Based on the Out of Home Advertising Association of America’s (OAAA) out-of-home (OOH) ad revenue report, OOH advertising revenue increased 38 percent in Q3 2021 to $1.75 billion compared to the previous year. Surging 56 percent compared to Q3 2020, digital OOH is leading the overall OOH recovery. Since the beginning of 2021, OOH ad revenue has increased 10 percent over 2020 reaching $5.1 billion.
All of the top ten industry product categories increased by double digits in Q3 2021, including Local Services & Amusements, Retail, Media & Advertising, Insurance & Real Estate, Restaurants, Government Politics and Organizations, Financial Services, Public Transportation Hotels and Resorts, Automotive Dealers and Services and Schools Camps & Seminars.
Local Services and Amusements, a category that represents more than 25 percent of total OOH spend, increased by more than 33 percent while Media & Advertising increased 85 percent.
The top 10 advertisers in Q3 were McDonald’s, Geico, Apple, Amazon, American Express, Walt Disney Pictures, Allstate, Dunkin’, Chevron and Barclays—in that order.
OAAA’s report also found that of the top 100 OOH advertisers, 88 percent increased their OOH spend as compared to Q3 2020. Additionally, of those advertisers, 51 percent more than doubled their spend. Companies like Credit Karma, Webull, DuckDuckGo and ADT, along with 36 percent of the top 100 OOH advertisers, increased their spend by 10x or more. Close to one-third of those advertisers were technology or direct-to-consumer brands such as Amazon, Apple, AT&T and BetMGM, among others.
MAGNA anticipates OOH will be the second-fastest-growing ad channel in 2021 with a projected annual increase of 16.4 percent.
“OOH has come roaring back after a year full of uncertainty the world over. Our industry is both a marker of public sentiment, and in its own right, a morale lifting vehicle for engaging, inspiring and empowering consumers. These Q3 figures should be welcomed as a sign that we’re back and have an exciting next chapter ahead,” said OAAA president and chief executive officer Anna Bager.
