‘OOH business in Delhi is on the ascendancy’

The Delhi OOH market, which has been foundational to Indian OOH’s overall growth, has seen a see-saw in the business prospects of certain media owning firms in the outdoor segment. While one part of the industry maintains that the Delhi OOH market continues its ascendancy, views from the other part allude to certain regulatory issues that are placing significant curbs on the industry’s growth drive.

Current business trajectory

When asked if media owners in the Delhi market are facing any significant headwinds, especially in getting business from the specialist agencies, Rohit Chopra, COO, Times OOH makes the observation that from the perspective of Times OOH there has been a surge in business from key national agencies as well as regional ones. “Notably, there has been substantial growth in business generated by regional agencies, contributing significantly to the city media. At the same, direct business from clients in Delhi NCR has also shown remarkable growth.”

Regional and local brand participation

While OOH spends by national brands may be influenced by various factors, some of which are endemic and systemic, and some other cyclical, how is the participation of regional and local brands in the OOH space? Responding to this, Rohit says, “Delhi NCR, being the capital and a major metropolitan area, attracts a substantial influx of national and international tourists, political delegations, and business investors. Consequently, it's a pivotal market for all types of brands. Having said that, local and regional brands play important roles to add to Delhi’s business. Delhi has various important regional categories from real estate to retail and news channels which put in handsome revenue through tactical, mid-term, and long-term OOH campaigns to enhance visibility.”

“Speaking specifically about Times OOH media in Delhi NCR, we maintain an average occupancy rate of around 70% throughout the year,” he says.

Are contracts short-lived?

On this matter, Rohit’s assessment is, “There could be various reasons behind this phenomenon, including vendors’ overestimation of tenders, media format size, low advertiser response, or heightened competition at specific locations. While post-COVID, we've witnessed healthy investments by brands in the OOH medium, it's also true that brands' perspectives, approaches, and marketing strategies have evolved significantly. Nowadays, brands aren't just aiming to boost sales but also to create impactful brand imagery through high-profile OOH destinations.”

Key recommendations

On what measures are to be taken for a greater volume of business to flow in from the agencies, Rohit says, “Agencies should recognise that OOH doesn't merely target city residents but also a broader audience comprising travellers from different cities and countries. Given Delhi's status as a national capital hosting various global events, agencies should position Delhi NCR not just as a city but as a destination to target global audiences effectively.”

Rohit adds that Times OOH adheres to the norms and regulations set by the authorities and aims to collaborate with the MCD in a mutually beneficial manner. “However, periodic meetings can play a pivotal role to share feedback and suggestions to ensure a long term healthy business relation.”