The adoption rate of programmatic DOOH in media plans will increase from 27% to 35% over the next 18 months, aligning with global forecasts, according to the new research from VIOOH into the programmatic DOOH (prDOOH) market.
The VIOOH State of the Nation Programmatic DOOH 2024 report noted that Australian marketers are doubling down on prDOOH advertising, with investments projected to increase by an average of 28% over the next 18 months.
Further reinforcing this, there is a significant 12 ppt YoY rise in marketers planning to allocate new budgets specifically for prDOOH campaigns (27%), with 38% coming from other digital channels.
The report noted that direct-only DOOH buys were used by 45% of respondents (+11 ppt YoY), while programmatic-only buys reached 47% (+12 ppt YoY). Hybrid buys were at 41% (+9 ppt YoY), demonstrating a growing preference for the flexibility and adaptability of programmatic buying methods.
Demand-side platforms (DSPs) managed services saw an uptick of 25 ppt YoY, adopted by 44% of marketers in 2024. The use of in-house teams rose from 9% to 27% (+17 ppt YoY), highlighting a growing preference for direct, internal management of prDOOH campaigns and alignment with other programmatic channels within a multi-channel strategy.
Dynamism and creative flexibility
prDOOH ranks as a top channel for securing the top spot for performance-led campaigns (92%) and for brand-led campaigns (86%), only slightly behind social media (88%).
Most respondents (92%) now see prDOOH as delivering the most innovative opportunities of all advertising channels (+12 ppt YoY).
Almost three quarters (71%) of Australian marketers believe prDOOH advertising offers the most precise location targeting compared to any other channel. This is notably higher in Australia than in any other market, exceeding the global average of 60%.
Trigger-based buying capabilities, such as responding to events, news or promotions, were the most influential factor for 69% of marketers in determining their investment. This is an increase of 16 ppt YoY, underscoring the growing importance of contextually relevant advertising in the Australian market.
Many Australian marketers leverage prDOOH for its unparalleled dynamism and creative flexibility, with 65% identifying it as the leading channel for dynamic creative opportunities.
Most (95%) of those surveyed are embracing Dynamic Creative Optimisation (DCO), either through consideration, pilot programmes or active integration. This aligns with the global average, reflecting a widespread recognition of DCO’s benefits, including enhanced creative agility and optimised ad spend.
“Maximising efficiency and minimising wastage”
Sustainability is a major consideration for Australian advertisers when planning and buying media, with 65% ranking it among the top attributes prDOOH delivers against (compared to 62% globally).
Marketers in Australia particularly favour prDOOH for its efficiency and sustainability credentials, recognising its eco-efficient reach as prDOOH is only activated when a relevant audience is present or predefined trigger criteria are met, maximising efficiency compared to DOOH and traditional OOH (65% prDOOH vs. 57% DOOH vs. 51% OOH), according to the report.
“In Australia, marketers are drawn to the flexibility, audience relevance, optimised ad revenue potential and sustainability credentials of prDOOH,” said Jean-Christophe Conti, chief executive officer at VIOOH.
“They’re leveraging its advanced targeting capabilities to deliver highly relevant and dynamic ads across the market, maximising efficiency and minimising wastage.
“We expect the widespread adoption of prDOOH to accelerate across the Australian market – and we’re looking forward to continuing to drive the evolution of DOOH towards a programmatic, more integrated future in the media landscape.”