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

Traditional Out-of-Home Advertising - Africa

Africa

Ad spending in Africa's Traditional Out-of-Home Advertising market is forecasted to reach US$0.65bn in 2024.
Ad spending is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 2.07%, leading to a projected market volume of US$0.72bn by 2029.
The average ad spending per capita in Africa's Traditional Out-of-Home Advertising market is expected to total US$0.50 in 2024.
In Africa, the Traditional Out-of-Home Advertising market is experiencing a resurgence, with a focus on culturally relevant messaging to capture the diverse consumer base.

Key regions: France, United Kingdom, Asia, China, Germany

Market

Region

Region comparison

Currency

Analyst Opinion

The Traditional Out-of-Home Advertising market in Africa is experiencing significant growth and development due to changing customer preferences, emerging trends, and local special circumstances.

Customer preferences: Customers in Africa are increasingly drawn to traditional out-of-home advertising due to its wide reach and ability to capture their attention in a non-intrusive manner. The large and diverse population in many African countries makes outdoor advertising an effective way to target a wide range of consumers. Additionally, the rise of urbanization in Africa has led to increased time spent outdoors, further enhancing the effectiveness of out-of-home advertising.

Trends in the market: One of the key trends in the African out-of-home advertising market is the adoption of digital technologies. Digital billboards and screens are becoming more prevalent, allowing advertisers to display dynamic and interactive content. This trend is driven by advancements in technology and the increasing demand for more engaging and personalized advertising experiences. Furthermore, the use of data analytics and audience measurement tools is enabling advertisers to better understand their target audience and optimize their campaigns. Another trend in the market is the increasing use of out-of-home advertising for political campaigns and social causes. Africa has seen a rise in political activism and social movements, and outdoor advertising provides a powerful platform for spreading messages and mobilizing support. Political parties and advocacy groups are leveraging billboards, posters, and other outdoor media to reach a wide audience and convey their messages effectively.

Local special circumstances: Africa is a diverse continent with unique cultural, social, and economic characteristics. This diversity presents both opportunities and challenges for the out-of-home advertising market. Advertisers need to consider local languages, customs, and traditions when designing their campaigns to ensure they resonate with the target audience. Additionally, infrastructure limitations in some areas, such as limited access to electricity or internet connectivity, may impact the implementation of digital out-of-home advertising.

Underlying macroeconomic factors: The growth of the traditional out-of-home advertising market in Africa is also influenced by underlying macroeconomic factors. The continent is experiencing rapid urbanization and economic development, leading to increased consumer spending power. As more people move to cities and join the middle class, the demand for products and services advertised through out-of-home channels is expected to rise. Furthermore, the expanding consumer base is attracting both local and international advertisers, driving competition and innovation in the market. In conclusion, the Traditional Out-of-Home Advertising market in Africa is witnessing growth and development driven by changing customer preferences, emerging trends, and local special circumstances. The adoption of digital technologies, the use of out-of-home advertising for political campaigns and social causes, and the unique characteristics of the African market are all contributing to the expansion of the industry. With the continent's rapid urbanization and economic growth, the traditional out-of-home advertising market in Africa is expected to continue its upward trajectory in the coming years.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on traditional out-of-home advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers offline out-of-home advertisements such as billboards, street furniture, transit and transport displays, and 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 Global Survey) 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.