AdMazad, the developer of Egypt's only out-of-home (OOH) advertising performance measurement and analytics tool – AdMetrics, released its annual market report, revealing that the total outdoor advertising rental in 2023 reached a record high of EGP 3.9bn, up from EGP 3.2bn in 2022, despite the challenges. The report is based on audits from 42,700 billboards across Greater Cairo and Alexandria. The market's strength was driven by multiple factors, including sector diversification, regional expansion, and data-driven decision-making. The FMCG industry emerged as a significant growth engine, with a notable 80% increase, following the real estate sector, which remained the top spender from last year. This growth was fueled by strategic expansion into the Delta and Upper Egypt governorates, catering to the evolving needs and increasing purchasing power in these regions, which are expected to grow further in 2024. Moreover, the shift towards data-driven decision-making, facilitated by platforms like AdMazad's AdMetrics, enabled brands to recognize untapped potential in emerging demographics, thus optimizing ad spend allocation and campaign performance. "2023 saw an impressive 8% increase in brands embracing OOH advertising, showcasing the market's resilience and effectiveness in reaching mass audiences. Furthermore, the limited currency exposure of the medium resulted in a growing share of OOH in the media mix of large advertisers, fueling a remarkable 20% annual growth," said Assem Memon, Founding Partner and Managing Director at AdMazad. Ahmed El Naggar, Corporate Media Head at L'Oreal Group, and top FMCG advertiser and client on AdMetrics, commented: "Strategic OOH advertising plays a crucial role in our brand funnels. It is a powerful platform for sparking spontaneous awareness and driving impulsive actions. With AdMazad's valuable insights and competitive benchmarking, we can optimize media planning and location selection to maximize brand impact. This allows us to make data-driven decisions, deliver impactful campaigns, and truly resonate with our consumers." The report also revealed other key metrics that indicate a maturing market: * Total impressions: 141.7 billion – up 26% from 2022 * Number of advertisers: 1,100, up 7.7% from 2022 * Billboards utilized: 32,200 up 5.1% with market utilization reaching 76% up from 72% in 2022 * Cost per thousand impressions (CPM): EGP 27.4, down 8.3% from 2022, indicating a more competitive market, with advertisers demanding greater value for their investments. * Brands peaked in Ramadan, while billboard utilization peaked in November, highlighting strategic campaign timing. The report also showed the sector growth and the top locations in Cairo for OOH advertising: * Sectors with the highest growth rate: FMCGs with an annual growth rate of 80%, Hospitality sector at 57%, and Financial Services at 36%. * Sectors with the highest advertising share: the real estate sector at 49%, followed by FMCGs at 11%, Hospitality at 6%, and the telecom sector at 5%. * October Bridge remains in the lead with 19% of the budget, capitalizing on its high traffic for maximum brand exposure, while the monorail construction on Mehwar Avenue pushed brands towards the combined October & Zayed zone (16%), and East Cairo with a 15% cemented its rising appeal in the OOH landscape * While top spenders dominate October Bridge and the Ring Road, East Cairo, and Sheikh Zayed offer more brand diversity due to the prevalence of smaller formats. * Central, East, and New Cairo have the lowest visual congestion scores, indicating higher potential audience reach and message recall.
