Photo: Getty in Forbes
“…’When it comes to contextual relevance, digital out-of-home (DOOH) advertising can be particularly effective. The use of geo-location data for attribution studies and mobile surveys have found that DOOH is instrumental in building brand awareness, purchase intent, plus web and store traffic with a contextually relevant and a timely ad message. As a result, DOOH plays an important part in new business pitches and client retention strategies with ad agencies.

Mike Cooper, the global president and CEO of Rapport Worldwide, the out-of-home media planning and buying agency of IPG Mediabrands, says, ‘Not including DOOH in a new business presentation shows a complete lack of understanding of where consumers are today.’ Cooper also cites new technology and the physical inventory of DOOH as instrumental in helping with a client’s messaging by using the space to create and deliver content. As an example, the agency has created small screen events with clients using DOOH screens which then go viral online, attracting millions of views. This allows for marketers to interact directly with consumers.

Out-of-home is the lone traditional ad-supported medium in which revenue has been increasing both in the U.S. and globally. With more ad dollars being allocated to digital media (especially mobile), marketers have become aware of their compatibility with DOOH. Recent industry studies reveal mobile click-through rates and search engine usage increase when consumers are exposed to a DOOH ad. In fact, many prominent tech companies such as Amazon, Apple and Google are using DOOH as an integral part of their marketing strategy. Furthermore, Netflix recently spent a reported $150 million on a string of 32 high-profile DOOH billboards on Sunset Strip in Los Angeles.

Why is ad revenue for DOOH growing? Rick Ducey, the Manager Director of BIA, says ‘It’s a laundry list: the high quality of display technology, more standardized ad units, automated workflow, programmatic trading, measurability, cost efficiencies and viewability have been strong growth drivers. DOOH can draw the attention of a captive audience with video messaging in taxicabs, elevators, etc. DOOH ads are also being delivered with point-of-sales ads at interactive kiosks. The one key is advertisers know exactly where the ad impressions will be seen.’

Ducey continues, ‘In the past, I think OOH and DOOH maybe have been seen to be top of the funnel channels, but their role in the media mix has become far more impactful at lower funnel levels. DOOH has a lot of cross-platform capability and this flexibility serves advertisers well.’ In the U.S., BIA forecasts video OOH’s compound annual growth rate to be a strong 4.8%, and non-video DOOH growing at healthy rate of 4.5%.

..Nowadays, the average worker spends over 26 minutes commuting to work each way (or roughly nine days each year), up from 22 minutes in 1990. The trip is longer in urban areas such as New York and Washington. This provides workers ample time and opportunity for digital signage exposure. Additionally, for advertisers, DOOH offers a brand-safe environment with 100% viewabilty, the ads are not skippable, and there isn’t any fraud’…”

— Brad Adgate, Forbes

Read entire article