Egypt's Outdoor Advertising Hit a Record EGP 3.9 Billion in 2023.
AdMazad, the developer of Egypt’s only out-of-home (OOH) advertising performance measurement and analytics tool - AdMetrics, released its annual market report, announcing that the total outdoor advertising rental in 2023 reached a record of EGP 3.9 billion, up from EGP 3.2 billion in 2022, despite the challenges. AdMazad recorded these trends based on audits from 42,700 billboards across Greater Cairo and Alexandria.
The market's strength stemmed through multiple drivers, led by sector diversification, the FMCG industry emerged as a significant growth engine, with a notable 80% increase, following the real estate sector, standing as a top spender from last year. This growth was fueled by strategic regional expansion into the Delta and Upper Egypt governorates, catering to the evolving needs and increasing purchasing power in these regions. expected to increase 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 more effective ad spend allocation and campaign optimization.
"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. All in all 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."
Other key metrics released in the report 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.
ٍSector Growth:
- 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%.
Top Locations In Cairo:
- 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.
AdMazad’s integration of digital technologies in the OOH advertising landscape significantly enhanced the market in Egypt, enabling brands to tailor outdoor advertisements to specific audiences, expanding geographic reach, and increasing relevancy and impact.
About AdMazad
AdMazad was founded in 2015 as a data-driven end-to-end solution provider for outdoor advertising. The company helps advertisers enhance value creation on their OOH campaigns through the use of data and proprietary analytical tools that allow better planning, cost optimization, and performance measurement. AdMazad also developed Egypt’s first online search engine for billboards, services include direct media sales and third party audits.