Asia Media Group Berhad Annual Report 2014
30
Management Discussion and Analysis
(Cont’d)
INDUSTRY OUTLOOK AND FUTURE PROSPECTS OF OUR GROUP
(Cont’d)
II.
Overview and outlook of DOOH transit media industry
(Cont’d)
The Adex of DOOH media transit industry grew rapidly to an estimated RM48.80 million in 2012
and this industry is forecast to grow to an estimated RM165.90 million in 2017. The DOOH
estimated CAGR of 63.3% from 2007 to 2012 was, largely due to the industry being in its nascent
stage and had grown from a small Adex base contribution at the beginning of this period. This
contributed to high year-on-year growth rates of 128.6% from 2007 to 2008, 61.5% from 2008
to 2009, 30.3% from 2009 to 2010, 95.0% from 2010 to 2011 and an estimated 23.7% from
2011 to 2012. However, as the industry develops, the CAGR from 2013 to 2017 are expected
to stabilise to approximately 28.7%.
Industry Forecast for the DOOH Transit Media Industry (Malaysia), 2013(f)-2017(f)
Growth
Adex
Rate
Year
(RM million)
(%)
2013(f)
60.4
23.8
2014(f)
76.6
26.8
2015(f)
97.2
26.8
2016(f)
127.0
30.7
2017(f)
165.9
30.7
CAGR 2013(f)-2017(f)
28.7
Notes: All figures are rounded; the base year is 2013
(Source: Digital-out-of-home Transit Media Industry in Malaysia dated January 2013, Frost &
Sullivan Malaysia Sdn Bhd)
III. Prospects and future plans of our Group
Our Group is principally involved in delivering information and entertainment programs,
advertisements, community-driven messages and public bulletins in public transport via our
Transit-TV Network System, installed in major city buses serving Klang Valley and Johor Bharu,
as well as luxury long haul express buses serving peninsular.
Traditional media for advertising such as TV and newspapers remain as popular advertising media
in Malaysia. With regards to transit advertising, prints such as the vehicle wrap, lightboxes and
in-vehicle panels also remain popular with a relatively longer history of use compared to digital
screen advertising. While DOOH transit media is becoming more popular and viable amongst
advertisers, DOOH must still compete against traditional media which still serves as an attractive
advertising substitute to DOOH.
