertising Out-of-Home Advertising

Digital Out-of-Home Advertising - Mexico

Mexico

Ad spending in the Digital Out-of-Home Advertising market in Mexico is forecasted to reach US$110.40m in 2024.
The ad spending is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 3.67%, leading to an estimated market volume of US$132.20m by 2029.
Mexico is expected to have a projected market volume of US$5,277.00m in 2024, making it one of the top contributors to ad spending.
The average ad spending per capita in the Digital Out-of-Home Advertising market is projected to be US$0.85 in 2024 in Mexico.
Mexico's Digital Out-of-Home Advertising market is rapidly expanding, driven by the country's growing digital infrastructure and increasing consumer engagement with digital content.

Key regions: Europe, United States, United Kingdom, Germany, India

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Analyst Opinion

The Digital Out-of-Home Advertising market in Mexico is experiencing significant growth due to changing customer preferences and the increasing availability of advanced technology.

Customer preferences: Customers in Mexico are increasingly drawn to digital out-of-home advertising due to its interactive and engaging nature. Digital screens provide dynamic content that captures the attention of passersby and allows for more targeted and personalized advertising. Additionally, customers appreciate the convenience and flexibility of digital advertising, as it can be easily updated and customized to reflect current trends and promotions.

Trends in the market: One of the key trends in the Mexican digital out-of-home advertising market is the adoption of programmatic advertising. Programmatic advertising allows for real-time bidding and optimization of ad placements, ensuring that the right message is delivered to the right audience at the right time. This trend is driven by the increasing availability of data and analytics, which enable advertisers to better understand their target audience and optimize their campaigns accordingly. Another trend in the market is the integration of digital out-of-home advertising with mobile devices. With the widespread use of smartphones and tablets, advertisers in Mexico are leveraging this technology to engage with consumers in new and innovative ways. For example, interactive digital billboards can incorporate QR codes or NFC technology, allowing consumers to interact with the ad and receive additional information or discounts on their mobile devices.

Local special circumstances: Mexico has a large and growing population, making it an attractive market for digital out-of-home advertising. The country's urban areas, such as Mexico City and Guadalajara, have a high population density and heavy foot traffic, providing ample opportunities for advertisers to reach a large audience. Additionally, Mexico has a vibrant and diverse culture, which presents opportunities for advertisers to create unique and culturally relevant campaigns that resonate with the local population.

Underlying macroeconomic factors: The growth of the digital out-of-home advertising market in Mexico is also influenced by underlying macroeconomic factors. Mexico has experienced steady economic growth in recent years, which has led to an increase in consumer spending power. As a result, advertisers have more resources to invest in digital out-of-home advertising campaigns. Additionally, the Mexican government has been supportive of the advertising industry, implementing policies and regulations that promote competition and innovation. In conclusion, the Digital Out-of-Home Advertising market in Mexico is thriving due to changing customer preferences, the adoption of advanced technology, and favorable macroeconomic conditions. Advertisers in Mexico are embracing digital out-of-home advertising as a way to engage with consumers in a dynamic and interactive manner, while also taking advantage of the country's growing economy and vibrant culture.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on digital out-of-home advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers internet-connected out-of-home advertisements such as digital billboards, digital street furniture, digital transit and transportation, and digital place-based media.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, and survey results from our primary research (e.g., Consumer Insights) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, population, urban population, and internet infrastructure.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.