Future of OOH

Out-of-home

Recently, we have focused much of our attention on OOH advertising (AKA Out-Of-Home). This includes billboards, street furniture, transit, and alternatives. Out-Of-Home advertising is a fast growing industry. According to Brad Tully, President of Choice Media, OOH advertising is growing at an astonishing 8.2% increase per year. OOH advertising comes in second to Internet which is growing at a rate of 11% per year. More importantly, digital advertising is growing significantly. Digital advertising can be found in large cities such as Dallas, LA, New York, etc. Unfortunately, Amarillo does not allow digital advertising due to different regulations that the city has put in place. Personally, I believe that digital advertising could potentially be very successful in this area.

Creativity

OOH advertising intrigues me due to the abundant amount of creativity that can be done within this form of advertising. Large audiences can be reached and frequency is at an all time high. Also, the flexibility of creating an advertisement is endless.  According to an article on Ad Age, James Rubin discusses how brands are making out-of-home the entry point for consumer engagement. Their goal is to make these advertisements more engaging for the consumers. 

Targeting the Audience

Recently, TV and radio are having a difficult time knowing how to target an audience. With DVR and other programs, it is difficult for advertiser’s to find a way to reach their audience. With OOH advertising, driver’s do not have the option of fast forwarding a billboard. It will be very interest to see how this type of advertising will change in the upcoming years. I believe it will only become more successful and potentially by-pass Internet advertising.

The picture below is an interesting chart of how Digital Advertising has evolved.

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Keys to Success: 

According to the textbook, there are three keys to success when working in local media. The first, matching media with markets, focuses on the planner’s goal to find the perfect media match. Secondly, the local market profile, focuses creating a complete local market profile. This is a lengthy process but is worth it in the end. Finally, research on a local level, covers the research aspect. The planner will take information and judgement and combine into a plan that will be success for the client.

Local Media Sources:

There are many options for advertiser’s in this area to advertise their business or product. TV, magazines, newspapers, radio, internet, and out-of-home (billboards, bus benches, stadium signage, etc) summarizes the local media sources that can be used when targeting audiences. For example, Choice Media Advertising is a local business who focuses on billboards in areas such as Amarillo, Lubbock, Odessa, Midland, and Clovis. 

Local Market Analysis:

According to Amarillo Economic Development, there are many businesses that are considered the top employers in this local market. Bell Helicopter, Tyson Food, Hastings, Atmos Energy, and AT&T are just a few.

There are 5 different top industries according to AED.

Aviation/Aerospace, Business & Financial Services, Diversified Manufacturing, Transportation and Logistics, and Food Technologies.

Demographics and Psychographics

After surfing through the website, the local population has increased significantly. In 1990 the population was 196,144. In 2010 the population increased to 246,859. The male population from 1990 was estimated to be 94,442 and increased to 123,286 in 2010. The female population also increased. In 1990, the female population was 101,702 in 1990 and 123,573 in 2010. Race is heavily white with an overall increase in hispanics. Also marital status has changed over the years. Looking at the graph it appears that there are is an increase in divorces as well as marriages. The website also provides information regarding educational attainment. Unfortunately, grades K-8 is projected to have a decrease from 2010 to 2015. Fortunately, College Graduate degrees have increased at a percent of 45.90 from 1990-2000. Overall, I believe the local economy is growing in a positive direction. The population, marriage rates, and educational attainment are overall positive.

Connecting the market:

Out-of-home: Choice Media

Medium: Sakura

Advertiser: A billboard is usually successful when placed with food advertisements. Choice media can offer a billboard very close to the restaurant so individuals who drive see the billboard and are instantly drawn to this place. Also, a billboard is almost describes as a “point-of-purchase.” The billboard tells the audience exactly where the restaurant is.

Newspaper: Amarillo Globe News

Medium: Real Estate

Advertiser: Usually Real Estate companies have lengthy information to tell their target audiences. The newspaper is a successful way of telling audiences their message as well as sharing pictures of properties that may be for sale. The target audience will usually look in the paper for ads such as these.

Magazine: Amarillo Magazine

Medium: Bridal Company

Advertiser: The magazine is a perfect place to target a niche market. Because of this, the Bridal Company will be able to target their particular audience. Usually brides who are looking to get married search for ideas and ways to make their perfect day even better. The Amarillo Magazine is able to provide much information as well as pictures.

Radio: 93.1

Medium: Midnight Rodeo

Advertiser: 93.1 has a very niche audience and are able to provide short and quick information to their audience. The individuals who go to midnight rodeo usually are around the same age of the individuals who listen to 93.1. Although midnight rodeo may be targeted as a country bar, the “Piranha room” targets another crowd.

TV: KFDA Channel 10

Medium: Cake Company

Advertiser: Since the Cake Company is not targeting a niche market, they need to attract a large audiences. Channel 10 is the leading market share in Amarillo. This channel ensures that the ad will be watched by many different audiences and therefore is the best option for the Cake Company.

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Endless Advertising

According to the text book, there are three primary job functions when buying and selling media. Each are equally important and both the buyer and seller are in search of success.

  • Media Planning (How to translate the plan into a success)
  • Media Buying (Buying specific media that will effectively deliver to the audience)
  • Media Sales (Represent the media to the media buyers)

In class, we have focused much of our attention on the media buying aspect of advertising. Specifically, OOH advertising (AKA Out-Of-Home). This includes billboards, street furniture, transit, and alternatives. Out-Of-Home advertising is a fast growing industry. According to Brad Tully, President of Choice Media, OOH advertising is growing at an astonishing 8.2% increase per year. OOH advertising comes in second to Internet which is growing at a rate of 11% per year.

OOH advertising intrigues me due to the abundant amount of creativity that can be done within this form of advertising. Large audiences can be reached and frequency is at an all time high. Also, the flexibility of creating an advertisement is endless. Lamar Advertising Company is the nation’s leading outdoor advertising firm. Lamar offers a variety of OOH advertising which includes bulletins, posters, digital billboards, buses, and many more. As I surfed their homepage, I’m not surprised they are the leading advertising firm. Their billboards are each unique and creative.

I believe that OOH advertising is endless. Recently, TV and radio are having a difficult time knowing how to target an audience. With DVR and other programs, it is difficult for advertiser’s to find a way to reach their audience. With OOH advertising, driver’s do not have the option of fast forwarding a billboard. It will be very interest to see how this type of advertising will change in the upcoming years. I believe it will only become more successful and potentially by-pass Internet advertising.

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Media Math

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Did I just read math?

Media math? Yes, these two terms do correlate with each other. According to the text book, most companies hire media agencies, manufacturers, researchers, and advertising agencies. Within these roles, one must know how to deal with numbers and know how to look at data and know what you are seeing. Believe it or not we are surrounded around math. Knowing how and what to calculate within the company is imperative. Also, knowing how to analyze the target analyses, geographic, analyses, and scheduling analyses is a must.

Is media all measured the same?

No, each medium is different in how it delivers an audience and so each medium is measured in a different way. According to Nielsen’s homepage, they are defined as a tracking company that views behavior down to the second, revealing detailed programming and commercial engagement which aides in helping clients create precise cross-platform plans. American Idol is the prime broadcast for the week of January 21, 2013. Here is a continued list of other popular TV shows. I was very surprised to see that American Idol had topped the two spots with a 9.3 rating and a 8.8 rating. My main question is where is the Bachelor on this list? No acceptable. Anyways, it’s interesting to see the changes in the ratings. Each week, the ratings fluctuate. That is why it is very important to research the audience, geographic, and scheduling analyses. A company will be unsuccessful if they choose not to do their math.

How Nielsen works?

This is an interesting video how Nielsen works as a company and their way of sampling each household. It’s amazing to see how precise they can be while targeting each individual family. Who knows what they will be able to do in 10, 15, or even 5 years.