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Mobility and consumption of outdoor media increased tremendously after the end of the state of emergency, and there is a great number of advertising professionals that believe that DOOH advertising will grow in the coming years. DOOH is any advertising that can be found out-of-home in digital form, purchased through an automated software platform, rather than through traditional media buying processes.

Programmatic DOOH (pDOOH) allows establishing the target audience, the environments in which ads will be projected and other important conditions for a campaign, such as time, weather conditions, etc. With the right conditions, the operation is executed automatically and the ad is displayed on the corresponding digital screen.

For example, as reported by eMarketer, “Campbells Soup” advertiser launched a successful pDOOH campaign in the US based on temperature; they specified that their ads should only run when the temperature dropped below a certain point to increase the appeal of their product to potential customers.

Below is a simplified illustration of the programmatic supply chain:

Source: PwC&IAB Report: Growing Programmatic DOOH: Opportunities and Challenges U.S. and Canada August 2019

Artificial intelligence platform Alfi conducted a survey among advertising executives in which 61% of respondents said that digital outside advertising is a perfect fit for new forms of interaction between consumers and advertisers. “Consumers are particularly willing to interact with digital outside advertising when its content is interesting and relevant,” said Paul Pereira, CEO of Alfi.

According to The Neuron, by 2022, pDOOH will account for almost 14.8% of DOOH spending compared to 3.2% in 2019, a percentage increase of almost five times in just three years. In the graph below we can see DOOH in first place, as per a report by Magna regarding the long-term forecast by format:

Source: MAGNA’s global forecast update in DECEMBER of 2020; the CAGR averages the growth rates between 2022-2025 (4 years of growth).

What Programmatic DOOH Can Offer as a Media Buyer

  1. Flexibility

Programmatic pricing models are flexible and offer brands the chance to increase or decrease advertising costs, adjust campaign parameters or even stop campaigns altogether in response to external changes, in real time.

  1. Additional visibility though directed DOOH

In addition to targeting according to location, specifications can be given to show the ad on specific dates, days of the week, under certain weather conditions, or when foot traffic exceeds a certain number. This means that ads are only shown when there is a receptive audience.

  1. Real time metrics and reports

DOOH’s programmatic demand platforms provide the opportunity to react to metrics in real time. Thus, a data-driven approach can be taken, as well as tailor DOOH advertising campaigns for optimal success.

Finding a reliable programmatic DOOH platform is essential for any campaign to work. Currently, Hivestack is officially the world’s largest programmatic DOOH organisation. NewCom Horizons has an agreement with them whereby they are our official programmatic partner, so for any further information, or if you would like a demo, please contact us.

Recently, Hivestack helped Mazda drive traffic to its dealerships to increase sales conversions. Through the implementation of a bespoke campaign surrounding custom audiences using anonymous mobile IDs, contextual creative and brand metrics, activation increased by 30% in footfall and there was an increase in future purchase.