You are on page 1of 28

Out-of-Home

Media
Advertising
Presented by,
Ankit Singh
Mayank Chaturvedi
Sandeep Yadav
I think that I shall never see
A billboard lovely as a tree.
Perhaps, unless the billboards fall,
I'll never see a tree at all.

~Ogden Nash,
"Song of the Open Road," 1933
Overview
• As the Indian consumer is bombarded with 1,00,000 advertisements
a day on more than 250 channels, outdoor advertising has shown
promise to break the clutter of advertising on traditional mediums.

• Out-of-home advertising or outdoor advertising

• Out of home advertising is focused on marketing to consumers when


they are "on the go" in public places, in transit, waiting (such as in a
medical office), and/or in specific commercial locations (such as in
a retail venue).

• Billboard advertising is a traditional out of home advertising format


Types
• Digital Out Of Home – DOOH : dynamic media distributed
across placed-based networks in venues including but not
limited to cafes, bars, restaurants, health clubs, colleges,
arenas and public spaces.(Mc Donalds)
Ex. screens, kiosks, jukeboxes and/or jumbotrons
• Non-Digital Out Of Home : media distributed across physical
spaces
Ex. Bulletin, Bus Advertising, Mobile Billboard , Poster etc.
Live examples for DOOH
Examples For NDOOH
Billboards
• Billboard formats can reach today's highly mobile consumer
audience with high-impact, strategic positioning and market-
to-market coverage.
• One of the new innovations in the area of billboards is the I-
Board
Street Furniture
• Many street furniture displays are located near shopping and
commerce centers, these outdoor products provide a last
reminder for consumers, just moments before a potential
purchase decision is made. It makes street furniture
advertising ideal for brand recognition near a point-of-
purchase.
Consumers’ on-the-go
• Transit products such as displays that reach people traveling -
by plane, train or automobile, bus or cab, and on foot offer
extremely targeted outdoor messaging  solutions. They are
visible at all hours, with particular strength during rush hour.
Alternative Outdoor
Media – The New Twist
• A whole new field of advertising formats has emerged in OOH
media to impact  consumers head-on during the course of daily
activities.
• Alternative outdoor media can cover a market far and wide or
provide synergies with locations strategically placed around a
town.
Regulatory Bodies
• Outdoor Advertising Convention: Ever since 2005, every
year in October more than 400 delegates from all spheres
of the Outdoor Media space gather in Bombay to discuss
and address relevant issues of the business. There are
eminent speakers from the government as well as the
agencies.
• Indian Outdoor Advertising Association (IOAA): On Sep
29th, 2007, leading Out-of-Home companies came together
to form IOAA. The founding members were Selvel
Advertising,Jagran Engage, Times Innovative Media Ltd,
Clear Channel, Prakash Arts and Laqshya Media.
The Agency

Advertising Media OOH


Company/
Agency
Client Agency Agency
• Client-OOH Agency: This is the case when the client i.e. the
company only consults the Out-Of-Home agency. The company
can design the media plan internally, and approach the OOH
agency just to buy space, or it can approach the agency to
design the Out-Of-Home aspect of the company’s media plan.
 
• Client-Media Agency-OOH Agency: The Company has its
advertising plan in place. It only approaches the Media Buying
and Selling agency to plan its media placements. The Media
agency in turn buys space from the OOH agency, as per the
media plan.
 
• Client-Ad Agency-Media Agency-OOH Agency: This process
involves maximum number of parties. The advertising agency
details out the strategy for the client. In cases where the
advertising agency does not have an in-house media
buying/selling agency, it approaches an external media agency
which in turn buys space from an OOH agency.

• Client-Ad Agency-OOH Agency: In this situation, the ad agency


decides the advertising strategy in line with the client’s
marketing strategy. It plans aspects like media and
communications placements as well, often through an in-house
media agency, and then approaches an OOH agency to simply
buy space.
Industry Size
In year 2010 the Out-Of-Home is expected to grow to 17,500
million with a compounded average growth rate of 14%.
 

Outdoor as % of ad spend , 2009

15.50%

11.20% 11.50%

6.50% 6.70%
6.00%
5.30% 5.30%

3.30% 3.50% 3.30%

USA Australia Singapur India UK South Korea Japan Switzerland N America World Europe
Projected Growth of Out-Of Home
Advertising Industry
• The Indian outdoor advertising industry has been thoroughly
invaded by small players who largely possess, control and
directly market these media sites.
• Very few organized players such as Times OOH, Clear
Channel, Selvel, Vantage, Pioneer, Portland and Lakshya
• For the OOH industry to grow some level of research and
development is necessary
Factors Driving the
Growth of OOH Media
• Increasing ad-spends
• Clutter on traditional media
• Increasing working population
• Aptness in Rural Marketing
• Local Advertising:Outdoor media is a lot cheaper as
compared to traditional media. Therefore, for local
companies who are not looking at advertising on a national
level, this proves to be the perfect choice.
Advantages of OOH
• Innovativeness : Today, OOH media is not just about
plain hoardings trying to catch attention but being innovative
in terms of commercials used, display made and the way the
hoardings and panels execute.
• Coverage
• Impact
Challenges to the
Growth of OOH
Government Regulations
• The billboards and hoardings have been seen as a nuisance by
the authorities. The Delhi government is considering banning
the media, and in Bombay, the number of hoardings is strictly
restricted
Case
• An Advertising Age report in 2005 estimated the bid for
prestigious Two Times Square as much as $ 350,000 (Rs 1.75
crore) per month. Obviously this comparison is unfair to the
Indian context but, India’s most expensive location at the Patel
Bridge in Mumbai used to rake in Rs 22.5 ($ 45000) per
month at an average of Rs 7.5 lakhs for 10 days cycle only for
morning site.
•  Now comparisons apart, in a recent auction the
morning/evening combo property has a new owner with three
year tenure. The bid amount of Rs 15.3 has conferred
the ownership by Times OOH.
• The bids by other players were;

• Today the average rental of any OOH location has gone up by 25-
40% depending upon the site and part of the year it is bought in. All
good properties have registered a growth of 40- 100% in last couple
of years. In the long run, these numbers are going to go up.
Bibliography
• Book : Belch , Belch & Purani, Advertising and
Promotion,Tata McGraw Hill Edition,2010, Pg.535-543
• Wikipedia : http://
en.wikipedia.org/wiki/Out-of-home_advertising
Advertising is legalized lying.
-H. G. Well
s

You might also like