Staying afloat a roller coaster ride for new OOH firms
By Pray Jani - April 03, 2020
Firms that have investor backing would be better placed to tide over the challenges that are unfolding everywhere
The lockdown following the Covid-19 outbreak has queered the pitch for businesses across the spectrum. The recovery from the current crisis would be a long haul for OOH firms, like any other business. In these circumstances, OOH firms that entered the fray more recently are faced with greater challenges – of recalibrating their business strategy and staying afloat financially.
For firms like TaxiTop Media that came on the scene with investor backing, staying float may not be an insurmountable challenge as they could lean on the investments to stay the course. Harsh Vardhan Mahipal, Founder of TaxiTop Media, stated in his conversation with Media4Growth: “I am grateful to have such supportive investors who have, since day one of this crisis, motivated us and ensured that we focus on our health before anything. That has really helped us to re-group ourselves as a company. Right now, our focus is on the bounce-back strategy which we are working on from our homes. It would have been really difficult if not for our investors like Xelpmoc.”
However, not all newly established companies may be able to ride out the storm all that easily. The challenge of staying the course would depend on the nature of business itself. In the case of DOOH media buying and selling agency UnMedia, established in February this year, the business journey had just begun when the crisis broke out. Partho Roy, CEO of the firm, told Media4Growth: “There is an observable gap in the understanding of OOH agencies about the prospects of DOOH. There is a need to bring a more software-based approach to the OOH industry, with digital taking shape. Which is why we felt the need for a DOOH specialist agency in OOH.”
UnMedia is gearing to play a big innings but it will need to dig deep into its reserves to stay the course once business resumes. Partho said, “Many brands were on board with the idea of taking DOOH to its maximum potential. Sadly, the lockdown hit us at a very wrong time. All we can do is keep our heads down and focus on what to do once normalcy is achieved.”