‘Indicative OOH media pricing will buoy advertiser confidence in the medium’

With the growing need for regulated pricing in the OOH industry, IOAA members are reiterating the need for a rate card based system. Says Shailender Luthra, Director, Brite Neon Lights and IOAA Member in this regard, “Rather than calling it a rate card, I would call it indicative pricing, and according to me, the biggest advantage of indicative pricing is that clients will not lose faith in this medium. Right now clients feel cheated because of the variation in pricing. If we have indicative pricing or some kind of a manual, that will help the industry and we will not be struggling to sell our sites.”

Speaking further about IOAA initiatives towards implementing an OOH media rate card system, he says, “We have started discussing this in IOAA and have formed an Executive Committee with regional representation.  The idea is to get more people on board. Also, there should be a rate card not only for hoardings, but other media as well in the OOH space.”

Shailender also spells out the challenges involved in implementing a rate card system in the OOH industry, “The IOAA can only recommend and suggest an indicative, recommended pricing and at best, issue guidelines to members. But it is the responsibility of the individual media owners to see to it that they accept that. Otherwise they are not only harming  themselves, but harming the industry too.”

He elaborates further, “The biggest problem with this  industry is the lack of unity. People will have to come to a common platform, but the realisation of that need is missing.

The other challenge in fixing a rate card across India is that the media ownership and type is varied and differs from place to place. So it needs a detailed analysis. The IOAA is now planning a study to arrive at audience measurement metrics, among other things. Once the metrics come into play, it will become easier to rate a site and arrive at a pricing.”

Urging the industry players towards a rate card, he says, “I appeal to all media owners to reach out to IOAA and become part of the Association, which is for the whole industry. I urge them to reach out to us and interact. We are here to listen to each one of them.  We would like to have more members on board and implement important ideas like fixing a minimum circle rate.”