What was said in the previous blog that now it’s time to know about the evaluation of OOH media since our major focus and expertise is planning, buying, and monitoring of OOH media.
Three of the four major steps in the media planning process was discussed in the previous blogs, Market Analysis, Media Objective Establishment and Strategy Development. The final step is media evaluation and here the essay will be gone further to define OOH media and its types, advantages, and disadvantages that help you choose the right media type as well.
Almost any media book you read has categorized OOH media as support media since this type of media will support and increase the effect of other media such as traditional TV and radio commercials. Assuming that your major media vehicle for running your ads is TV, you might wonder that what type of media integration will have the most synergy and thus the most effectiveness of your campaign. The below figure shows the scale of the effect that other media types will have along with your TV commercials.
Figure 1- Synergy of other media type aligning with TV commercials
In addition, you might find it interesting that this type of media, OOH media, has the lowest CPM (or CPT) in comparison to other media types. As OAAA mentioned in 2011, out-of-home advertising or OOH has historically one of the lowest second CPM. You can see this comparison in Figure 2 (OAAA, 2011).
Figure 2- Comparison of CPM within media types
So now that we know the importance and effects of OOH media, let’s have a detailed definition of out-of-home media called OOH.
Outdoor advertising has probably existed since the days of cave dwellers. Both the Egyptians and the Greeks used it as early as 5,000 years ago. Outdoor is certainly one of the more pervasive communication forms, particularly if you live in an urban or suburban area. While showing steady growth since 2000, outdoor advertising is now on the increase with a total of approximately 5 percent of all advertising budgets.
Out-of-home advertising media encompass many advertising forms. The Outdoor Advertising Association of America, Inc. (OAAA) categorizes these media as outdoor—including billboards, street furniture, alternative media, and transit—as well as specific forms of radio. Billboards and street furniture together constitute 72 percent of the outdoor billings.
One of the fastest-growing outdoor industries is that of digital out-of-home media. Digital outdoor media take two forms: (1) video advertising networks, which include digital video screens that appear in offices, stores, theaters, inside transit networks, and entertainment venues such as health clubs, sporting arenas, bars, and restaurants; and (2) digital billboards, or screens that transmit in LED or LCD technologies.
Figure 3- Digital LCDs located in Hyperstar by Armani Media Agency
Alternative OOH Media
This type of media includes many forms such as aerial advertising, place-based ads, mobile billboards and more. Many of these alternatives aren’t available in Iran and this is a path for future improvement in OOH advertising in Iran. The only alternative forms of this type of OOH media that is available in Iran is place-based ads which you can see in stadiums, shopping malls, and sport complexes such as Enghelab Sport Complex.
This is alike place-based ads that take place in shopping malls or other locations that are near to where customers make their purchase. The justification beyond this type of ads is based on the recency concept which tells you that you can have customers’ purchases by one frequency if you can be in front of them as close as to their buying decision. For instance, you can see this type of ads in Tehran Hyperstar and this a good space for many kinds products such as FMCG products.
Figure 4- In-store advertising for Barbican campaign
Another form of out-of-home advertising is transit advertising. Transit is targeted at the millions of people who are exposed to commercial transportation facilities, including buses, taxis, commuter trains, trolleys, airplanes, and subways.
Transit advertising has been around for a long time, but recent years have seen a renewed interest in this medium. Due in part to the increased number of women in the workforce (they can be reached on their way to work more easily than at home), audience segmentation, and the fact that many people spend more time outside of the home than inside, transit continues to be a popular medium.
Types of Transit Advertising There are actually three forms of transit advertising: (1) inside cards, (2) outside posters, and (3) station, platform, or terminal posters. The figure below shows these type of spaces in transit advertising that are available in Iran.
Figure 5- Types of Transit advertising available in Iran
Advantages and Disadvantages of Outdoor Advertising
Outdoor advertising offers a number of advantages:
1. Wide coverage of local markets. With proper placement, a broad base of exposure is possible in local markets, with both day and night presence.
2. Frequency. Because purchase cycles are typically for 30-day periods, consumers are usually exposed a number of times, resulting in high levels of frequency. In transit advertising because of our daily routines, those who ride buses, subways, and the like are exposed to the ads repeatedly. If you rode the same subway to work and back every day, in one month you would have the opportunity to see the ad 20 to 40 times.
3. Geographic flexibility. Outdoor can be placed along highways, near stores, or on mobile billboards, almost anywhere that laws permit. For local advertisers, outdoor can reach people in specific geographic and/or demographic areas. Local, regional, or even national markets may be covered.
4. Creativity. As shown earlier, outdoor ads can be very creative. Large print, colors, and other elements like digital signs attract attention.” Creativity is one of the most important elements in each OOH campaign which should be considered seriously. By taking attention to your creative side of your OOH campaign, you can decrease an optimum frequency needed to be reached. Therefore it can lead to a marked deduction of your campaign budget which needs to put for media providing. In other words, should you allocate enough amount of money to do create creative artwork (which can be done in-house or by the third partner), you increase your campaign impression simultaneously by decreasing your CPT.”, said Shahryar Mohsenin, marketing manager of Armani Media Agency.
5. Ability to create awareness. Because of its impact (and the need for a simple message), outdoor can lead to a high level of awareness.
6. Efficiency. Outdoor usually has a very competitive CPM when compared to other media. This is what you have seen in Figure 2 and is one of the many advantages of OOH media.
7. Effectiveness. Outdoor advertising can be effective. One report by BBDO advertising shows that 35 percent of consumers surveyed said they had called a phone number they saw on an out-of-home ad. Outdoor advertising can have a significant effect on sales, particularly when combined with a promotion.
8. Production capabilities. Modern technologies have reduced production times for outdoor advertising to allow for rapid turnaround time, and digital messages can be changed in minutes.
9. Timeliness. Many outdoor ads appear in or near shopping areas or on or in the vehicles taking customers there, thus resulting in timely exposures.
At the same time, however, there are limitations to outdoor, many of them related to its advantages:
1. Waste coverage. While it is possible to reach very specific audiences, in many cases the purchase of outdoor results in a high degree of waste coverage. It is not likely that everyone driving past a billboard is part of the target market.
2. Limited message capabilities. Because of the speed with which most people pass by outdoor ads, the exposure time is short, so messages are limited to a few words and/or an illustration. Lengthy appeals are not likely to be effective. Some transit forms are not conducive to creative messages.
3. Wearout. Because of the high frequency of exposures, outdoor may lead to a quick wearout. People are likely to get tired of seeing the same ad every day.
4. Cost. Because of the decreasing signage available and the higher cost associated with inflatables, outdoor advertising can be expensive in both an absolute and a relative sense.
5. Measurement problems. One of the more difficult problems of outdoor advertising lies in the accuracy of measuring reach, frequency, and other effects. (As you will see in the measurement discussion, this problem is currently being addressed, though it has not been resolved.)
6. Image problems. Outdoor advertising has suffered some image problems as well as some disregard among consumers.
These are what you have to consider when you are deciding about media types to include in your campaign. Visit Armani Media Agency LinkedIn page for more about OOH advertising and know who we are.
Belch, G. E., & Belch, M. A. (2015). Support Media. In G. E. Belch, & M. A. Belch, Advertising and Promotion: An Integrated Marketing Communication Perspective (pp. 452-478). New York: McGraw-Hill Education.