OVAB Digital Signage Business Climate Index – The year 2014 in review

Consolidation in Poland and a cold winter in Russia

The DBCI had a great success in 2014. To the core market of Germany, Austria and Switzerland and the Polish and Italian markets seven more countries were added in 2015. (Tobias Franke)

Moscow - Hotel Ukraine (source: invidis)

Moscow – Hotel Ukraine (Source: invidis)

Over the year the markets of Belgium, Netherlands and Luxemburg (Benelux), Russia, Spain & Portugal and France all saw their first DBCI surveys. Together with OVAB cooperation partners and research ambassadors like the Club du Digital Media and OoH-TV in France or Roi Iglesias from Spain (CEO Neo Advertising) it was possible to introduce the DBCI in various markets with great success.

The DBCI or OVAB Europe Digital Signage & DooH Business Climate Index is a widely observed early indicator for economic development in the digital signage and digital out of Home industry of the EMEA market region. The DBCI is published bi-monthly. It is based on the responses of the high level management from all relevant companies in the digital signage value chain.

Russia

  • Amid the current volatile political situation and its economic consequences the digital signage market in Russia has a negative outlook on further growth potential for the first half of 2015
  • The tumbling currency exchange rate of the Ruble and a freeze in government financed projects has resulted in many tenders being put under revision or being postponed
  • However ¾ of the digital signage market in Russia have registered a growth in revenues in the 2014 compared to the previous year
  • Small signage with displays sizes smaller than 32“ in digital signage solutions is a growing trend in Russia / The surveyed companies see the highest potential for small signage (in the retail sector at the Point of Sale
  • Retail and malls are also the most important sectors for the market, being responsible for 34% of all revenues generated /Particularly the harsh climatic conditions is the reason for the construction of indoor shopping centers in Russia
DBCI markets & countries 2015 (Image: invidis)

DBCI markets & countries 2015 (Image: invidis)

Poland

  • Poland is after Russia the strongest market for digital signage in Central and Eastern Europe
  • After exceptional growth in 2013 the digital signage industry found it difficult to sustain a high growth level in 2014, as some of the bigger roll outs were finalised in the first two quarters
  • However, many new pilot installations were implemented and the digital signage market saw a constant investments over the whole year
  • With over 75% of all revenues generated, the SMB sector has become the most important and dynamic growing sector for the digital signage market
  • In Poland price aggressive hardware solutions and entry level signage were particularly successful in 2014