THE STATE OF OUT OF HOME (OOH) ADVERTISING 2023

March 7, 2023

by Brian Rappaport, CEO, QUAN Media Group

INDUSTRY UPDATES

OOH Advertising Produces Highest Levels of Consumer Recall VS Other Media Channels

The Out of Home Advertising Association of America (OAAA), OOH’s national trade association, has partnered with leading financial advisory firm Solomon Partners to release advertising effectiveness findings. The analysis, which represents an aggregation of publicly available studies on advertising recall from 2017 to 2022, shows that out of home advertisements produce significantly higher ad recall with consumers versus live and streaming television, podcasts and radio, print, and online executions. This holds true across printed and digital OOH formats.

OOH is Coming Out Stronger in 2023 and beyond

Julia Cramer of Billboard Insider had some excellent facts/figures/insights as it relates to OOH’s growth – and continued popularity among other media channels. According to the OAAA, OOH is up over 25%, comparable with the record-breaking revenues seen in 2019 at $6.4 billion. Obviously, exciting news! There is a growing demand for digital in the OOH space- as it costs less and has greater flexibility, relevance, and measurement. Studies show that digital out-of-home (DOOH) will transcend traditional ads and contribute nearly 40% to US OOH ad revenue by 2026. James Leaver, Founder and CEO of Multilocal, states, “In the year ahead, digital advertising will continue to gain strength, with traditional media digitalizing alongside it – from linear TV to CTV, and from out-of-home to digital out-of-home.” Tech-led innovations will also materialize as more prominent tech companies enter the OOH world. AR, VR, 3D, and anamorphic technology will lead to more interactive opportunities and spectacular creatives. Advertisers are seeing how visual experiences positively affect audiences (as you’ve seen with TUBI’s campaign in the beginning of the newsletter)

The best & the brightest at OAAA/GeoPath’s annual Media Conference: OOH’s Annual Gathering in Nashville!

OOH’s annual media conference is quickly approaching – and for those looking to consume the tough topics facing the industry right now – as well as hear from some of the most incredible marketing minds out there, it’s not too late to book your trip down to Nashville! Cookies, consumer behavior, metaverse, creator economy – how does OOH fit into it all? We’ll find out! Marketers from some of the hottest brands including Coterie, Casper, Zelle, The Farmer’s Dog, Diageo and Ro among others will be speaking.

Marketers are changing the way they think about OOH – Here’s why!

Streetfight & OOH Advertising

Streetfight put out a pretty informative article on how measurement in OOH is changing the way marketers are thinking about the channel. While OOH measurement continues to be refined – the truth is that OOH can be measured just like digitals channels that drive acquisition. A new report from Reveal Mobile details how a range of OOH campaigns performed in real-world settings. The report paints a clear picture of what’s possible in OOH measurement and how OOH media can be used to drive customer acquisition and activation. To demonstrate how these audience measurement capabilities play out in the real world, and illustrate what’s possible in setting and measuring goals for OOH campaigns, Reveal Mobile compiled a set of campaigns across a range of consumer segments, geographies, ad formats, and goals.

Some key takeaways –

Looking at how a single brand was able to reach retail clothing shoppers, Reveal Mobile found that a DOOH campaign running in gyms and supermarkets, digital billboards, and atop rideshare vehicles led to a 52% net lift in store visitation among consumers. Broken down by geography, the analysis showed a 38% net lift in Los Angeles and a 67% net lift in New York.
Reveal’s analysis was taken from campaigns running during the cold weather months. Despite that, campaigns in New York still generated a greater lift than those in Los Angeles, demonstrating that OOH ads are highly effective at influencing consumer behaviors even during times when people are less likely to be heading outside.
Reveal’s analysts found that exposure to OOH ads drove purchase behavior more effectively than website visits. In other words, users who end up on a website are more likely to make a purchase if they were previously exposed to an OOH ad.

Air Travel is fully back

I’ve been bullish on airports & OOH for a while now. If you’re a brand looking to utilize OOH to make an impact in a given market – you should be looking at airports to hit your audience as well (i.e. Boston – Logan, NYC – LGA or JFK). The latest/greatest on air travel is encouraging. In January 2023, the Transportation Security Agency screened 3.3% more passengers than the same time period in 2019. This is the first time that monthly air traffic volume has outperformed pre-pandemic at a national level. In general, there has been a surge in air traffic worldwide in the past months with Asia-Pacific airlines rising 363.3% year-over-year, closely followed by Middle Eastern carriers (157.4%) and North American airlines (132%). Want more? According to American Express Global Business Travel, business travel reached 71% of pre-pandemic levels in Q3 of 2022- a faster recovery than many predicted. Want even more? UN Aviation Body predicts that worldwide passenger counts will reach 2019 levels by the end of Q1 and surpass them by the end of the year. Fine – one last tidbit here, according to a GBTA Poll, three in four travel managers (78%) expect their company will take a lot more (22%) or more (55%) business trips in 2023 versus 2022.

…And so is mass transit

Transit Effectiveness Report

Our friends at Outfront Media just released their transit effectiveness report and some interesting tidbits came out of it! Their recent MFour survey shows stronger transit and street furniture recall rates than pre-pandemic studies. Transit OOH DRIVES recall. In fact 56% prefer to see video ads and content (full motion) and 71% notice our iconic immersive station dominations. Recently the brand Sheertex ran a multifaceted transit campaign in NYC and via Outfront’s attribution study through Streetmetric they found that there was a 98% lift in visitation (compared to the control group) and a 118% lift rate to the checkout page (compared to the control group). Visitation to the Sheertex website increased week over week.

PARTNER UPDATE

Even MORE 3D Opportunities

The continued expansion of 3D into DOOH

Lots of talk about 3D activations in the DOOH space today! While the quick “go to” are large format digital screens when brands want to utilize 3D creative, there’s now the ability to activate in the airport space – as well as street level. There are 2 main techniques for creating 3D content: Forced Perspective and Anamorphosis. Forced Perspective is when the pop-out effect comes from the presence of fixed elements (edges of the screen) from which moving elements can burst out. This optical illustion can be achieved on both multi-sided or single-sided screens. Anamorphosis is a process of distorting an image on a multi-angles display by manipulating the scale and size of images based on the viewers’ vantage point and creatively coalesce the graphics with its surrounding elements. This illusion only works from one restricted vantage point which to be determined before the content is designed. The 3D experience does not require any special hardware installation and can be produce for multi or single panel displays. The creative content is executed using the force perspective technique in computer graphics which is to create the illusion of depth by manipulating the scale and size of images based on the viewers’ vantage point. Content should be created by a production company specialize in 3D anamorphic technique (which we can help with). Check out an amazing activation from Hennessy in the link above!

S.O.S. (but nothing is wrong)

SOS is a unique out-of-home marketing services company that connects brands with high-value audiences in coveted locations through interactive media and product discovery. SOS offers a better way to reach highly engaged consumers through interactive advertising and experiential activations. Each SOS machine carries up to 10 unique products from today’s best brands like Hero, Rael and Megababe. S.O.S. machines are rolling out at key sports’ venues across the country like Fenway Park (Boston) and FLA Live Arena (Sunrise, FL) – as well as major city centers like Roc Center (NYC) and The Prudential Center (BOS). These machines offer up a brand new, sleek DOOH advertising opportunity – as well as the opportunity for brands to get in front of a unique audience.

Race to get in front of the F1 audience

The Formula 1 (F1) races have been some of the hottest sporting events to attend in the world. In 2023 – both Miami and Las Vegas will be hosting a race, and there are incredible opportunities for brands to be front & center. The Formula 1 (F1) Miami Grand Prix will take place on May 7th, 2023 at the Hard Rock Stadium in Miami Gardens, Florida. This international auto racing event is the highest class of singleseater formula racing and attracts one of the largest global television audiences. This is the second year F1 is taking place in Miami and over 80K attendees are expected to attend the event. With over 100k square feet of powerful, can’t-miss visuals, this is the perfect opportunity to dominate the rich Miami skyline along the Downtown Waterfront – the only time during the year this signage is available. The Formula 1 (F1) Las Vegas Grand Prix will take place on November 16th-18th, 2023. This international auto racing event is the highest class of single-seater formula racing and attracts one of the largest global television audiences. Las Vegas hosted F1 races in 1981 & 1982, but this will be the first time cars will race down the Las Vegas Strip and over 170K attendees are anticipated. There are large format digital spectaculars, opportunities to own hospitality tents/signage, and skybridge wraps along The Strip. A true way for brands to be in the middle of one of the hottest sporting events of the year.

Across the pond – and back again!

Want to launch big? Branded Cities has partnered with Ocean Outdoor to offer a unique and exclusive opportunity to appear on the four most famous screens in the world. The United Collection consists of The Piccadilly Lights in London, Nasdaq and Reuters in Times Square NY, and the Moxy in Downtown LA – the offer will include a week long spot on these iconic screens as well as a 30 min simultaneous takeover of all screens (not allowed to buy separately). A very big moment and a great opportunity to capture content.

Droning on…

Spotify: Riot Games | Holographic Projection & Drone Show

There are a ton of ways to create buzz in the OOH space that’s outside the norm (i.e. projections, pop-up shops, 3D activations) and now we have smart drone technology – along with holographic projections! Recently, one of our partners, National Experiential. took over Fisherman’s Wharf in San Francisco for Spotify and Riot Games at the League of Legends World Championships with another tremendous Holographic Projection and 250 Drones to celebrate then League President Lil’ Nas X (his anthem Star Walkin’) and the final 2 teams that remained in the competition. These enormous 60′ x 30′ Holographic Projections combined with the Drone Shows are what make these activation’s so spectacular. National Experiential was able to leverage our expertise in fabrication, creative content development, Laser/Holographic Projection, event planning and drone technology to bring these two unbelievable activation’s to life. The social media impact for both campaigns were enormous. A new way for brands to get in front of audiences at major events – or for major moments. If you’re looking to still make an impact during SXSW – drone shows are the way to go!

New opportunities & things we love

Nike x Jordan Brand x NBA ASW

Firefly partnered with Nike x Jordan Brand during the NBA All-Star Weekend to create an immersive 360 degree Swarm Experience that included multiple touch points including VIP Transportation, 100% SOV In-Car Video Screens w/ personalize messages, QR Code Enabled Digital Tops, In-Car Merch Drops and a Jumpman Hologram Unit!

Kate Spade enhances the taxi riding experience

Some more mobile OOH! In celebration of NYFW, Kate Spade wrapped a fleet of NYC Taxis in their Iconic Green Hue. In addition to wrapping the full exterior of the taxi to tease a first look at their new packaging, Kate Spade also wrapped the full interior of the vehicle to match their colors & hues as well – giving consumers & influencers a beautiful backdrop for their photos & an opportunity to ride in style. A fun and creative way to get pedestrians to stop & stare during their commute around NYC.

Get into The Design District!

Miami has become one of the hottest OOH markets – and there’s now a brand new expanded place-based digital network spanning key corridors inside the Miami Design District. This is a very unique opportunity for brands to own digital inventory in a true luxury environment, with zero out-of-home. In the short term, there’s strict creative/brand approvals with the property owner you cannot purchase this media space if you are a current tenant of the Design District; the directory link enclosed https://www.miamidesigndistrict.net/shops/. Great way to get in front of a hip & trendy audience where there’s limited OOH assets.

The Longest ad

Credit to The Leith Agency – who create an incredible OOH moment that brought to light those suffering from Long Covid. Using long-form copy, an outdoor campaign that features ads measuring 13 feet long aims to highlight the plight of the 2 million people suffering Long Covid across the U.K. Titled “The Longest Ad,” the campaign creative, which consists of 3,000 words of copy, was placed at two bus stops in Edinburgh, Scotland. The campaign was created by The Leith Agency, which claims that it’s one of the longest copy ads ever written. It aims to offer readers the experience of what a day in the life of a Long Covid sufferer feels like, featuring vivid descriptions of the emotional and physical turmoil experienced by those who continue to battle the virus (credit: AdWeek).

All aboard CucumbAir

Hendrick’s Gin took to the skies for a truly memorable Super Bowl stunt. In response to the mundane ease of modern travel, Hendrick’s Gin has developed the world’s only flying cucumber—a 130-foot dirigible that clips along at the civilized speed of 35 mph, just slow enough not to blow off your steampunk hat. It was available for those who make huge amounts of money but want to have a more to fly to the Super Bowl. Getting to the actual game on time though wasn’t a priority. Hendrick’s was looking for passengers who were “highly motivated” and “prioritize inconvenience.” The brand says CucumbAir prioritizes lavish living above all else. Taking several days longer than jet travel, CucumbAir passengers were not supposed to care about making it to Glendale, Arizona in time for kickoff. Instead, passengers were provided fuzzy green slippers, rose-scented body oil, a cucumber slice eye mask, a cup of tea, botanical tooth powder and a curated selection of incredible onboard Hendrick’s cocktails. They also got to enjoy an in-flight performance of a Kafka novel or Sondeheim musical, a reiki session and a violinist who can play Ave Marie in three languages.

Stella goes Au Naturel!

Reason #457 why you should have a TRUE OOH strategist working alongside you is because they’ll know how to find placements that work PERFECTLY for a brand’s creative activation. Stella Artois has turned heads in London with their painted mural featuring a nude man and woman drinking its Unfiltered lager. The artwork cleverly plays with the architecture by positioning the characters on a wall where windows cover up their private parts. This was a continuation of Stella Artois’ “Au Naturel” campaign, which began last year to promote the Belgian brewer’s new Unfiltered beer. Shoutout to the fantastic creatie agency, Mother London!

A showroom? How about a SNOWroom!

We LOVE brand stunts (and can’t see what comes out of SXSW ’23 in a few weeks). Recently, electric car brand, Polestar, reimagined a car showroom by building a pop-up retail space out of locally sourced snow. Titled the Polestar Snow Space, it comprises a 39-foot (12-meter)-high white cube constructed using 3,000 cubic meters of snow from the nearby Ounasvaara ski resort (in The Arctic Circle city of Rovaniemi, Finland). Inside the two-meter-thick snow walls, the Polestar 2 is on display, with some of the vehicle’s details such as rims, suspensions and brakes crafted as ice sculptures by local artists. Designed by influential architect Alvar Aalto, and open to the public until Feb. 26, the space is inspired by Polestar’s minimalistic approach to design and resembles its global headquarters in Gothenburg, Sweden. Prob wouldn’t test out the heated seats at this pop up.

PRIME Soho Rooftop!

After seven (7) years, Google is cancelling their SoHo Perm Bulletin M-1062: Prince Street & West Broadway F/E, effective 4/17/2023. For those looking for incredible Soho placements (that are often far and few between) – here you go! M-1062 is truly right in the epicenter of SoHo, surrounded by the neighborhood’s characteristic shops, boutiques, restaurants, etc. This incredible illuminated display sits at the corner of two of SoHo’s most trafficked streets. It is in the heart of SoHo delivering impressive impact to some of New York’s trendiest people. Reach tourists, NYU students, and fashionistas with this stunning unit.