Connected devices & frictionless commerce - ways digital will transform the OOH industry in 2015

by: on 06 January 2015

Ben Milne, head of innovation at Posterscope, outlines what's in store for the next 12 months

  • "Recent results show a 200 per cent increase in terms of ad awareness, purchase consideration and online searches when OOH is planned using mobile data."
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  • Ben Milne, head of innovation, Posterscope

 

The last couple of years have seen the out-of-home (OOH) industry evolve more rapidly than ever before, but 2015 is set to be the industry’s most transformative year yet. An ever expanding network of digital inventory and increasingly sophisticated targeting technologies are enabling advertisers to increase both campaign efficiency and effectiveness, reaching their audiences in creative and engaging new ways. Here are five predictions for what 2015 holds for OOH advertisers:

£1 out of every £3 in out-of-home will be on digital

Sustained and significant multi-million pound investment by media owners over the last five years has driven significant digitisation of the OOH medium. Digital screens can now be found across almost every OOH environment and most formats. Posterscope’s consumer study, OCS 6, revealed 88 per cent of adults nationally claim to notice digital out-of-home (DOOH) advertising. Recent investment has focused on accelerating digitisation of the medium outside London, making the UK a world leader in DOOH. This will result in increased advertiser spend pushing DOOH past the one third share of total OOH spend in 2015 for the first time.

Real-time OOH gets real with increased adoption by advertisers

Activating campaigns or adapting creative in real-time ensures greater impact and relevance to audiences. This is welcomed by consumers with 59 per cent of Londoners believing real-time DOOH makes brands more innovative and up-to-date, according to OCS 6. Events, market intelligence or numerous sources of data, from weather to sales to social activity and more can be used to trigger the activation of a DOOH ad. Likewise, highly engaging creative executions can be crafted from real-time data and content sources with automation and moderation integrated.

Both of these real-time approaches will increase in popularity in 2015 with fully automated real time OOH trading platforms emerging that allow advertisers to buy and serve adverts only when a set of conditions are met at scale.

Mobile behaviour data will increasingly inform OOH planning

The UK consumer in 2015 will own at least four connected devices. Increasingly this will include wearable and internet of things (IOT) devices. These connected devices will produce progressively more granular data about people’s behaviour out of the home. Recent results show a 200 per cent increase in terms of ad awareness, purchase consideration and online searches when OOH is planned using mobile data. Posterscope’s unique partnership with EE supplies anonymised and aggregated group level network usage data, which provides an understanding of location-based mobile behaviours and hotspots in relation to OOH sites. This data is incorporated into the Posterscope ‘Planner’ app.

Analysis of new location-based data sets such as mobile & social will continue to uncover previously unknown value in specific OOH locations.

Brands will take an increasingly ‘location first’ approach to cross-channel planning

From a macro perspective, geographies will be increasingly aligned in the planning process across OOH, TV, display, search, mobile and other channels. At a hyper-local level this means consideration of physical inventory such as proximity OOH and also digital location-based opportunities such as geo-fenced mobile display, targeted SMS, Facebook local ads and others.

‘Location first’ thinking will become an essential skill in constructing integrated cross-channel campaigns.

OOH media becomes point of sale for the mobile mall

Today’s consumers can browse and buy at speed and the online shops are always with you wherever you go. M-commerce is ever increasing, evidenced by mobile purchases growing by a third year-on-year on 2014’s Black Friday and Cyber Monday. To make the most of this behaviour brands will need to make a greater effort to prompt and influence this purchase behaviour. At the same time the whole process is becoming more frictionless with solutions such as Apple Pay and Amazon Firefly reducing the number of clicks involved.

OOH is fast becoming point of sale for the mobile mall and using data from partners such as EE it is becoming even easier to find the right times and places to influence this behaviour.

Of course, these predictions are just the tip of the iceberg. We’ll also see advances in OOH accountability, increasing amounts of content served via DOOH screens and a growing focus on furnishing consumers with experiences via multiple channels. The industry is at an incredibly exciting moment in its history, and 2015 will see it become an even more important consideration for advertisers.