According to Kinetic Pakistan, in 2023, 25% of Pakistan’s OOH media spend went to digital billboards and screens. Furthermore, according to industry sources, DOOH has experienced a 40% compound annual growth rate since its launch in 2017. Now, generative AI is bringing new possibilities for DOOH by providing greater personalisation, creativity and efficiency. To explore what this means for brands in Pakistan, I will look at generative AI through the Gartner Hype Cycle (GHC) methodology.

1 Generative AI

Currently situated in the ‘Trough of Disillusionment’ phase of the GHC, generative AI is capable of creating digital content (images, videos and text). This phase is typical for transformative tech; as early use cases uncover challenges when users begin to see its potential beyond the hype. Globally, tools like OpenAI’s GPT-4, Google’s DeepMind and Adobe’s AI platforms, have already reshaped industries, and according to Gartner, nearly 30% of marketing content will be AI-generated by 2025. Imagine the impact on Pakistan’s DOOH sector, where AI can create data-driven, visually compelling campaigns to capture audience interest. The potential is massive.

2 DOOH in Pakistan

The major cities (Islamabad Karachi and Lahore) have already replaced static signage with billboards and displays with dynamic content. Recently, anamorphic 3D screens have been introduced (one each in Islamabad, Karachi and Lahore). Pakistan has a young and tech-savvy population that is increasingly connected through digital platforms. As the number of internet users continues to grow, there will be even greater opportunities for DOOH to target these consumers effectively.

3 Automated Content Creation and Hyper- Personalisation

Generative AI offers new creative directions to advertisers, helping them design high-quality visuals and video content. In Pakistan, AI can help generate tailored content that is culturally relevant to different regional perspectives. For example, billboards in Faisalabad can display content in Punjabi, while billboards in Karachi (for the same campaign) can have their messaging in Urdu. Furthermore, personalisation means that content can be adjusted according to realtime factors such as the weather and time. Imagine a coffee brand displaying ads for cold coffee on a sweltering afternoon and then seamlessly switching to hot coffee in the evening, or a fuel brand displaying real-time traffic updates on a digital billboard on Shahrah-e-Faisal, guiding commuters on which route to take. This generation of relevant content captures consumer attention leading to higher ROIs for the campaigns.

4 Efficiency and Cost Savings

Through automation, generative AI can simplify processes in agile and cost-effective ways; something that can turn the tables for cash-strapped SMEs. In fact, with generative AI, SMEs can produce professional content at par with larger brands, significantly levelling the playing field. DOOH further optimises ad placements by leveraging AI and analysing audience insights and other location data to ensure maximum campaign ROI, making DOOH more accessible from a cost perspective.

5 New Levels of Innovation

Consider a digital screen that displays content based on pedestrian engagement or changes displays based on response to real-time data, such as trending topics or social media feeds. Consider Dove, which deployed more than 16 different visuals for their recent programmatic DOOH campaign. The visuals were dependent on the weather and automatically updated according to the prevailing conditions. This ensures memorable brand experiences resulting in enhanced brand loyalty.

6 Data-Driven Precision

The recent digital transformation in Pakistan has generated large consumer data sets, which in turn has empowered AI to generate smarter advertising. Brands can leverage this data to create ads that address consumer preferences. Additionally, generative AI enables real-time campaign optimisation and can recommend adjustments to the creative execution to improve engagement. This adaptability enables brands to remain agile, current and in line with their consumers’ demands and moods.

Pakistan’s DOOH industry is set for a transformation. The medium will now be able to give brands the ability to present their audiences with alternative, dynamic and personalised content. By streamlining the content creation process and enabling real-time optimisation, AI enhances the effectiveness of programmatic DOOH and traditional OOH campaigns. As the GHC suggests, businesses willing to embrace generative AI today are likely to lead tomorrow’s market.

NB: The GHC methodology provides users with a view of how a technology or an application is likely to evolve over time.

Ahsan Shaikh is CEO, Kinetic Pakistan.