Market Trends of Chile OOH And DOOH Industry
Ongoing Shift Towards Digital Advertising Aided by Increased Spending on Smart City Projects
- In Chile, smart city initiatives are driving growth in the out-of-home (OOH) and digital out-of-home (DOOH) advertising markets. These initiatives are reshaping the advertising scene, ushering in advanced infrastructure like digital screens and interactive kiosks. Furthermore, the rise of IoT and 5G technology has revolutionized connectivity. This evolution empowers advertisers to initiate real-time, data-centric campaigns, elevating their relevance and engaging audiences effectively.
- Smart city innovations not only increase foot traffic and improve ad visibility but also align with the digital advertising trend, pivoting away from print media to resonate with eco-conscious consumers due to their sustainability focus. This alignment significantly enhances the effectiveness and extends the reach of both Out-of-Home (OOH) and Digital Out-of-Home (DOOH) campaigns.
- As of February 2024, Santiago de Chile has emerged in the top position as the premier smart city in Latin America, ranking 91st globally in the 2024 IESE Cities in Motion Index (ICIM). According to the IESE Center for Globalization and Strategy, this achievement stems from evaluating 183 cities across 92 countries, focusing on 114 indicators of urban progress.
- Furthermore, the surge in digital advertising is fuelling the expansion of Chile’s Out-of-Home (OOH) and Digital Out-of-Home (DOOH) markets. By harnessing technology to design immersive and dynamic ad experiences and by utilizing sophisticated data analytics, they enhance ad targeting, boosting both relevance and impact. Digital platforms maximize ad space by showcasing multiple ads simultaneously, thanks to their inherent flexibility. This innovation not only enhances the appeal of OOH and DOOH advertising to advertisers but also fuels market growth.
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Billboard Application Segment to Hold Significant Market Share
- Chile's Out-of-Home (OOH) and Digital Out-of-Home (DOOH) markets are on the rise, driven by the growing adoption of digital billboards. These billboards, showcasing dynamic, real-time content, are revolutionizing how audiences interact with their vivid displays.
- In Chile, digital billboards are increasingly common, establishing themselves as a potent advertising platform for global products and services. Once limited to highways, billboards now dominate major urban streets. Their allure stems from their agility in disseminating real-time information, whether on roadsides, in shopping centers, or even at sports venues.
- Advertisers in Chile are rapidly embracing a dynamic approach. They are promptly adjusting messages, incorporating real-time data (such as local events and time of day), and leveraging dynamic graphics. Digital billboards, primarily known for their adaptability, not only enhance campaign efficacy but also broaden their reach. These billboards go a step further by providing vital analytics and empowering advertisers to build precise and effective strategies.
- Digital billboards leverage advanced data analytics, providing advertisers with precise measurements of ad performance. They track key metrics like impressions and engagement, enabling more accurate ROI assessments and enhancing ad spend efficiencies. Furthermore, digital billboards seamlessly integrate with mobile and social media, amplifying campaign reach through a cohesive multi-channel strategy. What's more, a growing environmental consciousness bolsters the appeal of digital billboards, given their adoption of energy-efficient technologies and sustainable practices.
- In August 2023, two months after running its Equity campaign in 14 cities across Chile, Coca-Cola Chile, in celebration of its 80th anniversary in the country, has witnessed positive results with its latest OOH and MOOH campaign, exclusively crafted by Latcom. Implementing Out-Of-Home (OOH) and Mobile Out-Of-Home (MOOH) strategies has underscored the efficacy of outdoor advertising, yielding enhanced results. Within a few weeks, Coca-Cola Chile's Top of Mind in 14 cities surged by 18%, peaking at 75% in the beverage segment. Notably, it clinched the top spot in out-of-home (OOH) visibility, ruling an overall 70%, a substantial leap from the campaign's outset at 30%.
