Market Trends of Nigeria OOH And DOOH Industry
Ongoing Shift Toward Digital Advertising is Expected to Boost the Market Growth
- Digitalization's ascent and the adoption of programmatic technologies have revolutionized outdoor media. These advancements offer sophisticated targeting and measurement capabilities that were previously unattainable. Consequently, digital out-of-home ads have seamlessly woven into consumers' routines, offering brands a unique opportunity to subtly connect with their desired audiences.
- Nigeria is experiencing a notable digitalization surge, with mobile network access playing a pivotal role. The country's proactive investments in telecom infrastructure have not only led to widespread adoption of 4G technology but are also propelling it into the 5G era.
- As part of this digital push, Nigeria has unveiled its NITDA Strategic Roadmap and Action Plan for 2024-2027, known as SRAP 2.0. This roadmap is closely aligned with the strategic objectives of the Ministry of Communications, Innovation, and Digital Economy, underscoring Nigeria's commitment to bolstering its digital economy.
- Nigeria has been witnessing a steady increase in its urban population. The World Bank data indicates that the country's urbanization rate rose from 52% in 2020 to 54% in 2023. Given the country's ongoing progress, this upward trajectory is expected to persist, attracting a growing audience to the DOOH market.
- According to SurfShark, in 2023, Nigeria achieved a score of 0.38 points on the Digital Quality of Life index, placing it 88th globally. This score represented an increase from the previous year's 0.34 points, indicating an enhancement in the country's digital well-being. The improvement suggests that Nigeria is making strides in its digital infrastructure and services, contributing to a better quality of life for its citizens.
Understand The Key Trends Shaping This Market
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Transit to be the Fastest-growing Application
- Transit advertising, commonly referred to as "advertising on transportation," involves placing commercials on various modes of transportation, such as buses, taxis, trains, and trams. This form of advertising leverages the high visibility and frequent usage of these transportation modes to reach a broad audience.
- Primarily, transit advertising is prominent on public transportation vehicles, including buses, taxis, and subways, as well as in airports, at bus stops, and train stations. The increasing reliance of citizens on public transit is compelling market players to integrate DOOH advertising in these crucial transit locations. This trend is driven by the need to capture the attention of commuters and travelers who spend significant time in transit hubs and on public transportation.
- In 2022-2023, Nigeria's air travel sector experienced a significant increase in passenger numbers. According to data from the Nigeria Civil Aviation Authority (NCAA), one airline, maintaining its leading position from previous years, transported 6,526,023 passengers. This figure represents 40.3% of the total passenger volume for the year, highlighting the airline's dominant presence in the market.
- There is a growing trend where vehicles, traditionally equipped with analog displays, are now shifting toward digital displays. This shift aims to enhance brand visibility and provide a more modern and engaging user experience.
