Ayodhya is not just dominating social media; it is also experiencing a substantial upswing in billboard advertising trends within the temple city. Out-of-Home (OOH) advertising is witnessing unprecedented ad rates, with experts predicting a surge that will attract 15X-17X OOH spends moving forward.
While multinational FMCG brands remain present, the spotlight is now on local brands like Vicco and others in categories like educational institute, real estate and jewellery.
The ad rates for Ayodhya have seen a 100 percent-150 percent growth, said experts, There is also a tender for a floating LED display in Ayodhya that is demanding Rs 20 lakh.
Although the city has opened up for out-of-home advertising, certain areas, including those surrounding the temple, remain restricted.
The strategic significance of Ayodhya’s location between Lucknow and Gorakhpur, marked by the new airport and premium assets, has propelled railway stations and bus terminals as sought-after touch points for advertisers. The rates for advertising in Ayodhya have experienced a staggering increase marking a departure from the city’s previous absence in national out-of-home campaigns,” said another expert.
Traditionally overshadowed by cities like Varanasi and Lucknow in advertising considerations, Ayodhya has emerged as a promising destination for brands. The religious and historical significance, coupled with the recent surge in advertising rates, has positioned Ayodhya as a key player in the out-of-home advertising landscape.
The consecration ceremony of the Ram temple in Ayodhya, led by Prime Minister Narendra Modi, is one of the biggest events in India’s recent history.
The temple and the transformation of the ancient city of Ayodhya will have a huge economic impact, as India gets a new tourist hotspot, which could attract 50 million plus tourists per year, said brokerage firm Jefferies.
“A $10 billion makeover (new airport, revamped railway station, township, improved road connectivity, etc) will likely drive a multiplier effect with new hotels and other economic activities. It can also set a template for infra-driven growth for tourism,” said a Jefferies report.
Advertisers are counting on this reach. OOH experts said agencies are now working on closing quarterly deals for their clients.
The growth in ad spends however will not be restricted to Ayodhya.
“The craze for OOH advertising is not limited to Ayodhya; the momentum is poised to extend to neighbouring cities like Lucknow and Gorakhpur. The strategic location of Ayodhya which is between Lucknow and Gorakhpur, with existing airports, plays a pivotal role. The current surge in prices and heightened demand for inventory isn’t exclusive to Ayodhya; it equally impacts inventory in places like the airport in Lucknow and all the railway stations in the places. These locations are set to experience a similar upswing, driven by the growing demand, particularly from the tourist population,” said Rachana Lokhande, founder of Glocal Bridge, partner at OOH Capital and advisor with the Indian Outdoor Advertising Association.
In a conversation with Storyboard18, Rajesh Radhakrishnan, Co-Founder & Chief Marketing Officer, Vritti iMedia said:
In the last month in Ayodhya, how much has been spent behind OOH?
In my opinion, OOH inventory is limited in Ayodhya. The biggest investment which has happened in the last one month is the LED screen, which is digital OOH. In terms of hoardings, whatever is organised, it is very limited. In terms of unorganised, given the political scenario, it is political in nature.
What are the ad rates like?
Typical hoarding (20×200 sq ft) – Rs 40,000 to Rs 50,000. (Approximately Rs 200-Rs 300 per sq ft). Even a simple LED screen (one) spot rate would run from Rs 20-Rs 30.
How has the advertising scenario improved in Ayodhya in the last 1 month from an OOH point of view?
Change that has happened is LED is coming into play. Across railway stations, important chowks, and other places, around 50-100 LEDs have been added. Inventory limitation was always there and in a place like Ayodhya, there is no organised inventory. It is not developed in terms of infrastructure. It will take a while for organised branding to get established.
In the next three to six months, huge inventory will come up. And, in the next two to three months only, the main crowd pull will happen. We will see some strategic branding options come up.