Out-of-home (OOH) advertising remains a highly effective channel in Indonesia, especially in major urban areas like Jakarta, Surabaya, Medan, and Bali. For brand who looking to enter this market, the media buying process can be anything but straightforward. A deep understanding of pricing structures, local regulations and vendor dynamics is crucial.

This article breaks down the end-to-end media buying journey in Indonesia, highlights common pitfalls, and offers actionable insights for successful campaign execution.

1. Defining Location and Media Format

The first step is to identify target cities and relevant media formats. Common options in Indonesia include:

• Traditional static billboards
• Digital LED screens
• Transit media (bus, train, MRT)
• Mobile ads (vehicles, motorcycles)
• Street furniture (bus stops, traffic poles)

Jakarta and other big cities are highly segmented, so placement must reflect local movement and audience behavior.

2. Understanding Pricing Structures

OOH media prices vary based on:

• Location (CBD, residential, secondary roads)
• Media size and format
• Campaign duration
• Exclusivity
• Seasonal demand (e.g., Ramadan, national holidays)

Vendors typically offer monthly rates. However, digital LED inventory may follow hourly or dayparting slots. Work with a local partner to ensure price transparency.

3. Regulatory Landscape

Local governments in Indonesia impose zoning rules, licensing requirements, and format limitations. Without proper permits, your campaign risks sudden takedown or fines.

Brand should collaborate with licensed vendors familiar with the local bureaucracy to avoid setbacks.

4. Negotiations

Many billboards are leased on an annual or seasonal basis, which makes it essential to conduct thorough negotiations.

• Media rental cost
• Production and installation fees
• Contract duration
• Tax implications (VAT, regional levies)

Ask for a detailed cost breakdown before signing to avoid budget surprises.

5. Production and Installation

Once media space is confirmed, production begins. For static billboards, this involves printing and mounting. For digital formats, ensure creatives meet vendor specs (MP4 or high-res JPG, 16:9 or custom ratios).

Average lead time is 5 to 10 business days. Most vendors will manage permits and provide photo/video documentation of installation.

6. Monitoring and Reporting

Credible vendors offer:

• Proof of installation
• Daily logs (for digital media)
• Weekly or end-of-campaign reports
• Optional tracking tools (QR codes, sensors)

Reports are critical for verifying performance and justifying ROI, especially for international clients.

7. Key Recommendations for Brands

• Partner with experienced local vendors who understand regional dynamics and regulatory nuances
• Always request detailed location photos, traffic data, and updated ratecards before making decisions
• Evaluate more than just premium locations mid-tier sites may offer stronger cost-per-impression (CPM) value
• Explore bundled city packages to maximize reach and efficiency across multiple regions

Conclusion

Indonesia’s OOH market is vibrant yet intricate. With the right strategy, transparent vendor collaboration, and local support, brand can deliver high-impact campaigns that resonate with diverse audiences.

Ready to activate your OOH campaign in Indonesia? Contact us for a strategy consultation tailored to your needs.