In 2016, Static billboards accounted for 69% of Out of Home revenue, leaving Digital (DOOH) with a modest 31% share. In the few short years since then, the numbers have swiftly reversed and digital now dominates the Out of Home (OOH) market with 62% revenue share. Even after immense growth, the future of DOOH still looks bright as further new digital sites are projected to be built this year. So what is powering the rise in DOOH?
Increased Audience Reach
A DOOH ad is usually played in a 1/6 or 1/8 loop, so it doesn’t deliver 100% share of voice like static OOH. However, the flexibility to play for a shorter timeframe across more screens means DOOH offers much greater audience reach for effectively the same cost. While this sounds good on paper, the effect has been substantiated in the real-world by a QMS case study in Christchurch, which found that using 15 digital billboards employing a 3-day rotation strategy vs one central static billboard could increase potential reach by a staggering 250% across the same campaign period.
Greater Engagement & Relevancy
The impact of DOOH is strengthened by sophisticated technology, which enables us to craft more engaging and stimulating ads through the use of sound, video, touchscreen, and even augmented reality (for indoor digital screens).
The delivery of DOOH ads can also be tailored using various conditions and/or dynamic content, so there’s greater relevancy to the viewer:
- Day parting: Think breakfast deals in the morning or “test drive Tuesday” ads on Tuesday
- Weather Triggers: Air Conditioning ads when the temperature is over 23°C; and Heat Pump ads when it’s under 15°C
- Custom Data: live countdown timers embedded into new launch ads
- Social Media Integration: hashtagged comments inserted into word of mouth campaigns
Real-Time Audience Tracking & Programmatic Buying
OOH has been traditionally measured against estimated Reach and DTV (Daily Traffic Visuals) values, but real-time audience data is now available through the in-built cameras within DOOH screens. The audience tracking technology varies between DOOH companies, but includes using facial recognition software to determine the viewer’s gender, age, facial expression, even mood; and Audience Intelligence tools to monitor traffic volume, speeds, and vehicle number plates. The advent of real-time audience data lends to sharper campaign targeting and reporting. It also means OOH can soon be bought programmatically, with targeting based on real-world audience behaviours, not just location.