A message from FEPE President Antonio Vincenti
I would like to wish each and every one of you a very Happy New Year.
We are living through exceptional times in our industry; many new things are happening every single day.Technology and OOH are coming together as never before, and we are benefitting from a wide array of innovations that are immediately adopted by our developers and suppliers. These, in turn, enable new state of the art solutions for us to better conquer the public space, and provide intelligent and dynamic engagement opportunities, while offering useful services such a Wi-Fi and relevant content.
This momentum is also evident through the number of mergers and acquisitions we are witnessing across the six continents. We hear of a fresh announcement almost every week.
Globally, OOH is vibrant. It is constantly moving forward. Our industry today has many reliable and authoritative voices, each of which spreads instantly, and on a daily basis, essential information to our stakeholders at large. I refer here to the DailyDOOH, Digital Signage Pulse, ooh-tv.fr and others. In addition we are ably supported by the hugely successful FEPE newsletter, as well as a wide network of national association newsletters such as the must-read OAAA Outlook and others. I would like to thank all the people behind these invaluable outlets for the buzz and visibility they bring to our industry, and for the information and education they continue to provide.
Our association has another very active year ahead. We are in the midst of preparations for our annual congress that will take place in Barcelona between 1st – 3rd June. We are also in the process of repositioning FEPE to ensure it better serves its members, grow our share and advocate for our industry. For this we commissioned Charlie Makin to produce a research document on ‘The Future Direction and Goals of FEPE International’, with a very clear brief on what our vision and goals should be for the next five years.
I’d like to add my personal thanks and gratitude to our Executive Director John Ellery, General Secretary Mark Flys, and Marketing Manager Richard Saturley for their ongoing commitment and passion.
Finally, my very best wishes to you, your families and your teams for a prosperous 2016.
57th FEPE Congress, Barcelona
The link to the 57th FEPE Congress booking form, (which will be held between Wednesday June 1st and Friday June 3rd 2016 at the Crowne Plaza Hotel, Fira Center, Barcelona) will be available on the FEPE homepage in the next day or two (we are doing final testing!)
However, if you wish to contact us directly, we are ready to begin taking manual reservations now.
Full details of the Congress will be in next week's newsletter
Italy: Francesco Villa – Obituary
Just before Christmas, FEPE was saddened to hear of the death of Mr Francesco Villa, a previous President of our organisation and our honorary lifetime Chairman.
Mr Villa attended our Milan Congress, where he gave the introductory speech on the second day and also entertained us all with stories of his career and the early days of FEPE.
Even in retirement he still took a close interest in our activities and was regularly logging into our member’s area of the FEPE website to update himself on industry matters as recently as last October!
Francesco Villa was born in Ascot, Great Britain in 1926.
In 1934 he arrived in Italy, the country of his parents. After the end of the war he emigrated to South Africa where he spent six years working at a cosmetics firm.
He spent three years as Sales Promotion Manager of the Coca-Cola Export Company. After leaving Coca-Cola he joined a company called IGP (now part of JCDecaux) where he spent 20 years of his life.
He had the first contact with FEPE in 1966 and in the late seventies was elected President. In 1980 he left IGP to set up his own Company A.S.P.E which modernised the manufacturing of panels for advertising on the outside of buses.
He also developed an interest in the production of advertising materials for out-of-home, firstly with a U.S. Company called Manufacture & Design, and in 1990 joining a small French start-up as a minority partner that has now grown to be a leading manufacturer of advertising displays and advertising material.
That small start-up is now Prismaflex International, a leading member and Platinum Sponsor of FEPE.
We send our condolences to Mr Villa’s family and to our friends at Prismaflex, who we know will also be saddened by his loss.
UK: New Scientist Teams Up with JCDecaux to Get the Nation to #LiveSmarter this January
Making a healthy start to the year can always be a challenge, but JCDecaux and New Scientist have teamed up to give a little helping hand.
To help people make a positive start to the New Year, leading science publication New Scientist and the UK’s number one Out-of-Home advertising company, JCDecaux, have partnered to bring some healthy tips to those out and about this January.
New Scientist will be sharing its top 20 tips, taken from its research stories, to help us all live better in 2016.
Bite-sized information on topics such as diet, exercise, brain training, relationships and technology will be deployed across JCDecaux’s digital channel nationwide along with the hashtag #LiveSmarter.
New Scientist will run additional content, including the original articles and features on newscientist.com/livesmarter, as well as on its social media pages.
It will also be producing mini versions of New Scientist to hand out free at stations across the UK at the end of January, with a subscription offer for print and digital access.
Catherine de Lange, Biomedical Features Editor, New Scientist, said:
“This time of year can be a minefield for those wanting to make a healthy start. Firstly, there’s so much conflicting, and often unreliable, health advice in the media. On top of which we are bombarded with products that promise to detox and retune our bodies - often with no scientific evidence and a hefty price tag.
“New Scientist prides itself on our unbiased, objective journalism, which helps our readers pick through the evidence and equip themselves with the real information they need to make smarter decisions about their health and their lives. Through this partnership with JCDecaux, we hope to share just a few surprising insights from some of our recent stories to an even wider audience. Of course, behind each one lies a bigger story, but these take-home messages should be food for thought, and help even more of us live a little smarter in 2016.”
Janet Guest, Editorial Director, JCDecaux UK, said:
“JCDecaux’s digital channel reaches 50% of the UK population, giving us a great opportunity to bring relevant editorial content to people out and about in cities. We’ve teamed up with New Scientist to bring content to our screens that is in tune with what our audiences will be thinking about in January - how we can all live a little smarter in 2016.”
The campaign will be running across JCDecaux’s digital Mall and Rail formats from January 1st 2016 until 31st January 2016.
Switzerland: APG|SGA wins contract from the city of Zurich's real estate office and expands its product range in Switzerland's biggest city.
Following a tender process, the city of Zurich's real estate office has awarded APG|SGA the exclusive rights to display commercial posters on its land with effect from 1 January 2017.
The city council recently approved this decision. Up to now, the 219 spaces on the real estate office's fiscal land have been managed and marketed by Switzerland's two largest out-of-home advertising companies.
The city of Zurich has chosen APG|SGA as the sole provider to market its advertising spaces on the fiscal land belonging to the real estate office. Back in July 2015, APG|SGA also won the tender for analogue and digital advertising media at the city's ShopVille shopping centre, also managed by the real estate office. As well as the rental price, the key criteria for the 219 spaces also included the provider's capability and environmental commitment. APG|SGA submitted the best bid overall.
"We put in a financially sound offer, as the spaces are an ideal addition to our portfolio", says Beat Holenstein, Head of Partner and Product Management.
"We also think it is very positive that a city like Zurich integrated the out-of-home advertising companies' quality, sustainability aspects and environmental commitment into the key criteria. We hope that this approach will send a signal to other towns and cities."
The 219 spaces include all the usual standard formats such as F12, F200 and F200L.
In addition, the contract contains some special formats, for example the two MegaPosters at the exit to ShopVille at Zurich's main station. APG|SGA and the city of Zurich's real estate office are also examining the possibility
UK: Why out-of-home advertising must resist adblocking schadenfreude
Shaun Gregory, CEO at Exterion Media
Adblocking has been a hot topic of late, following news that the Apple iOS 9 edition of Safari includes support for content blocking apps that strip out advertising from the web while you browse. Apple has now started removing some adblockers from its App Store after they raced to the top of the download charts.
Blocking ads is controversial, but becoming more and more prevalent as consumer fears over privacy rise. UK adblocking grew by 82 per cent to reach 12 million active users in 12 months up to June 2015, according to the 2015 AdBlocking Report. There are now 198 million active adblock users around the world and the practice was estimated to cost publishers nearly $22 billion during 2015.
Although adblocking on desktop is nothing new, blocking banners, pre-rolls and native advertising on mobile, where ad revenues are currently growing steeply could be a big blow to the mobile sector. At 94 per cent, London has the highest penetration of smartphones in the UK, according to Exterion Media’s online urban community work.shop.play., and the proliferation of smartphone devices has allowed brands unparalleled access to consumers on the move.
The exponential growth of mobile ad spend shows no signs of slowing – mobile ad spend is set to overtake desktop by the end of 2015, according to Marin Software – but if things take a turn for the worse, brands and media agencies may look to branch out when it comes to finding new, effective ways to gain access to the mobile consumer.
Digital Out-of-Home (DOOH) media owners are increasingly able to provide access to this mobile consumer.
The industry has a lot to offer when it comes to reaching a mobile audience. Thanks to advancements in the use of data and technology, both targeting and accountability in DOOH have drastically improved. And DOOH is now responsible for a quarter of all UK OOH spend, according to the Outsmart, with UK DOOH sites set to grow more than 40 per cent between now and 2020, according to Kinetic Worldwide.
Out-of-Home doesn’t need ad blocking. The ads are already ‘fine-tuned’ as they’re leveraged from data to deliver guaranteed engagement. These iconic OOH experiences change the very fabric of what consumers see every day, with more targeted and engaging content – especially where consumers don’t expect it. Utilising technology and data is the natural next step for the industry as a whole and as we all continue to innovate, the speed of those changes will just accelerate.
We recently partnered with Telefónica UK to transform the data insights we are able to offer our advertisers. Telefónica UK has collected audience data from across its mobile network of 24 million O2 devices. It processes relevant big data events created by a selection of these devices, then analyses the trends within the data to understand more about consumer behaviour.
We have found the benefits of intelligently mining this data invaluable. It enables us to facilitate campaigns that engage people and transform ordinary journeys into extraordinary experiences.
Moreover, in June, we equipped 500 London buses with beacon technology. Developed in collaboration with international mobile proximity marketing company Proxama, the solution uses Bluetooth Low Energy beacon technology to send targeted in-app messages to commuters’ mobile devices. This followed a successful six month beacon trial on 110 buses in Norwich, which saw 30 per cent of users clicking through from receipt of notification.
Mobile advertising is becoming more complex, but whatever the fallout from the rise of adblocking, DOOH is now more than capable of providing that increasingly important, screen-based mobile audience to advertisers.
Spain: H.I.G. Capital Acquires Two Spanish Outdoor Advertising Companies: Impursa and Sistemas e Imagen Publicitaria
The acquisition will create the largest independent group in this sector in the Iberian region
H.I.G. Europe, the European arm of global private equity firm H.I.G. Capital, announced today that it has established the largest independent outdoor advertising group in the Iberian region through the simultaneous acquisition of two outdoor advertising companies, Impursa S.A.U. ("Impursa") and Sistemas e Imagen Publicitaria S.A. ("Sistemas"), leaders in the outdoor furniture and large-format billboard segments.
This is H.I.G.’s 14th transaction in Spain in the last 3 years. The objective of the transaction is to integrate both companies to create the largest independent outdoor advertising group by combining its geographic coverage and the experience of its managers and teams, as well as increasing the value proposition that the group offers to its clients. Both companies collectively hold over 15,000 advertising faces across the Iberian region.
Each firm boasts over 20 years' experience in the advertising sector and around 100 employees. This acquisition represents the first stage of an ambitious consolidation plan for the outdoor advertising market in the region, a sector in which H.I.G. Capital is already present in other markets, such as Brazil, through its portfolio company Eletromidia.
Jaime Bergel, Managing Director, H.I.G. Europe in Spain, stated: “This investment is a clear indication of H.I.G.’s ability to execute complex transactions and our commitment to the Iberian region. We are delighted to partner with the Impursa and Sistemas team and offer our experience and resources to support their business plans and drive their growth in the advertising sector."
UK: Research Uncovers New Effectiveness Indicators in OOH
A major econometric study of effectiveness in Out of Home has revealed how advertisers can increase return on investment (ROI) in Out of Home media, particularly through campaigns that effectively balance classic and digital OOH.
Conducted by BrandScience, the Omnicom econometrics and data science business, the detailed analysis of over 200 OOH advertising campaigns provided evidence of the effectiveness of OOH and demonstrated the medium’s value in delivering profitability.
The study is the first to use econometrics to demonstrate that using digital OOH can drive additional ROI to campaigns.
Key findings include:
- Increasing investment in OOH as part of the communications mix drives ROI for advertisers
- Media channels consistently improve ROI across individual categories when OOH is included in the mix
- Dropping OOH from a campaign can lead to a reduced campaign effectiveness
- Cost-effective tactical OOH campaigns can be very effective at boosting total campaign ROI
- The optimal proportion of digital OOH (as a total of the OOH budget) is around 45%.
BrandScience analysed the optimal proportion of digital OOH as part of a campaign’s overall OOH budget and makes recommendations for advertisers on how to maximise ROI when combining digital and classic OOH as part of a wider media mix.
BrandScience and Omnicom now plan to use data from the study to recommend budget levels for all media channels.
Sally Dickerson, Global CEO at BrandScience, comments “We can clearly measure Out of Home effectively and we have proved that a slightly increased Out of Home spend – in many cases – delivers higher ROI.”
Nick Mawditt, Director of Insight and Marketing at Talon adds “This is a great example of the industry coming together to look objectively at how Out of Home works for brands. Not only have we a clearer idea of how it works, we know that digital Out of Home works hard in driving the right message in the right context to complement classic Out of Home messaging – the first real insight of its kind.”
The research was conducted by BrandScience in 2015 using 211 advertising campaigns from 2012-2015, using Route data and spanning brands across the FMCG, travel, technology, finance, charity, grocery and retail sectors.
USA: Goodbye Pay Phones, Hello LinkNYC
New York City: Your future is calling. Free Wi-Fi kiosks are replacing old pay phones.
The first, at 15th Street and Third Avenue, is being unveiled today and will be switched on in a few weeks. The plan calls for a total of 7,500 throughout the city.
“This is going to be the fastest and largest free municipal network in the world,” said Colin O'Donnell, the chief technology officer for CityBridge. The technology group is partnering with the city on the project, LinkNYC, which comes at no cost to taxpayers.
The 9-and-a-half-foot slabs look like fancy mall directories. But they're actually hubs for superfast Wi-Fi that officials say will reach up to 400 feet — or about a block and a half — and operate at speeds 100 times faster than other public Wi-Fi networks. They'll include built-in tablet computers, a 911 button, and phone chargers. You can use them to call anywhere in the U.S. for free.
They'll also have large ads to cover the costs, and O'Donnell expects there will be money left over for the company and the city. CityBridge invested $200 million in the project, and is promising New York $500 million over the course of its 12-year contract.
The idea was born under Mayor Bloomberg. But the de Blasio Administration says it fits perfectly with their mission to reduce inequality.
"With the incredible high speed, people are going to be able to go there and download their homework, research an apartment, find a job at any time," said Anne Roest, Commissioner of the city's Department of Information, Technology and Telecommunication.
The new kiosks do have their critics. Some worry about private information flowing out over public Wi-Fi. Others want to know why Manhattan is getting it first. But officials say the network will be as safe as any public Wi-Fi network; people can opt for encryption. And they say it will be in the Bronx within weeks, and all five boroughs by summer.
USA: Lamar in advanced talks to buy Clear Channel Outdoor assets: sources
Lamar Advertising Co is in advanced talks to buy billboard assets in five U.S. cities from Clear Channel Outdoor Holdings Inc (CCO.N) worth roughly $450 million, according to people familiar with the matter.
Lamar is close to a deal to purchase Clear Channel Outdoor's billboard assets in Cleveland, Des Moines, Memphis, Reno and Seattle, the sources said this week, cautioning that negotiations have not been finalized.
The sources asked not to be identified because the sale process is confidential. Clear Channel Outdoor did not immediately respond to a request for comment. Lamar declined to comment.
Clear Channel Outdoor also plans to sell $350 million to $400 million of billboard assets in other markets to other buyers such as privately held billboard companies Total Outdoor and Reagan Outdoor, according to one source. The assets would be sold one by one and not to one buyer, the source added.
Clear Channel Outdoor would sell the assets to pay off some of the $20.6 billion in debt held by its parent company, iHeartMedia, which was taken private in 2008 by buyout firms Bain Capital LLC and Thomas H. Lee Partners for $19 billion,
Billboards are holding their own with local audiences and advertisers even as attention slips away from regional advertising, such local newspapers facing circulation declines or television commercials that viewers increasingly are able to skip.
About 90 percent of Clear Channel Outdoor is owned by iHeartMedia. The rest is publicly traded, with a market capitalization of about $2.03 billion.
Based in Baton Rouge, Louisiana, Lamar has a market capitalization of $5.82 billion and is one of the largest outdoor advertising companies in North America, with more than 318,000 displays across the United States, Canada and Puerto Rico, according to its website.
USA: OOH: Poised for another strong year
Sixth straight year of growth thanks to unique way it reaches people
Of all traditional media, out of home is best positioned to thrive over the long term.
It held up well through the recession. But even more critically, it’s posted gains amidst the rise of digital advertising that’s become a real threat to other traditional media, including print, radio and, most recently, television.
That’s because there’s no other media option that can take the place of out of home.
People can read newspaper articles on their iPads, listen to music on Spotify, and watch TV shows through their Rokus.
But there’s no substitute for an ad on the side of a bus or a billboard alongside a highway. These formats may be digitized, but they’re still at their core OOH, and their unique ability to reach people on the go will continue to drive ad spending in 2016.
Media Life expects a 4 to 6 percent gain in advertising dollars this year, based on conversations with and input from media buyers and media analysts. This will mark the sixth straight year of gains for OOH, something no other traditional media can claim.
Over the next few years, OOH’s share of total ad spending will also likely rise, as shares for other traditional media, such as print and television, shrink.
This is thanks in large part to strong growth in digital out of home advertising, which has been tracking in the double digits.
For example, the number of digital billboards and screens at malls and doctor’s offices have exploded. The ability to swap advertisers in and out with the push of the button has increased the availability of inventory, and these channels can also be sold programmatically, another important factor in future growth.
Meanwhile, advertisers clamoring for better-targeted ads based on big data will also turn to OOH as measurement improves.
TAB recently introduced a new measurement program that will incorporate more of that big data. Measurement has long been seen as a weakness for OOH, and it has a ways to go in this area. But buyers are encouraged by the progress they’ve seen in recent years.
Finally, out of home has won over the very top advertisers. McDonald’s, Geico and Verizon, all among the top 100 overall advertisers, led spending on OOH in 2014, and they continued to invest heavily in 2015, despite pulling back on other media.
Full article here
USA: 13 Brilliant Outdoor Ads That Dazzled the Real World in 2015
We've looked at the year's 10 best commercials. Now, it's time to head outside and check out some of 2015's best out-of-home work.
Below, we've collected 13 campaigns that used their real-world setting to great effect, giving extra dimension to the brands (and in several cases, the causes) they promoted.
See the full article here
Brazil: Brazil's Eletromidia expanding DOOH reach
H.I.G. Capital LLC, a global private equity investment firm, announced that its portfolio company Eletromidia S.A. has completed strategic investments in Brazilian firms DMS Publicidade Mídia Interativa Ltda. and Telefónica On The Spot Soluções Digitais Do Brasil Ltda. DMS and TOTS operate out-of-home and digital out-of-home advertising in the subway systems of Rio de Janeiro and São Paulo, respectively.
These transactions are intended to expand the reach and depth of Eletromidia’s out-of-home advertising network, the announcement said.
Fernando Marques Oliveira, managing director and head of H.I.G. Brasil and Latin America, said, "These acquisitions are important steps in Eletromidia’s expansion plans. We are excited to support the management team and future development of the company."
Founded in 2011, DMS operates and commercializes static and digital signage media in the subway system of Rio de Janeiro. In addition, DMS is implementing a new out-of-home project in the subway system of Salvador.
TOTS is a subsidiary of Grupo Telefónica focusing on DOOH advertising networks in Brazil. TOTS’ current network encompasses the subway system of São Paulo and more than 1,500 screens in commercial establishments such as gyms, bars, restaurants and coffee shops across Brazil.
Canada: Cogeco sells Metromedia division to Bell Media for undisclosed price
Cogeco Inc. says its radio subsidiary has sold its Metromedia advertising division to Bell Media, owner of Astral Out of Home. Cogeco Metromedia specializes in the public transit sector, with traditional and digital ad placements in Montreal Metro stations, on city buses, commercial parking lots and other locations.
Cogeco declined to provide the sale price, but said it purchased the operations in 2011 for $41-million. Richard Lachance, head of the radio group, said the advertising signage industry has undergone big changes in recent years with the arrival of major players.
He pointed to Quebecor Media and Bell, which grew with the acquisition of Astral. Consolidation in the so-called out-of-home advertising sector leaves little opportunity for future growth, he added in an interview.
While he said Cogeco Metromedia has been “positive and profitable,” the company plans to focus on strengthening its radio segment.
Australia: QMS Media Limited Chooses BroadSign International, LLC for its DOOH Network in Asia Pacific
Network converts Australian displays and deploys new screens in New Zealand and Indonesia.
QMS Media Limited, a leading outdoor media company in the Asia Pacific region, has chosen BroadSign International, LLC’s DOOH platform to power its advertising network.
The conversion of QMS Media’s 28 large format digital displays in Australia has already taken place, while the installation of small format displays in Bali’s Ngurah Rai International Airport is underway. A project across rail, ferry and bus station terminals owned by Auckland Transport is in planning and development.
“We selected BroadSign upon a competitive comparison of digital signage software providers,” said Steve Bovey, General Manager Operations at QMS Media. “Our clients are eager to use dynamic content in customized campaigns based on a range of conditions and BroadSign delivers the ability and flexibility to do just that.”
QMS Media runs a purely ad-based network, with six to eight slots per loop depending on the display’s location and format, ranging from 2 square meters indoor to over 15 square meters in large format outdoor environments. Customers include Vodafone, Peugeot, Calvin Klein and McDonald’s.
“QMS Media is a rapidly growing leader in Australia’s out-of-home advertising industry, and can rely on the BroadSign platform to ensure its network efficiently scales in size and satisfies the high performance expectations of advertisers,” said Skip Beloff, Vice President of Sales at BroadSign. “We are excited to support such a partner in its APAC based initiatives.”
Nigeria: Effective outdoor regulation is money spinner for states
In this interview with David Audu, the former Director General of Oyo State Signage and Advertisement Agency, OYSAA, and Managing Director, First Class Productions Limited, identified proper outdoor regulation as internally generated revenue, IGR, gold mine for states, if its opportunities are carefully explored.
Excerpts: What would you say attracted you to the outdoor business?
I must confess that I was actually attracted into outdoor when I saw the way a company called Media Link Limited was practicing then. The way that company was practicing outdoor actually attracted me. The company was innovative, and don’t forget they also came unto the outdoor scene relatively new; I saw that they brought lot of innovation into the outdoor business, and so, I was attracted and I told myself I want to be part of this young, dynamic and innovative team I joined the company and was with them for close to seven years. I was employed as senior billboard executive, then rose to the position of outdoor manager, and later became the commercial manager. From there I became the first General Manager of the company.
Everything went on fine but like every human endeavour, there comes a time you need to move forward. So in 1995, I set up my own company called Royal Communications limited. I was the MD/ CEO of Royal Communications till 2011 when somebody spot me, the then Governor-Elect of Oyo state, Senator Abiola Ajimobi. He brought me into a committee set up then to look into how to midwife his own government into action. I was part of the 30 wise men put together. We worked for about two months in 2011. By the time we were through we came up with a 268 page blue print and the governor appreciated our efforts by appointing some of us from that committee into his cabinet and I happen to be one of them.
I was given the position of pioneer Director General of OYSAA. I was there for three years and I thanked God for what we were able to achieve. Honestly, before we came in the outdoor life of Oyo State was in total disarray, it was in a very bad shape.
How bad was it then? Having seen what happened to outdoor landscape in Lagos, how would you compare the two states?
Even when I was in Lagos doing my business I come home regularly because am an indigene of Oyo State, and by virtue of my position in the Outdoor Advertising Association of Nigeria, OAAN, of which I was the 1st Vice President and also doubled as the chairman of the south west committee, we have reasons to visit all the states in the south west part of Nigeria to see how the outdoor business was being practiced. So, we had opportunity to know how the outdoor business was in all the states.
At that time we came to a conclusion that one day somebody must be able to correct all the anomalies in the outdoor industry in this part of the country. And in all of our visits, we discovered that a lot of quacks were into the business. We discovered that a lot of people not registered by the regulatory body, the Advertising Practitioners Council of Nigeria, APCON, and also who were not members of the OAAN, which is the sectoral group responsible for Outdoor in Nigeria, were doing the business but the way they were doing it leaves much to be desired. They were not keeping to the rules. In every sector you have your rules and guidelines but they were not keeping it. They just thought it was an all comer’s affairs; they just put up structure indiscriminately everywhere. They were robbing Peter to pay Paul. They were taking money from advertisers, innocent advertisers; some of them will not even display the materials for a period of time after collecting money from them. And, unfortunately, those who were aggrieved have nowhere to report them. So, a lot of them suffered losses without having the confidence to complain. However, when it was time for me to come down to Oyo State we have to re-engineer and restructure the outdoor in Oyo State.
Full interview here
MIDDLE EAST NEWS
UAE: Outdoor advertising sector gaining steam across Mena
Outdoor advertising is gaining popularity across the Middle East and North Africa as international and local brands prefer to use this platform to promote consumer-driven products, according to an industry official.
Rehan Merchant, chief executive of Emirates Neon Group, or ENG, said the outdoor advertisement business noticed significant growth in the UAE after the announcement of Dubai’s successful bid to host World Expo 2020.
“In the past few years, outdoor advertising — predominantly the consumer-driven sectors such as retail, fast-moving consumer good and automobiles — have seen a significant rise in spend and soon will be followed by the real estate sector,” Merchant told Khaleej Times in an interview.
ENG is considered to be one of the top five main outdoor advertising companies in the UAE, with a market share of 11 per cent of the “out of home”, or OOH, advertising market. It has delivered a huge range of tailored signage projects, from small internal signages to large shop fronts and custom digital signages and media for outdoor advertising across the Middle East.
“We are actually the first company to bring the concept of outdoor advertising to the region; we have started this business in 1989, and since then we have continuously evolved. For the upcoming years, we will be focusing on digital technology for OOH advertising,” Merchant said.
“We currently hold 11 per cent of outdoor advertisement and are aiming to achieve 18 per cent of total market share,” he added.
To a question about the size of the outdoor ad market, he said concrete figures for 2014 are still to be determined, but it is on the rise due to a stable economy, strong recovery in the real estate sector and a boom in the tourism and hospitality industries.
Referring to valid sources on the latest predictions for regional patterns, he said general advertising spend could be in for a significant increase of 7.3 per cent this year on top of the 4.3 per cent gain in 2013.
“Advertising spend varies between local and International brands. International brands spend 14 per cent of their marketing budget on outdoor as per Pan Arab Studies & Research Company [Parc] 2013 figures, but as per our advertising monitoring department, it is 22 per cent, whereas local brands allocate 30 to 45 per cent of their budget to outdoor and in some cases could even go up to 65 per cent. This variation is due to the use of other marketing means by international organisations such as TV, radio, newspaper, etc, but local brands tend to focus more on outdoor,” he said.
About the new trends in outdoor advertising, he said the power of outdoor advertising has been observed, even well before the emergence of new digitally-based advertising platforms. “As part of a multimedia plan, outdoor ads can — and typically do — achieve broader engagement than any other medium.
I believe a well-designed outdoor ad reflects the brand identity to nearly everyone who sees it. We are focusing on large format sites as well as digital mediums which are gaining extreme popularity. “We have also been focusing on various campaigns using premium transit media such as taxis and mobile ad trucks. We have the option of 3D ads as well, which are mainly noticeable on Sheikh Zayed Road, which has been attracting attention the past few months.”
Full interview here
India: Rewind 2015: E-commerce sector gives impetus to OOH ad spends in 2015
In many ways 2015 was a landmark year for the advertising sector; as positivity about the economy increased, the outdoor industry reaped the benefits of this optimism.
The year started off on a positive note for the outdoor advertising sector with many expecting it to deliver on its inherent potential. However, it has still been a mixed bag, said industry experts we spoke to, despite the strong start and a good festive period. “2015 has been moderately good for the industry. E-commerce has been the biggest spender along with government campaigns. 2016 is being projected as year of advertising, as overall positive market sentiment is becoming a reality.
However, the government policies should increase spending and positive sentiment in corporates and overall growth in advertising spend across sectors,” said Rajiv Saxena, MD of Blue Ocean Media. 2015 was also important for steps taken by the industry body in solving various issues that the sector faces, particularly in audience measurement. Though these are still nascent steps and the impact will take some time to be seen, OOH professionals have welcomed the signs of progress.
OOH agencies welcome IOAA decision to expand membership
From a business perspective, the outdoor industry had reason to cheer as the rise of the e-commerce sector gave an impetus to ad spends. A spokesperson for TDI agreed the year started with a positive trend and in a receptive mood from many of the advertisers.
“Government and PSUs also started looking at promoting various divisions and thus Q1 started with an upward curve in the growth. This sustained till about mid Q2, but didn’t last much. E-commerce emerged as the major spender in OOH initially and they were slowing shifting their spends towards digital and print platforms. The case was similar with other big spenders as well when comparing their ad spends of Q1 versus Q3,” he told us.
Full article here