Out-of-home (OOH) advertising is the world\u2019s oldest advertising medium.\u00a0 Though it may be a little late to the party, OOH is finally making a push into the digital landscape in a way that will transform our streets, public transit systems and other outdoor spaces.\u00a0 Digital technology is transforming all aspects of marketing to become more relevant, personalized, data-driven, and measurable. [1]\u00a0 Certain OOH ad companies are bringing dynamic creative and actionable data to a traditionally static industry. \u00a0Exterion Media, Europe\u2019s largest privately held out-of-home advertising business, is one of them.<\/p>\n
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THE LANDSCAPE<\/strong><\/p>\n Billboards and other outdoor spots have long been able to deliver messages where<\/em> they are most relevant, but digital now allows brands to deliver them when <\/em>(and to whom<\/em>) they are most relevant.\u00a0 Exciting applications of \u201ceye tracking, facial\/gender\/age recognition, beacon technology, location and geo-gating, dynamic content and social media integration\u201d have already increased interest in OOH in recent years. [1]\u00a0 Additionally, in the increasingly crowded and chaotic world of digital advertising, marketers are concerned about whether or not ads are actually seen by consumers.\u00a0 As consumers start to experience \u201cadvertising fatigue\u201d (the UK\u2019s Internet Advertising Bureau reports that 22% of UK adults now use adblocking software), OOH can shine as a \u201c100% viewable medium\u201d with a large-scale audience. [2]\u00a0 OOH media companies have the opportunity to grab a greater share of marketing budgets by showing brands the power of digitized OOH.<\/p>\n <\/p>\n SIGNS OF CHANGE<\/strong><\/p>\n Exterion Media is using technology to inform, create, and sell OOH in the digital age.\u00a0 The company\u2019s key strategies involve (i) using technology to research the effectiveness of OOH (ii) forming strategic alliances with communications and analytics companies to gather and layer data for implementation and (iii) developing a proprietary platform for changing the way OOH media is sold.<\/p>\n (i)\u00a0\u00a0\u00a0\u00a0 <\/em>In March 2016 Exterion Media (formerly CBS Outdoor International) won the \u00a31.1bn Transport for London contract, giving it the advertising oversight of more than 400 stations on the London Underground and the most valuable out-of-home contract in Europe. \u00a0The company\u2019s research, dubbed \u201cThe Engagement Zone\u201d, used eye tracking and skin conductance response data, as well as interviews and surveys, to learn about the effectiveness of digital OOH. \u00a0Findings suggest that, at least in the London Underground, engagement levels were found to match that of TV advertising at 16% and far surpass that of online video at 9%. [3]<\/p>\n (ii)\u00a0\u00a0\u00a0\u00a0 <\/em>Exterion is seeking to \u201cbuild a complete picture of how Londoners behave\u201d and inform digital marketing strategy through its strategic partnerships. \u00a0The first is with digital communication company Telef\u00f3nica UK, with whom Exterion has built its \u201cAudience Behavioral Insights (Abi)\u201d tool.\u00a0 The tool is based on anonymous aggregated data from 25 million of Telefonica\u2019s O2 customers as they journey through the tube.\u00a0 The data collected includes mobile activity, CRM data, and app and web usage. [4]\u00a0 \u201cThis is used to offer information including station entry\/exit, demographics, interests, locations and time of travel, as well as detail such as when international visitors are at Zone 1 stations.\u201d [5]\u00a0 Exterion is also working with data agency Beyond Media to analyze consumer payment data along commuter journeys. [6]\u00a0 Brands wishing to engage in OOH advertising can use this data to tailor content to the right consumers at the right time.\u00a0 In collaboration with the Kinetic agency, Exterion is experimenting with beacons across its established network of bus and rail signage.\u00a0 The beacons \u201cact as a digital conduit between passengers\u2019\/shoppers\u2019 mobile phones and the posters they pass by.\u201d [7] \u00a0Companies can send targeted and timely content to passengers as they browse on their phones.<\/p>\n (iii)\u00a0\u00a0\u00a0\u00a0 <\/em>Exterion is also developing a programmatic buying platform set to launch in 2017 to allow clients to bid on ad space in real-time.\u00a0 Using the behavioral data discussed above in combination with this platform, clients can quickly place ads in relevant locations. [4]<\/p>\n <\/p>\n A MOVING TARGET<\/strong><\/p>\n Despite the recent progress in digitizing the OOH advertising space, many \u201ccampaigns continue to be simple \u2018linear\u2019 ad spots played out in a loop\u201d on a digital screen. [9] The true power of digital in this industry goes far beyond this \u2013 to using technology and big data to interact with customers in real-time.\u00a0 To encourage adoption of OOH as a viable marketing tool, Exterion is investing in the technology, but now it needs to align itself with forward-thinking brands.\u00a0 By preparing successful integrated campaigns for companies such as Virgin Atlantic or Spotify, Exterion can gain the credibility and exposure that it needs to bring other brands on board.\u00a0 Given its role in collecting increasing amounts of personal consumer data, Exterion must also help brands navigate the murky waters of hyper-targeted advertising.<\/p>\n [776 words]<\/p>\n <\/p>\n [1] <\/span>\u00a0<\/span>Herbison, Michelle, \u201cOutdoor\u2019s digital transformation,\u201d <\/span>https:\/\/www.marketingmag.com.au\/hubs-c\/outdoors-digital-transformation\/<\/span><\/a>, accessed November 2016.<\/span><\/p>\n [2] \u201cIAB UK reveals latest ad blocking behavior,\u201d <\/span>https:\/\/www.iabuk.net\/about\/press\/archive\/iab-uk-reveals-latest-ad-blocking-behaviour<\/span><\/a>, accessed November 2016.<\/span>\u00a0<\/span><\/p>\n [3] \u201cThe Great Outdoors: Why OOH is Set to be Adworld\u2019s Strongest Contender in 2017,\u201d <\/span>http:\/\/www.huffingtonpost.com\/advertising-week\/the-great-outdoors-why-oo_b_12967310.html<\/span><\/a>, accessed November 2016.<\/span><\/p>\n [4] <\/span>http:\/\/www.exterionmedia.com\/uk\/<\/span><\/a>, accessed November 2016.<\/span><\/p>\n [5] \u201cTfL and Exterion Media partner on data-driven advertising,\u201d <\/span>https:\/\/www.research-live.com\/article\/news\/tfl-and-exterion-media-partner-on-datadriven-advertising\/id\/5013202<\/span><\/a>, accessed November 2016.<\/span><\/p>\n [6] \u201cExterion beefs up insight with new data partnership,\u201d <\/span>http:\/\/www.decisionmarketing.co.uk\/news\/exterion-beefs-up-insight-with-new-data-partnership<\/span><\/a>, accessed November 2016.<\/span><\/p>\n [7] Taylor, Stuart, \u201cTaking the Contextual Revolution Outdoor,\u201d <\/span>http:\/\/www.huffingtonpost.com\/advertising-week\/taking-the-contextual-rev_b_10025018.html<\/span><\/a>, accessed November 2016.<\/span><\/p>\n