April 2011 Newsletter
Advertisers & AgenciesMedia Sellers
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Feature Story
Key Takeaways From OAAA/TAB Convention
Article by: Kim Ramser, DOmedia Business Development & Industry Relations Guru
Last week, the Outdoor Advertising Association of America (OAAA) and the Traffic Audit Bureau (TAB) held their Annual National Convention and Trade Show in Miami’s beautiful South Beach. I saw many of you walking around, watching the general sessions and attending the cocktail parties. This year’s theme, “Grab Your Share,” was evident in the speakers’ presentations, workshops, and various council meetings. Outdoor’s share of annual advertising expenditures are much lower in the US than in many other countries.
What can we as an industry do to get our “share” of the pie?
There were many recurring ideas throughout the conference. The trending topics were Innovation, Measurement/Research, Mobility/Location and Targeting. Ron Cooper, CEO, Clear Channel Outdoor and David Payne, CEO, Kinetic Americas, opened the conference by stating that our goal should be to increase our share by 1% in 2011, bringing OOH to 5.4% of the US Advertising Expenditures. The presenters gave us several big ideas to help you so we can accomplish this goal together:
Shorter Sales Cycles
The industry has been shortening the advertising sales cycle by introducing new digital products and technologies that allow advertisers & media sellers to implement campaigns more quickly than ever before. What can your company do to shorten your sales cycle? Better inventory management, creative technologies, faster turnaround on production and installation are all things that can help you shorten your lead time and get campaigns running quickly.
Online Tools (both internally and externally)
Is your inventory system or proposal system web-based? Do you use integrated technologies to reduce your manual input time? External online tools, like DOmedia, can get your company and products in front of more agencies in markets where you don’t have a sales force.
Better Research
The industry now has better metrics with EYES ON, but what does that mean? Not only do we need the numbers, but we also need to show the relevance of the numbers. Do you have other research you can tie in? Get customized consumer research conducted by a third party for your individual venues or particular products. Use meaningful insight to think outside the box. The numbers alone may not present the opportunities you believe are available. Integrating social media can also create online measurement opportunities for your media.
Tell Your Story
Turn your successes into case studies. Speak the language of your audience. Show that OOH delivers audience and value. Its power should be embraced. Brand yourself by appealing to the “creatives” at agencies, and become the local market expert.
Grow the Audience
Look for untapped markets, venues and industries, stop relying on the automobile, restaurant, real estate and other top ten categories, and look at B2B and emerging trends that may be specific to your local market. Become a business partner with a company who can enhance your offerings by bringing something extra to the table.
Understand Your Client's Consumers
Do you research to find out where customers are going to see your client’s message? Differentiate and target your audience - for example, instead of just saying “Hispanic”, further identify the audience as Cuban, Puerto Rican, etc. Unlock Multi-culturalism and other demographic factors to better market to consumers.
Innovation
Make the creative more relevant by using social media, QR Codes, projections, interactive kiosks, digital billboards and other technologies. Partner with other companies to create the experience you want the consumer to have. Think mobile, digital, social media, and geo-location.
It was clear throughout the conference that OOH is much more relevant now than ever. It is no longer just the “awareness” medium. Out of Home can be used to gather feedback, entertain, distribute samples, create an event and much more.
Show how innovative your company is through your DOmedia profiles. Make sure that you include relevant demographic information in your Audience section. Include media kits and sales documents that make your company stand out. “Tell Your Story” by showing all of your capabilities and including success stories in the Support Documents section.
DO in the News
NEC's VUKUNET and DOmedia Announce Strategic Partnership
Partnership Aims to Create End-to-End Solution to Propel Digital Out-of-Home Industry Growth
CHICAGO and COLUMBUS, Ohio – April 7, 2011 – NEC Display Solutions and DOmedia announced today the formation of a strategic partnership that creates an end-to-end solution for the challenges related to the buying and selling of digital out-of-home (DOOH) advertising.
DOmediaTM Powered by VUKUNET allows for the efficient planning, buying, management and measurement of large DOOH advertising campaigns across many different DOOH networks. This new ability to scale and measure effectiveness of DOOH advertising during the life of a campaign addresses two of the last remaining obstacles to the widespread adoption of DOOH advertising.
According to PQ Media, the digital out-of-home ad medium is one of the fastest growing media in North America, with 18.1 percent compounded annual growth projected for the next four years. Advertising agencies have indicated a willingness to invest more money in DOOH, but first require the industry's adoption of standards in the areas of creative, ad serving, audience measurement and performance reporting.
DOmediaTM Powered by VUKUNET allows for the seamless integration of advertising agency and DOOH network activities from campaign planning through execution. The solution incorporates DOmedia’s web-based, front-end media search, planning and buying tools with NEC’s back-end VUKUNET technology, which provides comprehensive ad inventory management, ad campaign placement, tracking, measurement and reporting capabilities to display to media buyers. The combined solution is aimed at resolving issues with technology fragmentation by creating a standards-based solution that will benefit the entire DOOH market.
“The partnership with DOmedia will be the industry standard that will generate incredible growth in the DOOH industry,” said Pierre Richer, President and COO, NEC Display Solutions. “While the market matures, an open end-to-end solution will create value for both buyers and sellers by lowering operating expenses, increasing transparency and creating innovation like we’ve seen in the online and mobile advertising industries.”
Sue Danaher, President of the Digital Place-based Advertising Association (DPAA), said: “Companies like DOmedia and NEC coming together help to propel the overall industry and bring innovative products to market for buyers and sellers to choose from. The investment from companies like these is a true testament to the exciting future opportunities for the digital place-based industry.”
Among the benefits to media agencies and advertisers include an easier way to purchase and track DOOH media and a lower operational cost attributed to the buying process. DOOH network operators will benefit from technology integration through inventory management, ad delivery, collaboration with agencies, and increased revenue potential. VUKUNET’s unique approach allows the technology to work across many software platforms currently being used by network operators.
“One end-to-end solution from planning to execution for digital out of home advertising campaigns will enable advertising agencies to buy the medium on a larger scale more efficiently,” said John Muszynski, Chief Investment Officer, Starcom Mediavest Group. “This kind of technology innovation ultimately helps agencies effectively service clients and puts them at a competitive advantage in the marketplace.”
Rich Langdale, CEO of DOmedia, said: “The DOOH industry has a need for technology to solve a lot of problems with inefficiencies and standardization, and we are taking a step in the right direction. The open, end-to-end approach we are building with NEC will ultimately benefit both the media buyers and sellers. Everybody wins.”
Learn more about DOmedia Powered by VUKUNET »
Do the Math
72% DOOH Revenue Attributed to 10 Networks
PQ Media Notes Pareto's Law Applies to DOOH
During The Big Buyers Panel at MediaPost's 2011 Digital Out-of-Home Forum, Patrick Quinn, CEO of PQ Media, noted that almost three fourths of the digital out-of-home industry's advertising revenue is attributed to just the top 10 networks. Why? These networks have the largest footprint, a valuable target audience, technology, campaign metrics and products to support national advertising campaigns. The PQ Media Global Digital Out-of-Home Media Forecast 2011-2015 report also anticipates U.S. digital OOH spending will grow 15.1% to $2.07 billion in 2010, with worldwide spending up 16.3% to $6.47 billion, and is expected to expand another 16.7% in 2011.
It will be interesting to see what happens as the industry continues to go through consolidation and more advertising dollars shift to digital out-of-home.
View a recorded video of The Big Buyers Panel check out MediaPost Live's Ustream Channel ».
Click here for more information on the PQ Media Global Digital Out-of-Home Media Forecast 2011-2015 ».
DO You Know?
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