65% of advertising executives believe market will be worth $50 billion to $55 billion by 2026
MIAMI BEACH, FL / ACCESSWIRE / July 1, 2021 / Alfi, Inc. (Nasdaq:ALF) ("Alfi" or the "Company"), an AI enterprise SaaS platform company powering computer vision with machine learning models to allow content publishers and brand owners to deliver interactive, intelligent information without violating user privacy, today announced the results from a global research report commissioned by the Company to assess the trends and growth of the Digital Out of Home ("DOOH") advertising market.
The global advertising market is facing significant changes as brands and advertising executives turn to digital-out-of-home (DOOH) advertising to reach consumers who are beginning to shop outdoors and embrace life, post-pandemic. In fact, due to the increase in consumer foot traffic, a global report from Alfi found 95% of advertising executives expect the DOOH advertising sector to grow over the next two years, with 51% of respondents anticipating dramatic expansion.
The survey includes responses from 100 senior professionals in the advertising industry across five countries (U.S., U.K, France, Germany, and Asia), and was conducted to understand the trends and solutions driving their organizations' digital campaigns and how the pandemic influenced the growth of the DOOH market.
The DOOH Advertising Market Outgrows Initial Estimates
Despite the slow anticipation for growth in the market of $41.06 billion by Q4 of 2020, Alfi's research indicated that the value of DOOH advertising will change significantly with nearly two out of three advertising executives interviewed predicting its value will rise between $50 billion and $55 billion. A further 16% of respondents expect it to be worth between $55 billion and $60 billion, and 14% estimate it will be even bigger.
"Our society is becoming increasingly digitized, and the advertising sector and brands are looking to make greater use of technology to deliver stronger, more personalized and effective campaigns to target consumers," said Paul Pereira, CEO, Alfi. "A greater transparency around results is needed and the unique qualities of DOOH advertising is meeting these trends with exponential growth."
Advertising spend on DOOH will rise between now and 2026; 50% of respondents anticipate it will rise dramatically and a further 40% expect it to increase slightly. The main reason for this growth points to a bigger general spend on digital advertising, per 66% of senior advertising professionals interviewed.
Reasons for Expected Increases in Advertising Spend on DOOH in Next Five Years
62% of global respondents reported specifically looking at advances in technology which can influence how brands and partners analyze live campaigns. Other reasons given for the anticipated increased spend include the general growing focus on evaluating advertising campaigns, the strength of the DOOH market, and a rapid increase in advertising via digital screen roll outs.
|Reasons for an expected increase in advertising spend on DOOH over the next five years||Percentage of advertising executives who think this is a reason for expenditure on DOOH advertising increasing|
|There will be a bigger general spend on digital advertising||66%|
|Advances in technology means the DOOH market will be able to provide more analysis on campaigns||62%|
|Growing focus on evaluating advertising e.g., how many people watched an advert, how long did they look at them||60%|
|Rapid increase in the number of digital screens available||56%|
|Price of LCD and LED display technology is falling||26%|
|Decline in readership of print media||25%|
"There is a clear need in the industry for intelligent DOOH software to change the way consumers interact with brands outside of traditional advertising," said Paul Pereira, CEO, Alfi. "With data-rich reporting, tracking and greater attribution and measurement of campaigns via an intelligent DOOH software like Alfi, advertising executives can not only increase speed in delivery of content but also support bottom lines, and ensure transparency in a privacy compliant manner." The really exciting part about all of this is that Alfi's next gen platform is real time, privacy compliant and uses no cookies, stores no images and can challenge the Digital Online $600 billion marketplace that is controlled by Google and Facebook.
Alfi provides data rich reporting functionality that informs advertisers that someone viewed their ad, the number of views, and each viewer's reaction to the ad. Advertisers are increasingly demanding improved performance and capabilities from the ad technology they utilize. Alfi delivers for advertisers with analytics, accountability, transparency, proof of engagement and actual impressions.
Commissioned by Alfi, PureProfile, a global market research company, conducted 100 interviews amongst senior advertising professionals working in the digital advertising industry. Fieldwork was conducted in June 2021. The 100 interviews were split across five markets as follows: U.S., U.K, France, Germany, and Asia.
About Alfi Inc.
Alfi, Inc. provides solutions that bring transparency and accountability to the digital out of home advertising marketplace. Since 2018, Alfi, Inc. has been developing its artificial intelligence advertising platform to deliver targeted advertising in an ethical and privacy-conscious manner.
For more information, please visit: https://www.getalfi.com
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SOURCE: Alfi, Inc.