Friday, March 29, 2024

Advertisement
Home » Viewpoints » ‘Technology holds key to OOH transformation’

‘Technology holds key to OOH transformation’

By Anil Balan - April 03, 2018

Integrating the features of online advertising to outdoor advertising is the key for OOH to find its place into the multimedia campaign mix

Out-Of-Home advertising is getting transformed by embracing the evolution of technology and its pace of adoption across industries. As per the recent Expenditure Report by WARC, DOOH constituted more than 31% share of total OOH global ad spend. DOOH advertising revenues will overtake traditional spends in 2020 with a YoY growth of around 15%, as per PwC forecasts, which is also an encouraging trend. PwC in its report has stated that DOOH will be the key growth driver for OOH with 12 global markets all set to generate over half of their revenue from DOOH by 2021. DOOH has now changed the overall outlook of advertising and the coming days will see the results of this transformative medium across the world.
 
UK’s Ocean Outdoor had conducted a study on the priming effect of DOOH by using neuroscience, and the results were intriguing. People who were exposed to DOOH ad first responded more strongly to mobile advertising – 36% higher levels of memory encoding and on the contrary people who were exposed to TV ad responded more strongly to magazine advertising – 11% higher. In the Indian context, with the mobile revolution, usage of data, extensive penetration of broadband and at the same time, the dip in consumption of linear TV & print, will lead to a shift to a technologically driven medium. Another compelling factor is that the time spent by the majority of the urban population in the cities during the so called Prime Time is on the road as they are regularly on the move. Hence there is need for the prevailing marketing mixes to realign and adapt to this changing audience behaviour.
 
Indian advertising industry growth in the year 2017 was stunted due to regulations and prevailing economic policies. Even in this trying period, digital/online advertising gained 3% share points at the expense of Television and Print, which lost 1% and 2% share points, respectively as per latest Pitch Madison Report 2018. Online advertising has seen a staggering YoY growth in spite of its recent entry into the advertising landscape. This remarkable fete is achieved by its unmatched ad delivery excellence and finer targeting. Online advertising allows media planning based on historical data, real time campaign analysis and optimisation and elaborate reporting to the advertisers. Hence integrating the features of online advertising to outdoor advertising is the key for OOH to find its place into the multimedia campaign mix.
 
Another key observation is the lack of an established media currency for OOH in India in spite of multiple respectable initiatives by various stakeholders of this industry. At the same time, companies that venture into OOH measurement and rating space will need to earn a reasonable share of the overall OOH market spends in order to be viable. That said, measurement must complement the DOOH Ad Delivery Network that has to be driven by hyperlocal market intelligence.
 
A state of the art Ad Delivery Network demands effective use of latest technologies like Cloud Computing, Data Analytics, Artificial Intelligence and IoT (Internet of Things) for complete display asset automation apart from standard factors like prime location, high quality screens and redundant electricity supply. There are policy level challenges posed by the regulatory bodies which is hindering development in this arena. However, OOH has successfully navigated this for decades by making it more useful to public as street furniture, additional revenue generation for government, reducing maintenance cost for civic bodies, etc. Smart Display Assets can offer further help to public by integrating with public information systems, working as sensor networks, public Wi-Fi zones, offering free campaigns to NGOs, etc.
 
Campaign outcome can be measured and analysed. Moreover, campaign planning can be done based on predictive analysis on historical data. Ads can be made more relevant by connecting more efficiently with the audience. Integration of online advertising and DOOH will allow seamless binding of campaigns on mobile and DOOH.

Advertisement

You May Also Like

Advertisement
Advertisement
Have You Say
Advertisement