Market for OOH ad spends expected to reach $524.80 mn in India in 2025: Experts

As India moves toward a more digital future, the Out-of-Home (OOH) advertising industry is undergoing a major transformation. With significant events and rapid urbanization on the horizon, OOH is poised for a remarkable growth spurt in 2025. The integration of cutting-edge technologies, like Digital Out-of-Home (DOOH) advertising, and the rise of data-driven, personalized content are reshaping how brands connect with consumers in public spaces. From gamified billboards to AI-powered campaigns, 2025 is set to bring a new era of dynamic, interactive, and hyper-localized advertising experiences.

As the demand for smarter and more engaging media intensifies, the industry is bracing for a wave of innovation and new revenue models. But with this growth comes the challenge of navigating urban planning regulations and ensuring that OOH advertising adapts to the complexities of modern cities.

OOH ad spends in 2025

Junaid Shaikh, MD, RoshanSpace Brandcom, believes that in 2025, Out-of-Home (OOH) advertising in India is poised for significant growth and transformation, driven by some major events and technological advancements. The year has kicked off with some high-profile events like Maha Kumbh and Delhi Elections. These events are expected to create substantial opportunities for OOH advertising engagement across various formats, this is well supported by FICCI E&Y report, wherein OOH grew by 13%, higher than TV and Print, which puts the industry in a good place and by 2026, we expect DOOH to be more than 15% of the total OOH revenue.

OOH advertising is transitioning from traditional static displays to becoming a more dynamic, technology-enabled medium that can deliver hyper-localized content. This shift is supported by improved infrastructure and data-driven targeting capabilities, allowing advertisers to create more personalized and impactful campaigns with the help of 3D, anamorphic or our very own Screen Sync Tech- all of these can demonstrate brand alignments with sporting events and help celebrate. With the market for OOH ad spends expected to reach $524.80 million in 2025 in India, consumer behaviour patterns and urbanization will continue to play crucial roles in shaping OOH strategies and as cities expand and commuter patterns evolve, brands are finding OOH-DOOH media opportunities resourceful to help engage with audiences through innovative OOH formats.
Shaikh further added, “The sector’s evolution is particularly noteworthy as it adapts to India’s rapid digitalization. Smart cities and the evolution of DOOH (Digital Out-of-Home) media present immense potential for creating a seamless and impactful advertising ecosystem. DOOH stands apart from other media with its ability to deliver a larger-than-life experience, unmatched in its scale and feasibility of ‘immediacy’ in messaging. Dynamic content optimization is becoming increasingly integral, allowing networks to adapt and customize content based on demographics, audience behaviour, and specific locations. This enables highly targeted communication, tailored for precise moments and places, ultimately enhancing engagement.”

However, as urban environments become increasingly cluttered as the trend today, the risk of over-saturation looms. De-cluttering is essential to preserve the medium's effectiveness and appeal.

By taking effective steps and measures, the DOOH industry can evolve from where it stands today, fully integrating into the smart city vision and setting new benchmarks for urban connectivity and media relevance.

This combination of technological advancement, major events, and changing urban landscapes suggests that 2025 will mark a significant year for OOH-DOOH advertising growth in India.

Dipankar Sanyal, CEO, Platinum Outdoor, remarked, “We are seeing the evolution of technology in OOH. We are witnessing the integration of media in a true sense specifically on the digital front. AI powered OOH advertising will enable highly targeted and effective OOH campaigns.”

Vikas Nowal, CEO, Interspace Communications, noted, “In 2025, OOH advertising spend is expected to grow by 5-7% year-over-year, building on a strong recovery post-pandemic and driven by the continued rise of Digital Out of Home (DOOH). As reported by Statista, the OOH market globally is projected to reach over $40 billion in 2025, where a large part of this growth comes from DOOH due to real-time data and precise targeting. The increase in the amount of budgeted shift to data-driven, programmatic solutions among more brands would increase focus on high-traffic areas like transit stations and malls where digital screens and interactive formats could deliver personalized, measurable content. This marks an evolution into a larger trend where OOH receives increased investment as a critical, integrated element in omnichannel marketing strategies.”

Impact of government regulations and urban planning policies

“Government regulations and urban planning policies are expected to play a pivotal role in shaping the out-of-home (OOH) advertising industry. A comprehensive, state wise policy for OOH-DOOH advertising and accountability should be formulated to accommodate as a framework that accommodates the distinct characteristics of individual cities or markets,” said Junaid Shaikh.

“The practicality of such an approach lies in embedding DOOH into the urban fabric, making it a valuable asset for communication and navigation within urban futuristic spaces. Real-world examples—such as networks delivering hyper-localized content to thousands of residences within a community, found in Dubai—can demonstrate this potential. The urban planning policies should recognize the infrastructure, geography, and market conditions that vary significantly across regions. For example, metropolitan cities like Mumbai and Bangalore have differing levels of market maturity and urban development, demanding tailored regulatory approaches,” he added.

According to Shaikh, “A successful policy framework must integrate technical, environmental, and governance considerations. This would involve mandatory structural assessments, including geological testing, wind load analyses, and rigorous safety certification processes to ensure the durability and safety of advertising structures. These technical standards will enhance the visual appeal of OOH ads and ensure their resilience and public safety. Transparency and accountability should serve as the foundation of the policy, encouraging a trust-based relationship between advertisers, urban planners, and the public. The policy must also be aligned with broader urban development initiatives, which ensure that OOH advertising enriches the aesthetic and functional aspects of cities.”

Dipankar Sanyal remarked, “We feel that the Government regulations and urban planning policies will have a positive impact on OOH advertising. Regulation will bring more bang for bucks for the advertisers as they will feel more and more secure on the media that they use for the campaigns. The Ghatkopar incident isn’t too far behind us and that has shaken the industry. Hence, regulation is a must to get advertisers confidence back in the media. This will bring about a standardisation and SOPs that will benefit the industry. We are also witnessing a huge infrastructure development in smart cities, roads, public infrastructure and utilities. This broadens the scope of both traditional and digital infrastructure to grow in a planned and systematic manner.”

Vikas Nowal believed, “Government regulations and urban planning policies in India is likely to be evolved by 2025 as influenced by growing concerns around sustainability, privacy, and city aesthetics. As cities like Mumbai, Delhi, and Bengaluru continue to develop, local authorities may introduce stricter regulations on digital and traditional OOH advertising, focusing on environmental standards and content restrictions. According to Grand View Research, we can expect urban planners to prioritize green building standards and sustainable urban infrastructure, which will push OOH companies to adopt eco-friendly and energy-efficient technologies. While these regulations may impose operational challenges, they will also open avenues for more responsible and innovative OOH formats in line with governmental priorities.”

New revenue streams and business models

“The out-of-home (OOH) industry is poised to unlock new revenue streams and innovative business models by leveraging experiential campaigns, digital integration, and data-driven insights. Experiential campaigns will transform passive viewing into active engagement, with gamified billboards and immersive art installations offering interactive and memorable brand experiences,” noted Junaid Shaikh.

Digital integration will drive flexibility and precision in OOH advertising. Traditional billboards will evolve into dynamic digital screens but of course with the right balance of assets since OOH or STATIC assets play their role while DOOH can enable real-time updates and tailored content delivery. Creative combinations of traditional and digital formats, along with advancements in automation and innovative design, will further enhance audience engagement. Programmatic technology will automate and scale campaigns, offering efficiency and expanded reach for advertisers with a lot of flexibility in media investment.

Dipankar Sanyal aded here, “Tech led outdoor is going to be the key going forward. It’s at a very nascent stage in India. There is more headroom for growth in this sector which will help the industry to grow. As we see more digitization of outdoor media usage of immersive technology to communicate and engage with consumers thereby making this space an exciting place to be in.”

According to Vikas Nowal, “By 2025, Indian OOH companies will increasingly diversify their revenue models to include tech-driven solutions and data-driven advertising. The growing demand for personalized and hyper-targeted campaigns will drive companies to adopt dynamic pricing models based on real-time data. In addition to traditional ad space sales, revenue will be generated through programmatic DOOH platforms, creating new revenue streams by targeting consumers based on location, traffic patterns, and consumer behavior. Another is the rise of experiential marketing in high-value locations, such as malls, transit hubs, and entertainment zones, which will open up a new source of income for OOH companies through brand activations and immersive advertising experiences.”

Advancements in technology

Junaid Shaikh stated, “Advancements in technology will continue to transform traditional out-of-home (OOH) advertising formats to create a more dynamic, personalized, and interactive experience. As OOH ad spending increases, hyper-specific audience targeting, powered by AI and location intelligence, will enable advertisers to craft highly relevant and customized messages. With AI-driven real-time personalization, OOH ads will adapt based on various factors such as audience demographics, time, and location, enhancing their effectiveness and engagement.”

New technologies like augmented reality (AR) and responsive content will revolutionize OOH, offering immersive and interactive experiences that captivate consumers. For instance, real-time updates linked with API integration, allows consumers to engage with brands. This aligns with the growing trend of younger generations, particularly Gen Z, stepping out for gatherings etc as this demographic craves meaningful, in-person interactions. OOH-DOOH ads therefore can seize the opportunity to deliver personalized, tech-enhanced content that resonates deeply with their desires.

Vikas Nowal said, “By 2025, technology will drive the transformation of traditional OOH formats in India. According to McKinsey, AI and machine learning will help optimize OOH campaigns in real-time, based on audience data, weather, and local events, allowing dynamic content adjustments. Adoption of Augmented Reality and Interactive Screens Increased consumer engagement- especially in locations with high footfalls, for example, Airports, metro stations, malls. Such a technological advancement of OOH is going to add more personalisation and context awareness to campaigns leading to better interactivity with customers and thus will deliver a stronger ROI for the brands in Indian markets.”

Growth prospects for programmatic DOOH in 2025

Dipankar Sanyal noted, “Programmatic DOOH is far away in terms of adoption in OOH in India than it should have been given the robust growth of DOOH media. The reluctance of media owners to come on a common platform/s is not helping the programmatic to grow.”

On the other hand, Junaid Shaikh said, “The growth prospects for programmatic Digital Out-of-Home (DOOH) advertising in 2025 show remarkable potential, driven by the increasing digitization of traditional advertising channels. The global OOH advertising market is experiencing a huge transformation, with projections indicating it will reach approximately $68 billion by 2029. Within this expanding market, DOOH is expected to command a substantial 44% of total investment, highlighting the industry’s rapid digital evolution.”

Specifically, programmatic DOOH ad spending is poised to cross a significant milestone, surpassing $1 billion in 2025. This growth trajectory is expected to continue, with programmatic accounting for 30% of all DOOH spending by 2026. This surge is particularly noteworthy given the sector’s ability to integrate seamlessly with other digital advertising channels. One of the key advantages driving this growth is the flexibility in creative execution – DOOH campaigns can effectively utilize creative assets originally designed for online video or connected TV (CTV).

Vikas Nowal, too, said, “Programmatic DOOH in India is expected to experience significant growth in 2025, with Statista projecting a CAGR of 18-22%. Real-time bidding and hyper-targeted advertisement possibilities would arise due to increased availability of programmatic platforms and smart city initiatives. As more data about consumer behaviour, location, and demographics becomes available, OOH advertising will become even more efficient and personalized. This will make programmatic DOOH a very attractive proposition for advertisers in delivering more relevant and impactful campaigns in the urban centers of India. Growth of programmatic DOOH will, therefore, establish it as the key driver of the OOH industry in India.”