Latin America OOH And DOOH Market Size

Latin America OOH And DOOH Market Analysis

The Latin America OOH And DOOH Market size is estimated at USD 0.94 billion in 2024, and is expected to reach USD 1.26 billion by 2029, growing at a CAGR of 6.01% during the forecast period (2024-2029).

• Latin America is witnessing a surging demand for out-of-home (OOH) and digital out-of-home (DOOH) advertising, fueled by several factors, including their ability to provide a tangible and prominent presence in the physical world and allow brands to connect with a wide audience. Additionally, the ability to precisely target specific geographic areas and demographics makes OOH and DOOH advertising highly valuable marketing tools for businesses in Latin America.
• With the rise in digital advertising expenditure in Latin America, the studied market is poised for substantial growth. In the past decade, the OOH market has shown consistent growth, a trend that is now gaining momentum. Its applications span across various sectors, including restaurants, hotels, retail, transit, and entertainment venues. As reported by the Mexican Internet Association, by the end of 2022, the nation boasted 96.8 million Internet users, marking a 9.3% annual uptick. Notably, INEGI's data underscores a stark urban-rural divide, with 81.6% of urban dwellers enjoying internet access compared to 56% in rural areas.
• Consumers actively engage with various connected platforms, including connected TVs and smartphones, for entertainment, news, and online content. This trend extends to their interactions with advertisements, with consumers prefer brands that align with their values. According to Cámara Argentina de Agencias de Medios, out-of-home advertising expenditure in Argentina reached ARS 13.01 billion in 2022, strongly recovering from a drop to ARS 4.4 billion in 2020.
• In recent years, Mexico's digital economy has seen significant growth, driven by increased connectivity, reshaping the nation's consumption patterns. In 2023, the Asociación Mexicana de Venta Online reported that 30% of e-commerce users in Mexico were aged between 25 and 34 years. This demographic represents a significant portion of the online shopping population. Additionally, individuals aged 65 and older comprised approximately 8% of the digital consumer base in the country, highlighting the growing adoption of e-commerce among older adults. Such trends are expected to offer an opportunity for DOOH players in the market.
• Stakeholders face operational challenges in ensuring the reliability, scalability, and performance of DOOH networks, which necessitate continual investments in infrastructure and technology. This includes digital displays, network connectivity, content management systems, and measurement tools.