GCC 2024: The Smart Advertising Evolution

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POWER ESSAY

GCC 2024: The Smart Advertising Evolution

By Habib Wehbi, Chairman & Group CEO at W Group Holding
October 2024

In his Power Essay published in the Campaign Middle East Power List 2024, Habib Wehbi, Chairman & Group CEO of W Group Holding, explores how AI and programmatic advertising are transforming the digital out-of-home (DOOH) landscape across the GCC, driving unprecedented growth and innovation.

The digital out-of-home (DOOH) advertising landscape in the GCC region is undergoing rapid and profound changes and growth, driven by significant governmental investments in smart city development and breakthroughs in artificial intelligence (AI), programmatic advertising, and data analytics. These innovations have turned traditional media into powerful, dynamic and measurable experiences, seamlessly integrating into the urban fabric of cities like Dubai and redefining how brands connect with their audiences.

Ad spending in the Digital Out-of-Home (DOOH) advertising market across the MENA region reached $350mn in 2023, with projections indicating a significant rise to $700mn by 2029. Currently, only about 1 per cent of this spending is programmatic, highlighting the growth potential in this area. DOOH represents approximately 30 per cent of the total out-of-home (OOH) market, estimated to be around $1 billion. The figures underscore the region’s growing influence in the global digital advertising landscape.

We were pioneers in implementing AI and advanced technologies, which have enabled hyper-targeted advertising and real-time campaign optimization. Programmatic advertising, recently introduced to our DOOH industry in the region, has streamlined the buying process, enhancing both efficiency and effectiveness. Though still in its infancy in the GCC, it represents the next big step. As DOOH media suppliers, we are committed to fully implementing programmatic advertising in our daily bookings and operations, transforming the way we connect brands with their audiences.

Sophisticated measurement tools and data analytics provide unprecedented insights into audience behavior, allowing for precise adjustments that enhance campaign impact. For instance, in our partnership with Road & Transports Authority (RTA) in Dubai Metro, we utilized AI-driven analytics to optimize content delivery, resulting in six times more engagement and 77 per cent inventory optimization.

Hypermedia, a key subsidiary of W Group Holding and a regional leader in DOOH and retail media experiences, has embraced these changes by securing media rights with key partners, including RTA, Dubai Holding, Aldar Properties, Majid Al Futtaim, Union Coop, and ENOC. These strategic partnerships represent more than just growth – they signify our commitment to capturing and engaging new audiences through high-traffic locations to create unparalleled advertising opportunities.

W Group Holding is at the forefront of leveraging technology to revolutionize the DOOH landscape. Hypermedia epitomizes this commitment by integrating AI technology, strategically placed media assets, and advanced data measurement tools. This approach delivers visually compelling and highly effective campaigns, enhancing the overall impact of brand messages.

Hypermedia’s network, the largest in the UAE, utilizes these innovations to ensure that our media presence reaches consumers throughout their daily routines. From Dubai Metro to retail environments and landmark destinations, our network provides a seamless, engaging experience that keeps brands top-of-mind.

DXTA Technology, another W Group subsidiary, enhances this approach and plays a pivotal role in the group vision by specializing in tailored digital ad products and smart tech solutions. By utilizing exclusive technologies, DXTA maximizes returns on investment and helps brands in the UAE and the GCC region to achieve their long-term goals.

Together, Hypermedia and DXTA offer a robust digital portfolio that effectively engages consumers both online and offline. What sets W Group Holding apart is our proprietary technologies and unique audience insights, enabling us to craft campaigns that not only reach but also resonate deeply with target audiences.

As we advance in the dynamic media and technology landscape, W Group Holding’s strategic efforts aim to set new standards in OOH media and digital marketing. Our vision extends beyond the GCC, as we explore opportunities to apply our successful model in other rapidly growing markets. By offering innovative communication tools and leveraging cutting-edge technologies, we focus on amplifying reach and driving significant business impact. This commitment to innovation and excellence positions us at the forefront of the industry, guiding the future of media with a forward-thinking approach.