DOOH forecasted to form 75% of OOH ad market by 2027

Posted on Thursday 25 January 2024

Advertising spend on digital out-of-home (DOOH) is predicted to grow to 75% of the total out-of-home market by 2027 as investment in digital displays surges

Advertisers are shifting their investments from classic out-of-home (OOH) to digital versions, with DOOH accounting for 63% of all OOH ad spend in 2022 (up from 32% in 2015) and forecasts indicating further growth to 75% in 2027.

DOOH has bounced back strongly following the challenges of the COVID-19 pandemic, with £750 million invested by advertisers in 2022 - making it the market’s most successful year to date.

The findings form part of the newly updated IAB Compass, a report created with research consultancy MTM. The latest instalment focuses on the potential of DOOH advertising, while chapters launched in 2023 explore AR/VR, connected TV, gaming and shoppable advertising.

The report shows that DOOH benefits from the same advantages as of OOH advertising - including brand safety and high reach and impact - but also bears its own strengths, including creative flexibility, better targeting, improved measurability, and lower barriers to entry. Steps are also being taken by key players in the industry to tackle common DOOH challenges and barriers, including making it easier for advertisers to buy DOOH inventory programmatically by introducing standardisation across formats.

Elsewhere in the report, findings show that the deprecation of third-party cookies in 2024 and the subsequent growth of contextual marketing may drive increased investment in DOOH, as well as future advances in AR and VR leading to increasingly innovative DOOH campaigns.

Programmatic DOOH (prDOOH) is also evidenced to be attracting investment from digital-first brands, keen to capitalise on the campaign flexibility and enhanced data capabilities programmatic buying affords OOH advertising. prDOOH is forecast to account for 16% of OOH spend by 2027.

Commenting on the findings, Hannah Bewley, Senior Research & Measurement Manager at IAB UK, said: “As digital out-of-home advertising continues to evolve, we wanted to provide our members with an essential resource to help them navigate this unique channel, in what looks set to be a big year for DOOH. Big ticket events such as the Olympics and UEFA Euros present exciting opportunities for brands to tap into the national conversation and land their messaging - with DOOH primed to deliver. 

“IAB Compass sets out the factors driving growth, the current barriers to navigate, as well as actionable recommendations for brands. Those that utilise DOOH smartly stand to achieve brand fame - simultaneously obtaining high reach as well as the ability to target audiences using programmatic capabilities. That’s a powerful combination and this report provides an essential foundation to build your strategy on.”

The full report is available to IAB UK members at

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