How effective are 3D billboards in marketing a product? What are its new innovations? How is it going to perform in the Indonesian market? Read more to find out! 

Over the years, the evolution of advertising by using billboards as a medium have innovated. Yes there may still be traditional billboards commonly seen in streets, but market players have shifted the traditional billboards to LED billboards and finally 3D anamorphic billboards. Companies have relied on the use of billboards to market their products. With a new specific type of billboard being available on the market, it poses several opportunities for this industry in Indonesia.

The New York Times Square have become a popular tourist destination that have used and applied 3D anamorphic billboards on the area. Popular companies like Hyundai and Kleenex have also used this type of billboard to market their products. With that, it could pose an opportunity for foreign players to do the same thing in Indonesia’s metropolitan district. 

Do you think it’s possible for 3D anamorphic billboards to operate in Indonesia? Do they have a specific market for it? Does it have potential in Indonesia? Read more to find out!

The New Innovation of Billboards

Anamorphic illusion technology is the art of bending images through optical illusions and relies on the viewers to be standing on a certain angle to experience the full effect of the animation. The challenge is to manipulate flat images so that they’ll appear dimensional and visible to certain vantage points. The use of technology requires digital screens which are brighter, higher definition, as well as extremely fast microprocessors which helps make the image possible and persuasive. 

The concept of innovative thinking and digital technology couldn’t be represented better by the rise of 3D anamorphic billboards. They might not be new to the market, considering that there has been the development of these 3D billboards in the past. But they’ve become more popular over the years especially in the drive of brands and advertisers kicking up their creativity up a notch and taking the trend to impressive levels. Not to mention that media owners have been frequently installing more of the hardware that lets the campaigns come to life. 

Companies like Nike, Netflix, PlayStation, Fortnite have been found to invest in this latest cutting edge technology to market their products. Take for example Fortnite, a popular and in-demand video game. They collaborated with Balenciaga to create a real world immersive 3D billboard experience in London, New York, Tokyo, and Seoul. The concept of this billboard was quite simple, which was a Fortnite character using a Balenciaga outfit, looming larger than life over the sidewalks. 

How Effective Are Billboards in Marketing a Product?

We may see billboards very frequently in our daily life and tend to ignore them as we continue on with our daily lives. But according to a study, billboard advertising is actually effective. It utilizes a large scale print to market a company, brand, product, or campaign. When placed in high traffic areas, billboards could be a very effective method of building brand awareness.

The Arbitron National In-Car Study stated that 71% of people are aware towards the billboards in their area when driving. As for return on investment, OOH advertising is seen to be more effective at driving online activity than ads on television. Aside from increased exposure, billboard advertising can strengthen inbound marketing like blogging, SEO, or social media. 

Take an example from how brands and people market their products in the New York Times Square. Times Square is one of the most popular places in Manhattan and it always displays world famous figures and various well-known brands. One reason for this is that data shows that advertisers can reach more than 40 million people every year and that companies can receive millions of dollars in revenue just by having a simple billboard. Yes it has sensory advantages, and it is also one of the most prestigious levels of advertising in the business world. 

Market Condition of Electronic Billboards in Indonesia

In Indonesia, billboard advertising is trending. We tend to find this type of advertisement in big cities like Jakarta, Bali, Surabaya, and Medan. Even though it is quite expensive, entrepreneurs still use the technique of installing billboards to promote their products because of the impact that it gives to the business. 

As of 2018, Jakarta’s total ad spend amounted to USD 3,023 million. Indonesia’s OOH represents 3% of the total ad spend. The key players of the Indonesian OOH industry include Rainbow, Pixel, Warna Wani, and more. Back in 2016, there was a little amount of digital OOH but technological advancements have paved the way for the implementations of LED screens and removal of free-standing billboards. 

The key areas for OOH advertising are at malls, commuter lines, airports, online taxis, MRTs and Lrts. Billboards are most commonly found in commercial and suburban areas in Jakarta. Overall, the market of anamorphic billboards are still untapped among the Indonesian market, thus could serve as an opportunity for foreign players to dive deeper in this industry especially given Jakarta’s demographic advantage. 

Electronic Billboard Market Globally 

The global billboard and outdoor advertising market reached a value of nearly USD 23,363 million in 2020, having increasing at a compound annual growth rate of 4.6% since 2015. This market is expected to grow at a CAGR of 7.5% from 2020 to reach USD 33,538.1 million in 2025. 

Growth in this industry resulted from rapid economic growth in emerging markets, rise of globalization, rise in transit advertising and rapid technology development. The Covid-19 pandemic have resulted on a fluctuating demand for the billboard industry but they were able to bounce back from this by implementing new measures. Going forward, the rising adoption of programmatic digital display advertisements, increasing infrastructural developments and rising urbanization will drive growth. 

Enter Indonesia’s Insurance Industry with BRIGHT Indonesia

It would take a lot of in-depth research about the electronic billboard industry in Indonesia. In order to enter the Indonesian market, you would need the right local partner to assist you. 

BRIGHT Indonesia is an ideal business partner for you. We will assist you on the ground, including virtual assistants during the mission, logistical planning, and detailed communication. It can cause your company to focus on developing partnership cooperation rather than the hassles of the business trip.

BRIGHT Indonesia provides several services such as Market Insight Research, Business Partnership Engagement, Management and Strategy Consulting, and Foreign Direct Investment. The services will help your business to:

1. Provide assistance for you in expanding and developing your business by identification of potential partners.
2. Secure the agreement between client companies and future Indonesian business partners by providing a list of potentially suitable partners, arrange business meetings, and act as a liaison.
3. Supporting our foreign client companies from the private sector with developing corporate or business unit strategies or helping your company from public sector organizations with public policy.
4. Link client companies both from the private and public sectors in global foreign direct investment (FDI) through training and assisting your company in entering FDI source countries to gather investment for your company’s local markets.

For more information, email info@brightindonesia.net.