Advertising revenue spent through members of the Outdoor Media Association of New Zealand (OMANZ) continues to grow at 29 per cent year on year for the first half of this year.
In the latest quarter, April to June, revenue reached $28.4m, up 28 per cent on the same period last year. All three individual months in the second quarter demonstrated continued growth in total revenue, each more than 25 per cent year on year, with June just shy of $10m total revenue.
The sector has seen a consistent increase in the availability of digital sites and, as a result, it has experienced remarkable growth with digital revenue representing 41.4 per cent the first half year’s OMANZ Outdoor revenue. Wide format printers still share some good news. Despite the digital growth, revenue for static sites has held up extremely well over the same period, currently just 1.6 per cent down year to date.
Looking at the bigger picture, New Zealand Outdoor advertising has experienced constant growth; boasting 4.6 per cent of the total advertising expenditure. However, we lag behind other developed countries such as the UK, Canada, France and our Trans-Tasman cousins.
Derek Lindsay, general manager of OMANZ, says, “Over the last five years, Outdoor has seen significant increase in demand. With the growth in consumers moving about and travelling more, outdoor advertising holds a greater influence in growing brand messages as it is a medium uncluttered by content and the ability to push a button to avoid the ads! With the increased use of data to provide return on investment outcomes, advertisers have, as a result, responded by re-allocating budgets to spend more in the Outdoor medium as a whole.
“Looking ahead, we expect the Outdoor medium to continue to grow strongly, helped along in part by the digital demand, with more digital sites becoming available and more advertisers perceiving greater opportunities from the Outdoor format.
“Interestingly, when you put together the Outdoor advertising share trends in other global markets along with our current growth in supply and demand here, we predict that Outdoor’s share of New Zealand advertising revenue to reach seven per cent by 2020.”