In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Digital out of home refers to the advertisement which is done through digital products such as billboard at airports, subways, bus stops and street furniture’s and others which reaches the consumer when they are out of home. Digital out of homes are chosen for wide range of applications such as entertainment, transportation and others.
Global digital out of home market is expected to expand at a robust CAGR over the forecast period i.e. 2018-2027. Factors such as huge investment on digital advertisements into various public places are expected to positively impact the growth of the global digital out of home market. Moreover, high demand for digital out of home systems in the developing regions is anticipated to positively impact the growth of the global digital out of home market.
The market is segmented in five major regions including North America, Asia Pacific, Europe, Middle East & Africa and Latin America regions. Among these regions, North-America is projected to dominate the overall market of digital out of home during the forecast period. Factors such as increasing expenditure on sales & marketing and preference towards digitization are anticipated to fuel the growth of the North America digital out of home market. Moreover, increasing advancement in digitization is anticipated significantly for the growth of digital out of home market in North America.
Europe is poised to record fastest growth rate during the forecast period. Factor such as rising demand of digital signage across various industry verticals is predicted to trigger the growth of the global digital out of home market over the forecast period. Asia Pacific digital out of home market is expected to witness substantial growth over the forecast period. Factors such as increasing government investment on digitization and rise in GDP are envisioned to strengthen the growth of digital out of home market in Asia Pacific.
Based on product type, digital out of home market is segmented into billboard, transit, street furniture and others, out of which, billboard digital out of home segment is expected to dominate the overall digital out of home market during the forecast period.CLICK TO DOWNLOAD FREE SAMPLE
Our in-depth analysis has segmented global digital out of home market into the following segments:
Global digital out of home market is further classified on the basis of region as follows:
In U.S., nearly $4.5 billion is expected to be spent on digital out of home advertising by 2019, compared to 2016 there is an increase of approximately $1.2 billion across the globe. This factor is anticipated to intensify the growth of the global digital out of home market. In addition, increase in development of frequent user engagement devices and applications for advertising is anticipated to positively drive the growth of the global digital out of home market.
Apart from this, factor such as government initiatives over digital advertisement through digital billboards is expected to increase the growth of global digital out of homes market over the forecast period.
Further, increasing numbers of manufacturers in the developing region are likely to further strengthen the growth of the global digital out of home market. In addition, factor such as rising demands of digital applications across the globe is expected to increase the growth of global digital out of home market over the forecast period.
However, volatile cost of digital out of home advertising is some of the key factors which are expected to limit the growth of global digital out of home market in upcoming years.