The Out of Home (OOH) industry has announced a decrease of 0.9% on net media revenue year on year in the third quarter of 2019, posting $218.2 million, down from $220.2 million for the third quarter in 2018.
Year to date industry revenue has increased 3.1% posting $665.5 million, up from $645.3 million in 2018.
Digital revenue continues to grow and is sitting at 55.3% of total net media revenue year-to-date, an increase over the recorded 50.2% for the same period last year.
“The plateauing of revenue growth in quarter three is not unexpected given the current national financial outlook. The last time the industry experienced negative growth was quarter four of 2012, which was also in comparison to a very healthy quarter the previous year. The industry has enjoyed seven years of consecutive growth at a time when other traditional media channels have experienced declines in revenue, as well as audience. Out of Home is both resilient and buoyant. While the current economic outlook is affecting advertiser confidence, we know that it is also the time that advertisers need to keep their brands top of mind and Out of Home delivers; broadcasting its messages to growing audiences in the public space,” said Charmaine Moldrich, CEO of the OMA.
Moldrich continued “The Standard Media Index AU/NZ announced last week that the first eight months of 2019 have reflected lower advertising demands with the Australian market declining 4.9%. OOH has continued to grow in this challenging environment, increasing revenue year to date by 3%.
“We will continue to see growth in Out of Home over the medium and longer term, as we innovate and make it easier to plan, buy and measure our channel.”
In early 2020 the OMA will launch a new product, CORE, which will streamline the briefing and response process for buying OOH, while delivering significant time savings for agencies, clients and OMA members.