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University American College Skopje

School of Business
Skopje

Toni Ivanoski, BA

Outdoor
AN OPEN CONVERSATION
A Master’s Thesis on the Phenomenon “Outdoor Advertising“

Mentor: Prof. Dr. Nada Sekulovska

Skopje, September 2007


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Creative outdoor advertising pictures, taken from site www. Ffickr.com

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Outdoor
AN OPEN CONVERSATION
A Master’s Thesis on the Phenomenon “Outdoor Advertising”

By Toni Ivanoski

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Abstract

This thesis, articulate an analysis, theory and research of

why, choosing the outdoor advertising. It will examine how the paid

form of no personal presentation and promotion, outdoor spaces

have impacted businesses and communications, how can create

revenue and greatly boost the spread of information, how the

outdoor places add richness to the media landscape, how it works

and what the future of the Outdoor advertising may be.

Increasing the traffic usage means the business will increase

emphasis on outdoor advertising. The people stay home less and are

on the road more, on the ways to their homes, to their workplaces, on

the way where they are going to drink their coffee and anywhere.

The enormous message is better communication, received

any time of the year, 30 days per month, 7 days per week and 24

hours per day. The outdoor advertising is the most successful

medium in using the reach for adult population. It enables people to

see the picture of the potential, or build brands.

Choosing it, you are selecting the most cost-effective and

the high-impact advertising medium available, that grabs the

attention of potential customers. Build the brand and find out why is

the best, - THE OUTDOOR MEDIA.

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THESIS READERS

………………………..

………………………..

………………………...

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Outdoor
AN OPEN CONVERSATION
A Master’s Thesis on the Phenomenon “Outdoor Advertising”

By Toni Ivanoski
BA Agricultural science and food, 2005

THESIS

Submitted in partial fulfillment of the requirements for the Master degree of General
Management with sub major Marketing Management in the University American
College Skopje

June, 2007

Approved:__________________

Date: __________________

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TABLE OF CONTENTS

Abstract…. …. …. …. …. …. …. …. …. …. …. …. …. …. …. … 5

Thesis Readers …. …. …. …. …. …. …. …. …. …. …. …. …… 6

Table of Contents …. …. …. …. …. …. …. …. …. …. …. …. … 9

Chapter 1: INTRODUCTION … …. …. …. …. …. …. …. …. ….. 12

History, today and expect from the future … …. … .... 12

Why Outdoor Advertising ……………………… …… … 17

Objectives, Goals and Purposes …. …. …. …. …. …. .... 18

Chapter 2: THE ADVERTISING COMMUNICATION, THE

ROLE OF INFORMATION AND PERSUASION …. 20

Outdoor Advertising Communication …. …. … ….. …. 20

Role of Information … .. …. …. …. …. …. … …. …. …. 23

Persuasion in Advertising Communication … …. …. ... 25

Chapter 3: THE MANAGEMENT OF

OUTDOOR ADVERTISING… …. …. …. … … … 28

Market Structures for Outdoor Advertising … … … ..... 28

Outdoor Advertising Functions and Processes … …. … 31

Budgeting the Outdoor Advertising .. …. … …. . … …. 34

Outdoor Advertising Strategy … …. …. …. … … … …. 38

- Advertising Agency … ….. ….. ….. ….. … … ….. … .. 39

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- Advertising Agency Organization …. …. …. …. …. .. 41

- Principles of OA Agency with Client relationship … 45

- Outdoor Advertising Agency Compensation … … … 45

- Advertising Plan and Strategy … … …. … …. …. … . 46

Pricing Strategies …. …. …. … …. … …. …. …. …. … …. ... 49

- Setting the Price…. …. … …. …. … … …. … …. … …... 50

- Adjustment the Price ….. … … … … … … …. … …. … 51

Selling Outdoor Advertising Space …. …. … …. ….. …. ... 53

Chapter 4: THE OUTDOOR ADVERTISING PRODUCTS … . 57

Outdoor Media …. … …. …. …. … …. …. … …. … …. ... 57

Stationary Billboards …. …. …. .. …. . …. … …. …. …. .. 59

Rolling Billboard ….. …. …. …. …. …. …. … …. …. … … 62

Big Board Advertising …... …. … … …. …. … …. … … .. 63

Wallscape Advertising .. …. …. ….. …. ….. ….. …. ….. … 64

- Vertical Format …. … …. … …. …. … …. …. … …. …. 65

- Mega Format …. …. … …. … … …. … … …. … … … . 65

- TV Format .. …. … …. .… … … … … …. … … … … … 66

Prizma Billboard … …. …. … …. …. …. …. … …. …. …. . 67

Digital Advertising … …. …. … …. … …. … …. … …. …. 68

Roof Top Signage Advertising ….. … …. … …. … …. … . 69

City Light and Mega Light Advertising …. …. … …. … .. 70

Mall Advertising … … … … …. … .… … .. … … … … … . 72

Mobile Advertising … …. …. … ….. …. … …. …. … …. .. 73

- Mobile Billboards …. …. …. …. ….. ….. ….. ….. …. .. 74

Taxi Advertising … …. ….. …. ….. ….. …. …. …. …. …. .. 75

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Transit Advertising and Bus Advertising…. … …. … ….. 76

Inflatable Advertising …. …. … … …. … … …. … … ….. 77

Other Creative Outdoor Advertisements…. …. … …. …. 77

Chapter 5: ANALYSING THE OA …. … … …. …. .… …… ….. . 81

Market Research and Research Customer Behavior …. … 83

- Focus Group Research …. ….. … … … … .. .. .. …. …. . 85

- The customer behavior …. …. …. …. …. …. …. …. …. 87

- Brain Activity Research … …. … … …. … … … …. …. 87

Analyzing the Outdoor Advertising in Macedonia …. …. 89

Analyses for the best positioning ad in Skopje City …. .. 92

OA Agencies in Macedonia and their types of ads … ….. 93

Effects from the OA in Macedonia … …. …. …. … …. …. 94

CONCLUSION ….. …. …. …. … …. … …. … …. … …. …. .. 99

\ ENDNOTES …. … …. …. …. …. …. … …. …. …. …. …. …. 103

BIBLIOGRAPHY …. …. …. …. … …. … … … … …. … … .. 107

GLOSSARY ….. …. …. …. …. …. …. …. …. … …. …. …. …. 108

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Chapter 1:

INTRODUCTION

History, today and expect from the future of the


Outdoor Advertising

The outdoor advertising is a proven feature of the modern economic

life. The outdoor advertising is the oldest form of advertising and is inflection

point in the unfolding history of mass communication. Trace its lineage to the

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earliest civilizations. By writing or drawing on walls has been since, the very

origins of human civilization. The Egyptians, 5000 thousands years ago, were

using the tall stone obelisk for publicizing and announcing the treaties and the

laws. In 1440 was invented movable type printing in moderate sense for the first

time. It was created by the German goldsmith Johannes Gutenberg with hand

press, in which the ink was rolled over the raised surfaces of moveable hand-set

block letters, held within a wooden form then pressed against a sheet of paper.

In 1796 the lithographic process came in perfected form and the

illustrated poster became a reality. Mass communication was laborious, time

consuming and naturally expensive before the invention of printing. Just few

locations where traffic was heavy, were in order to be offered and to be taken, to

exposure a message for a period of time. The powerful and only privileged

classes had a chance for maintaining the control, over this technology. The

formats and the other features have changed. That brings, keeps and answers

the given questions why the outdoor is still life and is still here.

In 1894 was founded the R.C. Maxwell Company by Robert

Chester Maxwell. For the first time when the railroads became primary means of

travel and commerce and Mr. Maxwell built the “billboards”. The first biggest

mega board was built, constructed and designed in 1926, by the Maxwell

Company (see figure 1.1).

Today, the advertising on “out of home” places is used as a space

with original news, features and latest trends with new technology. The best

and different creative kind of works, researches, new campaigns where anyone

can feel it, see it and learn about the consumer became reality. It is great

information from the players of the outdoor advertising industry which is

rapidly evolving and with more scope in terms of application of the new

innovation or new technologies. It includes global, national or local news,

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features of new design products and all new trends about and for the

companies.

Figure 1.1_____________________The first biggest mega board

Figure (1.1)source: www.wikipedia.com/outdoor advertising - Steeplechase Pier at Pennsylvania Avenue and Boardwalk in Atlantic

City finishing in a burst of gold and white before fading out to begin again.

Today the people are using different kind of signage and different

kind of solutions for advertising, especially in the outdoor view. The most

favorable and one of the most used kinds of advertising today are: billboards,

big boards, mega boards, rooftop signage, outdoor lighted signs, flags, bus

shelters, notices, placards, posters, mega light, city light, wall panel (see figure

1.2) and etc.

Assessing the perspective for this concept is to be moderate, always in

for the design, installation, placements and service of landscape and

architectural illuminating systems. The beauty, safety and security are common

buyer motivators. What the company hopes to accomplish from the placed

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advertisement, should be clear, concise, precise, and can help to measure the

success at the end of the campaign. The expectation from the successful

campaign is to increase the product salary, the brand awareness and changing

the consumer attitudes.

Figure 1.2_____________________ Example for Wall Panel

2006 Sofia, Bulgari advertising wall panel (source: “Radea Marketing Agency, Bulgaria”)

In 2000 the United States was the leading advertising market in the

world with total advertising spending of $147.1 billion. Japan ranked second

with $39.7 billion, followed by Germany with $20.7 billion, the United Kingdom

with $16.5 billion, and France with $10.7 billion. This article deals primarily

with advertising practices in Canada and the United States.¹

The future of Outdoor Advertising is indeed bright. The great strides

have been made in the development of panels, screens and other formats with

high technology. The need for effective mass outdoor media is growing

increasingly in the whole worldwide. ² More people are spending their time out

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of their homes and that’s why the Outdoor Advertising is the most perfect

medium in conjunction with on line with degree of 99% revisited.

Digital and scrolling technology transformed the industry from hand-

painted boards and replaced by computer-painted outdoor advertising formats.

Outdoor companies will offer an increasingly diverse selection of advertising

formats.

All out of home media suffer expansion and their revenues are rapidly

increasing. The Outdoor Advertising Association of America (OAAS) analyzed

the revenue the previous 15 years in USA. (See figure 1.3) It is expecting the next

years to increase more the revenue and the outdoor advertising to be more

presented on public and private places.

Figure 1.3_________________Facts and Figures for revenue of OA in USA

Source: the site at http://www.oaaa.org/outdoor/facts/.

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Why Outdoor Advertising

The Outdoor Advertising (OA) contains many good reasons why a

business is advertising: ³

- To create awareness, desire and customer interest;

- To build and maintain brand loyalty;

- To launch a new OA product;

- To build a brand image and build company’s name;

- To change clients attitudes;

- To remind the clients and the customers;

- To offset competitor advertising;

- To support the sales force;

Whatever and wherever is advertised, it is important that the message is:

- Seen;

- Read;

- Believed;

- Remembered;

- Action upon by target customers.

Several advantages are enjoyed by outdoor advertising: ⁴

- Flexibility - OA can create a national saturation campaign or to high spot

in selected markets or even in parts of markets.

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- High Frequency – The continuous presence and constant exposure is

producing frequency level unmatched by any other media.

- Total Reach – OA enables broad coverage and target market reach. It is

the most effectively visible media exposed to any person out of home.

- A mobile audience - The consumer views the outdoor advertising in move

and many will be potential buyers within a short time after viewing the

advertisement.

- Relative absence of competing advertisements – Outdoor advertisements

stand alone and are not subject to the competition of other messages.

- Impact – Outdoor is BIG, BOLD and COLORFUL media.

- Repeat exposure – It is great opportunity for repeating the exposure,

cause it is the only media which can be seen at the same place and the

same time. A unit of a sale reaches over 80% of all adults in the market

the first week. At the end of the month 89,2% of the adults will have seen

the message an average of 31 times.⁵

Objectives, Goals and Purposes

The objective of the campaigns from offered places for outdoor

advertising is to increase the awareness for all products, at everyday market

place. The new marketing campaign has an objective, to inspire the potential

clients and investors with all viewed signage. With the clear point of view, any

advertising agency will progress, even on the road full of barriers.

It is a unique communication task, where the target is accomplished

with a specific audience. OA can be found in Outdoor form differentiates from

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the other important forms in the advertising. OA can be seen and in other

important help for communication using some of specific forms such as:

1. Informative OA, with generating a good reputation and carried out on

informative manner;

2. Persuasive OA, which can increase the brand awareness and the demand;

3. Reminder OA, in which the advertising company’s are supposed to remind

their clients;

4. Specialty advertising, found in a form of sales promotion, designed for

increasing the public recognition and the company’s name. ⁶

The goals for every advertising agency are to increase the sales. But the

people are asking themselves how to do it. Exist steps following to understand

the entry: first and most important, is to gain the consumer attention. After the

visibility and the view, people start with receiving the message or information

and the Brand Awareness is mostly increasing. Connecting with the consumers

on emotional level, must be mentioned if the implementation desire is to have

an easy entry on the market and sales to be increased. Increase the probability of

keeping the current customers and developing their loyalty. Attracting the

competitor’s customers is also very important idea in achieving the goal in the

outdoor advertising agency. Advertising realize the goals, when they are

developed to meet a certain specific goal at a time.

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Chapter 2:

THE ADVERTISING COMMUNICATION, THE

ROLE OF INFORMATION AND PERSUASION

Outdoor Advertising Communication

The consumers may accept the messages which are interesting. If we

want to interest the consumer, the message must be stronger, have more noise

and be different then the others.¹ The people can remember around 25% form

the seen and heard, because they don’t have interest for the propagated

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message.² The OA companies use the advertising communication and it is a

mean in which they inform, persuade and remind the client customers about the

products and brand they sell. It describes the process of sharing meaning by

transmitting messages through media such as words, behavior or material

artifacts. ³ The communication serves four major functions within a group or

organization: control, motivation, emotional expression and information. The

elements of communication process are: ⁴

1. The sender (the sender of the message);

2. Encoding (using the communication message in a symbolic form);

3. The message (what kind of communication is using);

4. The channel (the medium selected by the sender and traveling to the

receiver);

5. The receiver (the acceptor of the message);

6. Noise;

7. Feedback.

Despite this, must be use and other forms of Nonverbal

Communication: ⁵

1. Facial expressions;

2. Body language (body posture, clothing, cosmetics, hairstyles, etc.);

3. Body contact (touching);

4. Eye contact;

5. Color symbolism;

6. Paralanguage.

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Most of the OA companies use some internet tools as communication,

what can connect the people world wide. The point is that the linking via

internet the communication will be much closer, easier and always on-line. The

internet telephony in any OA office is important, as much as the office phone.

Negotiating is the most useful (face to face) tool in communication


and must be implement with several tactics fulfill with speech. It describes the

process of discussion between two or more parties, reaching a mutually

acceptable agreement. When you communicate, be concise. Be patient. Talk to

be understandable only about yourself about your company and about your job,

not for them and for the others. Conduct business personally, not by

correspondence or telephone. Communicate with clear point of view and listen

actively. Avoid all expressing doubts or criticism when other people are present.

Get to the point and adapt to the norms of flowery speech and the body

language. It can help you to have more knowledge, to have more information

about everything you need for and to become a better managerial leader. The

body language must be full with self-esteem, near to the public when is

necessary, and fulfill with gestures on the right place and right time.

I believe that if the people decide to advertise, they should advertise on

Outdoor media. Cause it speaks, talks, says on every language and it is the most

beautiful picture hanged on the wall, or the streets, fully of pleasure and

gorgeous.

Today the people are using some internet tools in the communication.

People use something, what can connect the people world wide, and can be

receive even in the mobile phones. All managers linked with the customers use

E-mail - Electronic Mail as the most important kind of communication.

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Role of Information

To carry out marketing analysis, planning, implementation and

control, managers need information. It is an input for marketing better decisions

and gives competitive advantage of strategic importance.⁶ Outdoor companies

obtain information every day and use information technology. It is their need,

because they are disseminating information every day and every minute.

A Marketing Information System (MIS) consist of people, equipment and

procedures to gather sort, analyze, evaluate and distribute needed, timely and

accurate information to marketing decision makers.⁷ The information needed by

marketing managers comes from internal company records, marketing

intelligence and marketing research.⁸ MIS distributes information gathered

from internal sources, marketing intelligence and marketing research to the

right managers at the right times.

Using the Information Technology (IT), the OA companies can better

the communication and send or receive more information. It is a need for

disseminating the information every day and every minute. The results are some

kind of communication between the drawing’s on the vinyl cloth or the paper

and the clients. Outdoor advertising is the most successful medium you can use

to reach the adult population. It can give us a big information of what is

advertising, what is maybe the cost, is it competitive the with the quality, what

is selling or even what is and who is on the screen! When you choose billboard

advertising, you're selecting the most cost-effective, high-impact advertising

medium available. Billboard advertising grabs the attention of potential

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customers. These guidelines will assure you that your investment gets you a

maximum return.

It is information, which has lower price than the other mediums and

still has better communication. It can speak the brand language of the

consumers. The Outdoor Advertising Company must design its marketing mix

to make prospects aware of and knowledgeable about its brand. If it fails to do

this, the OA Company has lost its opportunity to sell to the customer. Also this,

the company must learn and get information in which other brands customers

consider. ⁹

From the Out of home advertising the people can get the information 24

hour per day, 7 days of the week, 30 days of the month. It is a creative, colorful,

eye - catching ads and reach hundreds or thousands of people daily.

Perceiving the information from the people, consumers, potential

customers, means we’ve already identified the problems and we’ve already

found the indicators for the problem or the situation. For example, most of the

customers are thinking of getting the information from the advertising

magazines that are much better, than getting the information from the outdoor

advertising. Cheaper kind of advertising distinguishes the expensive ones and

the feedback is much different. Another example of identifying the problems

are the information of people thinks for advertising that is a waste of money.

There are a lot more of indicators for the problems but this kind of thinking can

teach us a lot.

Outdoor advertising is a source of information for all the people who

are going on their ways to their homes, on the way to their work place, on the

way where they are going to drink their coffee and see each other with their

friends. Currently they are still driving the cars and watching all the beauty

paint stuff, mega lighted, deep in the nights.

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From the out of home media, the consumers will get successful

information of the company which will advertise on. That information can help

in building the brand for the company because it is the only link between the

manufacturer and the consumer.

Persuasion in Advertising Communication

Sales people attempt to convince customers to purchase one product

rather than another. ¹⁰ Advertisers are creating desired images for the brand

names of the companies in expect someday to be purchased from them. The

outdoor advertising managers in order for better success and better approach to

the client sometimes is using types of promotions, coupons, rebates, samples,

price incentives and etc. Persuasive outdoor advertising attempts to increase the

demand of the advertising product. It is also a competitive type of promotion

suited to the growth stage and the early part of the maturity stage of the product

life cycle.

Persuasion is the essence of the marketing communication. ¹¹ The OA

managers attempt to guide people toward acceptances of their innovative

decisions, attitudes, beliefs for better advertising campaign. Advertisers use

many devices to attract attention. Message elements such as words, graphics and

design affect comprehension. ¹²

The information processing has five basic stages: ¹³

1. Exposure – It begins when the advertising message activate at least one

of the five senses.

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2. Attention – Attention is the cognitive process of selectively

concentrating on one thing. ¹⁴

3. Comprehension – The level of understanding the outdoor advertising

message.

4. Acceptance – refers to degree to which a stimulus influences a person’s

knowledge, beliefs and attitudes.

5. Retention – where the information is transferred into long – term

memory.

Six tools of influence tactics cut across persuasion practices: ¹⁵

1. Reciprocation – Where communicators give gifts or samples in hope

that the customers will reciprocate by purchasing product.

2. Commitment – Where the communicator commit with hope that the

consumer will continue to act in a manner consistent with this

commitment.

3. Social Proof - Where appropriate amount to give is unclear and than

may be contribute similar amount.

4. Liking - Where exist facts, attitudes, persons that are likely to be

adapted and the likable person promotes that action.

5. Authority – Where exist respectability for authority figures and to

exhibit a sense of duty toward them (politicians, directors and etc.)

6. Scarcity – Where things become more desirable when they are in great

demand but short supply.

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In the outdoor advertising, managers or account executives have to

negotiate. You have to convince the people. You have to be strong. Don’t give to

much information. Be concise. Communicate with clear point of view and listen

actively. Negotiate and use your technique to help you develop your approach

for problem solving. And again there is a need and always follow one rule:

accept much more information and give less information. It can help you to have

more knowledge, to have more information about everything you need for and

to become a better managerial leader.

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Chapter 3:

THE MANAGEMENT OF OUTDOOR

ADVERTISING

Market Structures for Outdoor Advertising

Market Structures, describes the state of a market with respect to

competition.¹ Market Structures follow the advertising strategies with giving

necessary platform for implementation. They are those company systems which

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may to allow marketing to be implemented through the marketing functions.

Marketing Structures have decisions that give the implementation framework

for the functions: ²

- The type of management system and organization that is using in the OA

company;

- The type of information and planning system that is using in the OA

company;

- The marketing channel structure that is using the OA company.

The market structure identifies and analyses how the market is made

up in terms of:

- The numbers of marketing and advertising companies that exist in

the country;

- The degree of the monopoly power each firm has;

- The degree in which the company influence on the price;

- Profit level and index;

- Pricing strategies, output levels and non-price competition;

- The extent of barriers to entry on the market place.

When you look at the real world examples, you have to focus on the

attitude of the company in relation to what the model forecast to be happen –

that gives the basis for evaluation and analysis of the real world situation. The

models are based on certain assumptions and in the real world some of them

may not be valid and that allows us to draw comparisons and contracts.

The OA is everyday confronting with the competition. It depend in

what kind of product from the OA, and as a part of economic sciences that

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describes the state of the market with respect to the competitor’s, can be found

major, market forms:

1. Perfect competition – where the market consists a large number of OA

companies. The product’s are homogenous (identical) and the consumer

has no reason to determine a preference for any company. The company’s

are price takers and do not have control over the price. With this form the

consumers and producers have perfect knowledge for the market.

2. Monopolistic competition – It is also called imperfect competition or

competitive market. Where the conditions of perfect competition do not

hold, imperfect competition is existing. This form consist large number of

independent companies and may have some element of control over the

price. They are able to differentiate the products from OA in some way

from their rivals. This competition embrace, mostly the marketing agents

from the OA company’s. The consumers and producers do not have

perfect knowledge of the market.

3. Oligopoly – It’s competition between the few, where the market

dominate by small number of OA companies which own more than 40%

of the market share. In this form are embracing the brand and the brand

loyalty as a potent source of competitive advantage. The Barriers are very

high for entry. The goods and the products can be homogenous or highly

differentiated.

4. Duopoly – is market structure where the market is dominated by two

large producers or companies. The price leadership from the two

companies may exist and the smaller company follows the price lead of

the larger one. The barriers for entry, when exist this kind of competition

form, are very high and they may be high interdependent.

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5. Monopoly – where only one OA company or producer exists on the

market. It is called pure monopoly, where only one company, dominates

the market. The monopoly power refers to cases where the companies

influence the market in some way through their behaviour. It can

influence on the price and output, erecting barriers to entry, encourages

unwanted entrants to the market, pricing strategies to prevent, etc. The

innovation may be high, in cause of high profits, and may encourage high

investment in research and development. The monopoly likes the

branding and advertising and always is on the high level.

Outdoor Advertising Functions and Process

Each OA company has a specific function. When one department

completed its work, it goes to the next department in the advertising process

until the OA campaign is completed. Advertising can perform five critical

communication functions: ³

1. Informing – Advertisement are informing the consumers about new

product or maybe to inform them to repeat the purchase;

2. Persuading – Advertisement is influencing and persuading the

potential customers to buy the product;

3. Reminding – Advertisement is reminding the customers to purchase the

product.

4. Adding Value – Offering the innovation, improving quality and

altering consumer perceptions.

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5. Assisting the Company Efforts – Assist the sales team, especially in

price deals from the advertised company, assist with the Promotional

tools and etc. ⁴

It is always important for the OA process to know and understand

how fits in and interacts with the surrounding environment on both internal

(in the marketing and advertising company) and external view (the outdoor

advertising business processes outside the world). The best and the most

influential way of doing it, is performing SWOT analysis (See Figure 1.3) It is a

phrase, where the Strength may provide an insight Business Opportunity and

phrase where the Weakness of the business can cause an Immediate Threat. ⁵ In

practice the OA agencies in Macedonia are performing the same tasks as the

responsible SWOT team in making the analysis. The SWOT team is an

independent adviser within the Outdoor Advertising and can give the advice

about the best possibilities of achieving the goals and offering good value for

money. They are advisors and decision makers with adding more than text and

fun ideas to the marketing.

SWOT is a strategic management tool and should be on of the first

steps in the preparation of a business plan, marketing plan and advertising

strategy. ⁶ The following is the SWOT analysis included in its marketing plan

for OA Company with their Internal and External attributes of the organization

and environment (See figure 3.1):

Strengths
– Good knowledge with improved quality about the system, process,

technology, operations, financing, marketing and etc.

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– Through the selling process and other processes the outdoor advertising

account executives and other employees are building the relationship

with the customers.

– Good and frequent locations.

– New innovative products and services.

Figure 3.1_______________Vertical MM_SWOT Analysis


Helpful Harmful
to achieve the to achieve the
objective objective

Strengths Weakness
Internal -
attributes - knowledge - Cost structure
of the - relationship
organization - Price

Opportunities Threats
External –
Attributes of - Internet - Computer and
the
environment - Training appliances
- Administration

Source: www.supermarketingmedia.com/swot_analysis

Weakness
- When costs of expenses for the advertisement are high.

- When can be afforded to sell for less the ad and low pricing.

- Damaged reputation.

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Opportunities
- Offering through the Internet areas can be strength the opportunity.

- Training the employees and yourself is more in demand for executing

all determined tasks.

- A new local market.

Threats
- Changing technology, services, low skilled IT employee can be threat in

processing the tasks on the computer and other appliances.

- It is typical for non developed countries to have low skilled

administration and too much corruption.

- New competitors on the market place.

- The Competitor offers new products and services.

A SWOT analysis is a process to identify where you are strong and

vulnerable and where you should defend and attack. SWOT Analysis is a

powerful technique for understanding your Strengths and Weaknesses, and for

looking at the Opportunities and Threats you face. It is the first stage of

planning and helps marketers to focus on key issues.

Running the business can be undermined by the unique – key

element – the ability for managing. Having the necessary resources and money

for starting a business may come in loosing any of the following “Tangible

losses”: productivity, sales, revenues, profitability and any of the “Intangible

losses” such as honesty, respect, hope and effort. The OA management process

is illustrated graphically in (See figure 3.2).

34
Before starting and managing the advertising business it is a need

for certainty of the successful demonstrated idea for the:

1. Need and lack for new OA product on the market place;

2. Ready market for receiving the new form of OA;

3. Abilities for ensuring solidly return on the investment from the

advertisement.

The OA campaigns are very important for the company and for the

organization, especially for those who wish domination on the market. Using

the real system of steps, lead to success in the competition. Good

organization can be improved by the plans with realization in the OA

campaigns.

Figure 3.2______________________________OA Management process

Advertising Strategy
 Setti ng Obj ecti ves
 For mulati ng Budgets
 Creati ng Ad Messages
 Selecti ng OA for m Strategy
I mple me nt ation

Assesing OA Effectivenss

Source: Terence A.Shimp, Sixth Edition, year 2003, Part Four, Chapter Eight, “Managing the Advertising Process” page 234-

235⁷³

35
The new offerings require considerably more advertising to make

customers aware of their existence. In the Outdoor Advertising is very

important the road of campaign realization. Developing the plan is the first

step in creating the necessary campaign for the companies. It must be

estimate all plans before creating the idea with visual and media effect. The

idea must contain all important and necessary innovative and creative claims

from the consumers. After finding the real creation and design, must be

estimate and calculate the budget as the most difficult task for all Outdoor

companies. Scheduling the campaign as another step is also very important

task. The companies must analyze what time, where, what media and other

important factors will be selected for the campaign. Finally the purpose

statement will describe the results for the past scheduled campaign.

Budgeting the Outdoor Advertising

It is one of the most important decision made by advertisers is the

advertising budget.⁷ The reasons for budgeting decisions underlay the

significance as expensive proposition because it is a need for purchasing

outdoor space and in the fact that with little money for campaign, the sales

volume will not achieve good profit. ⁸

The decisions made for budgeting in the outdoor advertising are very

complicated. The advertising budgets are obtaining larger result of

organizational political processes with various organization units. It is also,

complicate to forecast how effective future advertising might be. ⁹

36
Through all managing days or any time of year, marketing or

advertising companies are deciding the budget and it is mainly on the

disposable budget and the stage of the firm life cycle is shown in the diagram

(See Figure 3.4). ¹⁰ The budgeters must consider three factors when establishing

advertising budgets:

1. What is the objective that outdoor advertising is designed to accomplish;

2. The competitor activities about they spending in the outdoor advertising;

3. The amount of funds available for outdoor advertising.

Figure 3.4 ______________________Life Cycle of the Company

Flying Entertainment Decreasing


Increasing the sales High salary Decreasing the salary
High profit Delayed growth Profit decrease or
VALUE
Profit stability wastes

Opening

Low salary
Readiness and
Low increase
experienced
Low profit
company
or wastes

Constant salary
Constant profits
TIME

Source: Nigel Piercy, “Advertising Budgeting:Process and structure as Explanatory Variables”, Journal od Advertising,
Chapter 16, year 1987, page 113

37
Outdoor Advertising Strategy

The Outdoor Advertising Strategy is a section of the Marketing and

Advertising plan that the manager outlines the broad marketing strategy or

“game plan” for attaining the objectives. It is the logic by which the business

unit hopes to achieve the objectives. It should detail the market segments on

which the company will focus. The OA Company should put its efforts into

those market segments it can best serve from a competitive point of view. ¹¹

The Outdoor Advertising Strategy must be developed for each

marketing segments: ¹²

- Marketing mix – using the marketing mix elements for each target

market such as: the new OA products, prices, discounts and etc. The

manager should explain how each strategy responds to the threats and

opportunities and critical issues.

- Action programmes – must be followed the questions: what will be done

with the eventually situated ad, when will be situated, who will be

responsible and what is the cost.

- Budgets – The manager is obliged to make support that is essentially a

projected profit and loss statement. The budget is the basis for materials

buying, production scheduling, personal planning and marketing

operations.

- Controls -The higher management review the results of each period and

to define everything that are not meeting the goals.

38
- Implementation – is the process when marketing plans and strategies

turns into marketing actions, to accomplish strategic marketing

objectives.

Advertising Agency
Outdoor Advertising can be divided into two broad categories:

consumer advertising and trade advertising. Consumer advertising is directed at

the public. Trade advertising is directed at wholesalers or distributors who

resell to the public. When the OA organization knows where it belongs than

can start with the planning internally. ¹³

Advertisers have three alternative ways to perform the advertising

function: ¹⁴

1. In – House Advertising Operation – When the companies are using their

advertising responsibilities and use the Outdoor Space mostly, from the

private buildings.

2. Full – Service Advertising Agencies – When the OA Companies perform

research, provide creative services, conduct media planning and buying

and undertake a variety of client services. They can be involved and in all

advertising processes (sales promotions, strategic planning, forecasting,

publicity and etc.

3. A la Carte – When the agencies perform all advertising and related

functions and the advertisers may recruit the service of a variety of firms

with professional work of media selection, production, research, creative

work and etc.

39
The Advertising Agencies must examine the competitors. They must

take the detailed notes on when, where and how often they advertise and

analyze them. If they are successful, they are doing the right kind of advertising

in the right place at the right time. When the determination from the notes of

when, where and how they advertise will be complete, it is time for starting

with contacting on the same or very similar way. Determine the frequency with

the wanted way of advertising as a use. Finally, develop the budget, necessary

for all activities.

The OA organizations are making the business and media planning in

which my opinion is that they are interlinked and inseparable. A business plan

makes the analysis especially from the best factors, while the media plan has a

lot to do with the SWOT factor and it depends on how the competition ranking

the pricing policy and the position availability.

The key element of a successful Outdoor Advertising Agency is

knowledge of the organization’s customers and their likes, dislikes and their

expectations. OA is an investment in the business for expectations to improve

and expand the business.

The most important component of all advertising parts is the

management part. Managing means something more, than desire to be the boss.

The management sets the foundation for and facilitates the success of an

organization. It also involves the research for the organization’s target markets

and developing the messages for communicating with the audience. Public

relations and media strategies are the ones who promote the organization with

increasing awareness about what the organization’s offers.

Other component of the outdoor advertising agency involves

conducting a financial assessment of the organization with setting up realistic

operating budget as well as identifying and implementing the policy for leading

40
and ensuring the financial obligations. It explores the potential accounting

systems and inventory control systems and leading to the financial projections

with ensuring long-term success and sustainability.

In creating an advertising campaigns by the Outdoor Advertising

agencies must be followed and realized four steps showed on the table (See

figure 3.5) ¹⁵

Figure 3.5 _____The Four steps for creating campaign

1 Development the promotion

2 Placing the advertising

3 Carrying and monitoring the OA campaign

4 Estimation the efficiently and effectiveness from


the OA campaign
Source from: Karachidiaries.blogspk.com/2005/09/23/advertising-campaigns-for-the-
intellectually-disabled

Advertising Agency Organization


Most full-service outdoor advertising agencies are organized by

several functions, lead by the management of the Outdoor Organization. The

outdoor advertising organization is responsible for all functions within the

company and contains many departments which perform the tasks and duties of

the OA Company (see figure 3.6).

The managers are those who run the businesses. Marketing,

advertising, promotions, PR and sales managers work close to the top managers.

The objective for any outdoor advertising company is to fulfill the empty places

with a capture of reality and to make profit. In small firms, the owner or chief

executive officer (CEO) might assume all responsibilities. In large companies,

41
which offer a lot of services, an executive manager manage in marketing,

advertising, promotions, PR and sales managers work. They coordinate the

market research, sales, pricing, advertising, marketing strategy, promotions and

PR activities. Usually in small companies managers may serve as liaisons

between their advertising company and the companies which want to build

their brands. In large companies, the advertising managers oversee and monitor

in account, creative and media services departments.

Figure 3.6 __________Organization Chart for OA Company

CEO

Executive PR
Manager

Account Finance Creative and Media Commercial


Department Department Service Department Department
Department

Copyrighter Promotion Marketing


Chief managers and Managers and
Media Planners Commercialist

Design
Chief

Art Director

Source from: Vertical MM Outdoor Advertising Agency, Macedonia

42
The account executive manager – manages with the account service department

and he is the contact for the agency for clients that hire themselves for services.

He directs the preparation of the advertising strategy, deciding how and to

whom the service and the product will be presented, assigns priorities, reviews,

oversees the budget, assesses the need for advertising and maintains the

accounts of the clients. He manages with the account managers.

- Financial officer – manages with the financial risks and he is responsible

for the financial planning, financial reporting to higher management. The

(Chief Financial Officer) CFO must be close to the CEO for reporting the

final results and the analysis made from the financial statements of the

firm.

- The creative director – manages in the creative services department. He

monitors the copyrighter chief, design chief and art director. He overlooks

the design of branding and advertising the clients, ensuring new

brandings and advertising to fit in with client requirements. The

copywriter is the person who writes the OA message. The design chief is

the person for finding creative ways for delivering the message. Art

director is the person who oversees the design of the ad.

- Media director – manages with the media planners department and

oversees the group, which is responsible for all outdoor advertising

media and signs. The media planner wants to reach the largest possible

percentage of the target audience. To accomplish that goal, the media

planner must employ the media that have audiences closely resembling

the target audience.

43
- Promotions manager - manages with the promotion specialists. Promotion

programs may use any kind of OA communication: billboards, big boards

mega boards, etc.

- Marketing manager – manages with the marketing management team

developing the company’s marketing strategy. They estimate and assess

the demand for locations and services from the clients identifying the

potential markets. They develop the pricing strategy for maximizing the

profits and market share.

- PR manager – manage with the PR specialist. It is communication and

must be close to the CEO and company executives. It’s helping and

always making the efforts to establish and maintain a company’s image

with the public. Helps in the liaisons between the organization and the

public, mutually each other. They observe social, political and economic

trends that might affect the company. They assist company executives in

drafting speeches, arranging interviews, responding the request for any

information approved by the company executives or other forms of public

contacts.

- Sales managers – manages with the commercial or the sales department.

The commercials are everyday runners for potential customers ensuring

long term contracts. They assign sales territories and set the goals. Sales

managers maintain the contacts between the clients and the companies.

The professional sales managers must have excellent knowledge for the

products and services, the products from the competition and the market.

All employees in the OA Agency must:

- know the mission and follows the goals and the responsibility;

- be trustworthy, give positive energy, be prestigious, and don’t late;

44
- be informed, always ready for research, with good organizing teams,

- take the time with looking and acting satisfied.

The management team in OA Companies, combined with a select

group of media-solution providers, is committed to helping firms in the

advertising industry, to use their technology strategically to increase their

profits and grow their businesses.

Principles of OA Agency with Client Relationship


Four basic principles are established to serve as the foundation of the

Outdoor Advertising Agency – Client relationship: Client approval of

expenditures, client obligation for payment, forwarding of cash discounts and

the major issue avoidance of a relationship with competitors. ¹⁶

Outdoor Advertising Agency Compensation


Exist three basic methods by which clients compensate agencies for

services: ¹⁷

1. The commission system – commissionable media in that the agency is

paid by percentage systems when it place an order for time or space. The

commission is usually 15%.

2. Labor-based fee system – compensation only by a fee based on costs

plus an appropriate markup, with all commissions. It involves price

negotiations between advertisers and agencies and is based on mutual

agreement concerning the worth of the services (lawyers, consultants). ¹⁸

45
3. Outcome based programs – it is the newest approach and involves

compensation system whereby negotiates a base fee with its agencies to

cover all cost of services provided and offers incentive payments tied to

brand performance goals. It is based on a percentage of sales that the

client obtains. The percent in this compensation system may decline or

increase. ¹⁹

Advertising Plan and Strategy


The first step in creating efficient and effective outdoor advertising

messages is to decide what general message will be communicated to

consumers. An outdoor advertising strategy is campaign which is developed to

communicate ideas about the products and services to potential customers in the

desire of convincing them to buy the products and services. The most outdoor

advertising strategies are focusing on achieving three general goals: ²⁰

1. promote awareness of the business and its product or services;

2. stimulate the sales directly and attract the competitors customers;

3. establish or modify a business' image. In other words, advertising seeks

to inform, persuade, and remind the consumer.

Advertising strategy is what the advertisers say about the brand being

advertised. Formulating the advertising strategy requires that the advertiser and

its agency follow process with five step program: ²¹

46
1. Specifying the key fact – Identifies why the consumers are not

purchasing the outdoor product;

2. Stating the Primary Marketing Problem – three problems can occur:

an image problem, competitive problem and the perception

problem);

3. State the Communication Objective – how to persuade the potential

consumers and what effect the advertising is intended to have on

the target market;

4. Implement the Creative Strategy – sometime called copy platform or

copy strategy and forms the basis on which the art director and

copyrighter work to create the actual advertisement to be used in a

campaign; ²²

5. Establish Mandatory Requirements – Relatively technical and

uncreative. It reminds the advertiser to include the logo, slogan,

standard tag line and etc.

If the Outdoor advertising companies, want to be successful must be

creative and keep the customers. It can be done by providing better value for the

customer than the competition. The strategic planning involves decision-making

about production and operations, finance, HRM, etc. It has an objective to set

the direction of a business to provide the products and services to meet the

overall business objectives. ²³ The OA has a key role to play in the strategic

planning, because it is a link between the environment and the business. .

OA Strategy offers an overview of the necessary information to

identify the elements of the OA advertising mix, to determine appropriate OA

objectives and to select the types and PR tools for implementation. With other

47
words, details the procedures for creating an OA campaign, the types of OA

Strategies and the steps of the selling process.

Many companies are trying to make strategic changes for its

positioning on the market as advertising services in which the clients will

understand better the difference of the competitors. In the previous couple of

years the customers from the OA companies, have changed a lot and the

companies must accommodate on the new market require. Objectives, strategies,

and tactics (i.e. programs or action plans) - these are the parts of a solid strategic

marketing plan. Objective defines the big picture, strategies provide the

framework, and tactics fill in the details. ²⁴ Tactics are where the action takes

place - these are the things you will do, to bring your plans to life and "work"

your marketing mix.

Advertising strategy determines the target market, choosing how and

where to position the product, deciding how the market will accept it, creating

reason why the customers should outdoor advertise and developing a consistent

message with focusing for the advertising business. Strategy objectives include

identifying, motivating, communicating. ²⁵

The solutions that are made about how to take an OA product to the

client also affect marketing strategies related to:

1. The pricing;

2 The format and quality of the advertisement;

3. Promotions and campaigns.

After considering the determination, it can show that a profit

maximizing company set the outdoor advertising on level when the marginal

48
revenue from OA, is equal to the ordinary elasticity of the demand for the

companies products.

Exist and other alternative styles or forms of creative advertising that are

in wide use: Unique selling proposition strategy, brand image strategy,

resonance, emotional, generic and preemptive.

Pricing Strategies

Outdoor Advertising can be cost-efficient and an effective way for

entrepreneurs to spread the sentence for their products and services. Companies

spent a lot of money in advertising and OA is on the rise all over the world.

Price is the one element of the marketing mix that produces revenue. The other

elements produce costs. They are perhaps the easiest element from the

marketing program that can adjust. It also communicates to the market. ²⁶ The

price is everywhere. We are paying for mobile phones, materials, equipments

and etc. The companies are pricing on a variety of ways. It depends of size of the

company. If it is a small company the pricing is regulate by the boss. When the

company is larger, can be use management team responsible for pricing and

authorized for creating the pricing strategies. ²⁷

We consider three key topics in understanding the consumer

perception of prices:

1. Reference prices (see figure 6.1) – consumers often compare it to

internal reference price (pricing information from memory) and external

reference price (regular retail price) ²⁸

49
Figure 3.7 Types of possible_reference Prices

 Fair price (what the product should cost)


 Typical Price
 Last Price Paid
 Upper-Bound Price (reservation price or what most consumers
would pay)
 Lower-Bound Price (lower threshold price or the least consumers
would pay)
 Competitor Prices
 Expected Future Price
 Usual Discounted Price ²⁹

2. Price – quality interferences – When consumers use price as an

indicator of quality. Usually high priced products are higher priced. ³⁰

3. Price cues – It is obviously seeing the pricing in some OA agencies

worldwide. We can find prices at $599 instead of $600. Research has

shown that clients are showing more time on the offered location and

they are more acceptable by the consumers.

Setting the Price


After placing the construction with illumination the Outdoor

Advertising Agencies are setting the prices. The OA Agency has to consider

the six step procedure for setting its pricing policy.

50
1 Step: Selecting the Pricing Objective’s - deciding where to position its
market offering.

2 Step: Determining Demand - Each Price can distinguish from the different
level of demand. Mostly the demands are lower and the prices are higher.

3 Step: Estimating Costs - The Company, must give a price which will cover
all expenses and make profitability.

4 Step: Analyzing competitor’s Costs, Prices and Offers - Must be considers


the nearest competitor’s price and then to decide whether it can charge more,

the same or less than then competitor.

5 Step: Selecting a Pricing Method – After implementing all previous steps


the company is ready to select the price.

6 Step: Selecting a Final Price – It is the price where finally can be


calculated after considering additional factors including the impact of

marketing activities, risking and the impact of price on other parties.³¹

Adjustment the Price


It is very important to adapt the price for the OA market place. In many

smaller cities or communities from longer distances through out the cities,

where the frequency is low, usually the prices for OA are smaller. Exist, several

price-adaptation strategies:

• Geographical Pricing - where company decides how to price its


advertising products to different clients in different locations.

• Price Discounts and Allowances – it is usually using for early


payments, volume purchasing and non season buying.

51
• Promotional Pricing - Is often zero-sum game. This include: cash
rebates, longer payment terms, warranties for the leasing time of

advertisement space and services, psychological discounts ($1999 instead

of $2000).

• Differentiated Pricing – The price discrimination where the seller


charges a separate price to each customer; where the seller charges less to

buyers who buy a larger volume and where the seller charges different

amounts to different classes of buyers (location pricing, time pricing,

product – form pricing, customer segment pricing.

• Psychological Pricing – This can be used when the OA Company


wants to respond on an emotional rather than rational basis. ³²

The price of Outdoor Advertising products can change the client

reaction, competitor reaction, suppliers and even governmental reaction. A price

can increase, when in the OA agency is over demand or by cost inflation.

Despite this the price can decrease when the market share is declining, when is

a need for domination on the market or if the country is suffering an economic

recession. The price, don’t need to be very low, because the OA product will not

be taken seriously. Despite this, if the Price is too high, the potential client will

not take the risk to be advertised. Setting high prices to “skim” revenue layer by

layer from the market is called the Market-Skimming and is setting the low

initial price in order to penetrate on the market very quick and getting deeply to

win a large market share, in the Outdoor Advertising this is called Market-

Penetration.

Excellent skilled sales management team from any of the Outdoor

Advertising companies can achieve positive feedback, and poor skilled can

52
achieve the negative result. It is very important in selecting excellent

management team which can manage with the pricing strategies. The sales

manager team from the OA companies can provide direct control over the team,

getting an active role in the planning, and executing the pricing strategies.

The person who is responsible in pricing strategies must own several

features:

1. To be motivate of money;

2. The desire for training, learning and developing;

3. To be ready for playing the game with the competition;

4. Excellent writing, hearing and speaking facilities.

Selling Outdoor Space

Selling is the oldest profession on earth. The people who are doing

the selling in the outdoor advertising have names: sales people, account

executives, media planners, marketing representatives and other. Robert Louis

Stevenson once noted that “everyone lives by selling something”. It is a short

term incentives, in addition to the basic benefits offered by the product or

service, to encourage the purchase or sale of a product or service. ³³

Personal selling can be the most useful kind of selling and is a

process that provides face-to-face contact with the loyal or potential customers,

to inform about the service offerings or eventually new product and to persuade

them to buy. It is a presentation of making sales and building relationship.

The private property owners usually sell the advertising space to one of

the outdoor advertising companies, which it makes and owns billboards called

53
plants. The media sellers are approaching directly to the owner of an interesting

property and make a bid. When the agreement or the contract is signed, the

media seller erects a structure for displaying the ads and rents out the space to

its clients and customers.

Plants have historically sold poster-advertising space in terms of so-

called showings. Showing is a percentage of the population that is theoretically

exposed to an advertiser’s billboard message. ³⁴ The plants have converted in the

recent years to gross rating points (GRP) as the metric for quoting poster prices.

It means that reaching 1 percent of the population in a particular market a single

time. GRP represent the percentage and frequency of an audience being reached

by an advertising vehicle. If the OA company owns 100 billboard in a city of

800,000 people achieve a daily exposure to 200,000 people, the result is 40 gross

rating points. ³⁵

Outdoor spaces have always been made on the basis of the desired

showing. For example a 100 showing is supposed to provide enough signs to

reach 93% percent of the population an average of 21-22 times in a monthly

period of 30 days and a 50 showing is supposed to enable signs to reach 85% an

average of 10-11times in this same period. ³⁶ All showing researches can define

that in different areas exist different reach percentage. This means that they are

differentiating and from the prices. Some advertisement with high audience

reach can have very big prices.

When selling outdoor space, the price depends on the type of

construction where the advertisement is supposed to be placed. Normally the

Roof Top Construction cost more to be constructed, so the advertisements on

that spaces will be more expensive than the other which are placed on the street

or on the building walls.

54
The material of the advertisements may be crucial in selling the outdoor

space. The vinyl cloth, the paper or maybe an empty space is needed by the

client. The price will differ from what type will be elected.

Advertising account executives engage in a variety of activities

including selling or soliciting advertising. They negotiate with clients regarding

the use of sales promotion display items and obtaining leases for the outdoor

advertising spaces. All sales person involved in the OA business should be

outgoing, articulate, enthusiastic, self - motivated and a lot creative.

The selling is continuous with considerable overlapping of the steps it

is useful to consider the steps described by Belch and others in writings that

have endured the test of time. ³⁷ The steps include:

1. Prospecting - where the account executive attempts to locate all potential

clients who have desire or need for using the outdoor products and

services. He must prepare all necessary information as strategic tool for

convincing the company, why to start with advertising out of home.

2. Pre approach - Where the account executive is facing with the problem of

how to approach the prospect with the greatest effectiveness. All

researches and analyzes are always in help, because the potential

customer need to know why to use this way of advertising.

3. The approach – It is the step where the account executive first meets the

client. He must start with good communication, because the first couple

of seconds are the most important in the negotiating. The person must use

its communication verbal and non verbal skills. especially the body

language.

4. The presentation – The objective of this step is the account executive to

create in the prospect’s mind a desire for the offered OA products and

55
services. The person must use his knowledge why the company should be

out of home advertised, he must feel free and to be ready for any non-

expected challenges and questions.

5. Meeting Objections – where the account executive knows what the true

purpose of the objection is. He must negotiate answering the questions

without any mistakes. In this step the parties feel free and comfortable.

6. Closing the sale – In this step the goal of the account executive is to

obtain action and preferably a commitment on the part of the prospect

and the expectations for the potential company to become a buyer. When

and what will be done, who is responsible for doing this and how much

will cost are some of the questions that must be answered and contracted.

This is the step where the sale is finishing and the parties are or are not

satisfied from the meeting and from the past conversation. The Account

executive must close the sale with good attention using great non verbal

and verbal communication skills.

7. Follow – up – Also called after-sale and is happening when the account

executives end the selling efforts and when the order is signed. The

successful contract between both parties can be appreciated after signing

the order or the contract. Both parties must follow and their future

meetings and challenges with having an excellent working coordination

together.

56
Chapter 4:

THE OUTDOOR ADVERTISING PRODUCTS

Outdoor Media

There is a huge variety of outdoor media or products which are

available through which a business can conduct an advertising campaign. The

starting point in the selection of appropriate OA media is the “media analysis”,

57
which can be defined as investigation into relative effectiveness and relative

costs of using the different OA media in an advertising campaign.

It is always necessary to be considered and balanced some elements

into a plan of a campaign that can effectively reach the target place at a

reasonable cost:

1. potential customers;

2. reading and watching the OA space;

3. how many times the advertisers wish the potential customers to see an

advertisement;

4. how many percentage of the market they wish to reach.

Today, the Outdoor media can watch and count the viewer of the

advertisement. The technology, improve the abilities for reaching the target in

the out of home advertising. The portable device can recognize when eyeball are

actually turned toward the signage. They track and count the number of people

who look at it.

When TV channels are different, the radios turned off, the OA

structures still impact the customers and captivating attention. It is proven, that

the outdoor advertising is the most cost-effective way to reach a desired target

audience. The number of the personal vehicles increased more than 130% in the

last fifteen years. Outdoor products are much more today than couple of years

ago. Today all companies are using some kind of advertising. The outdoor view

is the reaches one and the most favorable kind of OA. Most of the chosen and

commercial kind of OA products are: stationary billboards, mobile billboards,

big boards, rooftop signage, digital advertisement, wall panel, taxi advertising,

58
mall advertising, fuel station advertising, outdoor lighted signs, flags, bus

shelters, notices, placards, posters, mega light, city light and many more.

STATIONARY BILLBOARDS

The major forms of billboard advertising are poster panels, painted

bulletins and vinyl cloth. It is usually 12 meter square and can be found bigger

ones with 18 meter square and 24 meter square. The 12 meter square is mostly

with dimension 4m x 3m and 2,4m x 5m. The 18 m2 is 6m x 3m and the 24m2 is

doubled than stationary billboard and have dimensions 3m x 8m.

Today people spend countless hours on the streets. The stationary

billboard advertising is the most successful medium in reaching the target

audience. It is the most useful media with high impact and the most cost –

effective advertising medium, available today. It can grab the attention of the

potential clients and it can be experienced 24 hours a day and seven days of the

week.

By research from the Outdoor Advertising Association of America in

2006, advertisers spent $6.8 (up 8%) billions of dollars in OA, and the billboards

commands with 62% of the spending, followed by transit 19%, street furniture at

15% and alternative outdoor media accounting for 4% of total revenue. The

billboards have enormous dimension with different sizes and they are

affordable mostly for the companies. It has no barriers and can reach the target

audience, as no one else can do. Exist, several types of stationary billboard

formats: lyastovitsa billboard (see figure 3.1.1), pizza billboard (see figure 3.1.2

and 3.1.3), raketa billboard (see figure 3.1.4) and etc. All of each is diminishing

59
in their specific dimensions, the manner of illumination, the strategic position

of the ad, their type of construction and etc.

Figure 3.1._ Lyastovitsa billboard

Source: Kulata, Bulgaria – Radea Advertising agenvy (Lyastovitsa billboard 8 x 4m)

Figure 3.1.2 Pizza billboard

Source: Sofia, Bulgaria – Radea Advertising agenvy (Lyastovica billboard 4 x 3m)

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Figure 3.1.3_____________________Pizza billboard

Source: Sofia, Bulgaria – Radea Advertising agenvy (Piza billboard 4 x 3m)

Figure 3.1.4 _________Raketa billboard

Source: Burgas, Bulgaria – Radea Advertising agenvy


(Raketa Billboard 1,20 x 1,80m)

The study by “Product Acceptance and Research”1000 made an analysis

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with measured consumer awareness and sales between static billboards,

billboards utilizing scrolling motion and lighting and no billboards. 43% of the

respondents recalled the static billboards over no billboards. However, 94% of

the respondents recalled the scrolling lit billboard, but in addition, 80% recalled

the specific advertisement. Of even greater importance, static billboards resulted

in an increase of sales of 54%, but lit scrolling billboards resulted in an increase

of sales of 107%.

Rolling Billboards

The rolling billboards (see figure 3.1.5) are in the fastest area of

growth within the medium. They create displays or vinyl cloth that look much

like the stationary billboards, but they can change message as needed to suit the

needs of the advertising campaigns. ¹ The rolling billboards are replacing the

old static billboards using different advertisements and mandate the image to

change every couple of seconds. With their move, may attract the attention and

can make combination with illustration, ready for telling the story. Today with

help of the digital rolling billboards can be shown more pictures and

illustration and may have bigger dimensions.

They have many popular names: moving sign, motion poster,

rolling banner and other names. This variation all refer to a display technology

that the images are moving physically through a viewing window to increase an

advertiser ability to make impression for the target audience. It can be seen on

the streets, on the sport games, on the walls and many other places.

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Figure 3.1.5 _______________________________Rolling billboard

Source: M&M Movie Theatre; Hiram, USA (Lamar Source: GA Newark Bears; Newark, NJ Video Max Model
Advertising Agency) www.lamaroutdoor.com (Lamar Advertising Agency) www.lamaroutdoor.com

Big Board

The big boards (see figure 3.1.6) are very popular and the people likes

especially when they are driving on the highway. They are much bigger than the

billboards and mostly have dimension 10m x 4m. They can be found and bigger

than this sizes and mostly the advertisement is placed on a vinyl or paper. The

advertising panel or sheet is placed on a construction which is mostly around

6m high. They are prohibited in some European countries with reason of getting

the attention of the drivers.

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Figure 3.1.6 Raketa billboard

Source: Dallas, Texas – Big Board ( 4 x 15m) Source: Dallas, Texas – Big Board ( 8 x 12m)
Arrington outdoor Advertising Arrington outdoor Advertising

Wallscapes

Wallscapes are one of the boldest creations which can be found in out-

of-home media. They are advertising panels with large dimensions placed on

metal construction or other painted advertisements on different types of vinyl or

paper (Belgian vinyl, Dickson – the French vinyl, Starflex, etc.) directly upon the

buildings. Their creative sizes and shapes are offering a large scale exposure and

high visibility to vehicular and pedestrian traffic.

They command major attention possesing huge impact and are highly

effective. Mostly they are placed on the walls of the buildings and in reason of

big size, can be seen from long distance. The formats are mostly illuminated and

have a large scale exposure with high visibility to vehicular or pedestrian traffic.

They reach the target audience from long distances and usually are located in

downtown areas with intention for long-term exposure. They may be in

different formats: Vertical format, Mega format, TV format and other formats.

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VERTICAL FORMATS

Vertical formats see (figure 3.1.7) – Big long vertical dimension with

shortly spreading. It is excellent way for advertising drink bottles.

Figure 3.1.7 Vertical Wall Panel

Source: Skopje Macedonia “Vertical MM Advertising agency” Vertical formats, 4,15 x 20 = 83m2 vinyl
cloth(left) + 4,15 x 14 = 56m (right)

MEGA FORMATS

Mega formats (see figure 3.1.8) are large long vertical

dimension with large spread.

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Figure 3.1.8 Mega Wall Format

Source: Skopje, Macedonia – “Vertical MM Advertising agency”

Mega format, 15 x 10 = 150m2

TV FORMATS

TV Formats (see figure 3.1.9) usually posses small size but

may have bigger dimensions than the billboards.

Figure 3.1.9 ___________________TV Wall Format

Source: Sofia, Bulgaria – Radea advertising agency (TV format 4 x 3m)

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PRIZMA BILLBOARDS

Prizma billboard (see figure 3.2.1) is advertising medium with a surface

area around 40 m2 and more, (3 to 4 surfaces on each side) at very high-traffic

sites, e.g. as beside motorways and shopping centers. This kind of outdoor

medium some people is calling, rotating billboard.

These high-quality rotating billboards are mostly illuminated. Up to 3

or 4 advertisements per surface can be presented owing to the rotation of the

panels. They are operated by two electrical motors with adjustable speeds. Top

and bottom drums guide the flexible faces. They are made of aluminium frame

and exclusive stretchable vinyl or paper. The combination of light and

movement is particularly effective in attracting attention.²

Figure 3.2.1 ________ Prizma Billboard

Source: wikipedia.com Prizma advertising for K-Mart, 2004 photo

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Digital Advertisements

The new technology is helping the industry to take some money away

from other forms of media. The new digital billboards (see figure 3.2.2) have

pixel pitches produced with more than 250 trillion colors, features with more

degree viewing angles than other media. They're large, rectangular and target

consumers from high above the nation's roadways.

Digital billboards, can mostly be found through-out which resemble

ballpark jumbo video displays but scroll through several static ads each minute.

They help to draw the advertisers back to the outdoor medium as one of the

world's oldest forms of marketing is undergoing a renaissance.

Figure 3.2.2 Digital Billboard

Source: www.venixmedia.com Venix media Source: www.venixmedia.comVenix media

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Other digital advertisements (see figure 3.2.3) may have plasma or LCD

screens placed at or near the point of sale if they are placed on malls. Also they

can be found in taxis, on walls, in theatres, in metro stations, on the streets and

other places.

Figure 3.2.3 ____________________________________Digital advertisiements

Digital mall screen wall display metro stations


Source: www.wikipedia.org Source: www. wikipedia.org Source: www.wikipedia.org

Roof Top Signage

Roof top formats (see figure 3.2.4) – Must be large in cause of view. It

is constructed over the building, or constructed on the roof of the buildings.

They are one of the largest kinds of advertising, the one of high-impact success

in attracting the traffic or public audience, and the most cost-expensive outdoor

advertising media. Mostly they are illuminated with electric lighting fixtures as

matter of exposing the advertising message in nighttime circulation.

They have different dimensions but mostly with large sizes. For this

risky way of advertising must be measured the winds from the meteorology

institutions. In many countries where exist winds, snows and other similar

factors they are prohibited by the government.

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Figure 3.2.4 Roof Top Signage

Skopje, Macedonia –Source: “Vertical MM OA agency” Skopje, Macedonia –Source: “Vertical MM OA


Roof top signage format, 18 x 5 = 90m2 Agency” Roof top signage format, 15 x 5 = 75m2

City Light and Mega Light

The city light’s (see figure 3.2.5) are usually placed where is a lot of

pedestrian traffics, green pedestrian islands, parking places, bus stop’s, mall’s,

etc. They are illuminated with dimension around 180 x 120cm. It can increase the

efficiency of campaigns. They account 10-20% of total outdoor media ad

spending per year in most countries worldwide.

City Light as a part of the street furniture, generally has an effect of

attractiveness and diversification of the advertising media. Today the City Light

is a sure part of the media mix, especially for goods of demonstrative

consumption such as fashion and high quality services.

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Figure 3.2.5 City Light

Source: Advertising Communication Research, a Division NOP World company,

city parking billboard advertising, city light,

The mega light’s (see figure 3.2.6) are very powerful advertisement and

is dedicated to all pedestrian and vehicular traffic. They excellent illuminate

and attract any one’s attention. Their dimensions can be different and mostly

can be found with sizes from: 6m x 3m, 8m x 4m to large size format with more

than 100m2. They are very attractive for the viewers and can seriously grab the

attention of the drivers on the roads and highways.

Figure 3.2.6 Mega Light

Portugal, Lissabon V30/15-5 112m² England, London on High Street, 18m2

Source: www.flickr.com/photos/ Source: www.flickr.com/photos/

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Mall Advertising’s
Mall advertisements (see figure 3.2.7) are freestanding, illuminated

panels located near escalators, near entrances, bathrooms, food courts and other

areas in shopping malls. They are excellent opportunity for target consumers

who already have shopping on their minds.

The shopping malls are on of the most visited destination in the

community. In the USA, the advertising agency Sullivan Media made an

analysis of visiting the mall’s and they came to the 75% of people who visits

mall’s per month. And the average of those who visited the mall is 3,3 times per

month.

They are ranked by consumer traffic. The innovation of an OA display

is the key in making significant impact. It can be defined as “quality consumer

communication” and can help advertisers, to achieve the maximum

effectiveness. Usually in mall’s can be discovered the mall advertising screen,

the mall kiosk, city (mall) lights, placards, promotions and other advertisements.

Figure 3.2.7 Mall Advertising

mall advertising lightn mall kiosk mall advertisement


Source: www.flickr.com/photos/ Source: www.flickr.com/photos/ Source: www.flickr.com/photos/

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Mobile Advertising

After spending the money for the advertising campaign, the company

expect to reach the right people at the right time. Mobile advertising accesses

areas, where no other forms of Outdoor Media exist. They can be found on the

streets, conventions, concerts, sporting venues and anywhere in any market

nationwide.

Mobile advertising allows the people to get easy the message. It is

viewed principally by persons in automobiles and delivers exposure to both

residents and to commuter traffic, with some pedestrian exposure. Contains

many product’s which can be offered to the client’s: mobile billboards,

inflatables, transit advertising, taxi tops, many promo people and groups (see

figure 3.2.8), metro bikes (see figure 3.2.8) and other mobile creative

advertisements (see figure 3.2.9). They are innovative, creative and very

successful in the last couple of years, researched and analyzed in several

developed countries.

Figure 3.2.8 Mobile advertisments

metro bikes Promo group

Promo people

Source: www.promogroup.tv

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Figure 3.2.9 Mobile creative advertisements

Source: MobileBillboardsSD.com, Some Creative MA, Mobile marketing, San Diego, 2006 MBSD

MOBILE BILLBOARDS

The winner from the mobile advertising is the Mobile Billboard (see

figure 3.3.1). He is replaced with the stationary billboard and can reach the

target audience any time and anywhere. MB ad campaign offer unlimited

impressions and tremendous exposure. They are custom design vehicles with

advertisements. It is created and is perfect for the trade shows, sporting events,

all traffic areas, concerts, etc. The Mobile Billboard is large and gets the

attention from the potential customers providing a wide variety’s of creative

opportunities with sound effects. It can travel just about anywhere. Can be

taken out of the sky and to be placed on the streets, where the customers are.

Mobile advertising can be located chiefly in commercial and industrial areas on

primary and secondary arterial roads.

It is a cost – effective OA, it is innovative and on almost on all polls,

the Mobile billboards prove their impact, against the stationary billboards. Also,

have a lower cost per thousand than any7 other type of advertising.

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Figure 3.3.1 Mobile billboards

Source: , www.flickr.com/photos/, Usual Mobile billboard2006 Transit Graphic Mobile advertising

Taxi Advertising

Taxi advertising (see figure 3.3.2) is superior level of recall reaching a

local, business and other audience. It is a very creative way of advertising and

provides view, visible in airports, hotels, shopping centers, restaurants and etc..

It can penetrate the heart of the consumer. Delivers high profile exposure and

establish brand awareness.

The advertising formats are various including the digital taxi tops, taxi

backs, Super-Side advertising, Tip-up seat advertising, Full Digital wraps and

etc. They have high eye-level impact, lowest overall outdoor advertising

investment and lower cost per impression.

Figure 3.3.2 Taxi advertising

Source: www.flickr.com/photos/, Advertising Communication Research, a Division NOP World company

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Transit and Bus Advertising

Transit advertising (see figure 3.3.3 left) gives high visibility and has a

great value with a constant daily audience. Companies are usually advertising

on this out of home media, because it is economical and instantly effective

without wasted circulation. They are mostly viewed by the people, who wait at

the bus stations, all people near the roads driving on highways, on streets and

other places not limited for this vehicles.

Bus advertising, (see figure 3.3.3 right) is a popular way for

advertisers in expect to reach the public in city and town areas, bus stations and

other road places. Ads are placed in bus shelters or on the back of benches at

stops. Inside the ads may be attached to the corners between the walls or

monitors throughout the vehicle. Externally the boards can be situated on the

front sides and on the rear of the bus vehicle.

Figure 3.3.3 Transit advertising

Source: from www.adsoutdoor.com (truck Advertising) Pinheiros, 2006 (bus advertising)

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Inflatable advertising (Giant Replicas)

The inflatable (see figure 3.3.4) is a creative solution for outdoor

advertising using the latest in cutting edge technology. They include inflatable

signs, pole displays, flags, banners, balloons, punch bags and etc. Mostly this

kind of advertising are tall and the attention can be grabbed easy. They are

improver of brand awareness, can create an emotional connection with

consumers, they are affordable and may be easy relocated.

Figure 3.3.4 Transit advertising

Source: www.adsoutdoor.com Advertising campaign for Casio, Nike and Eukanuba

2006 Above All Advertising, Inc

Other Creative Outdoor Advertisements

An organization’s current products face limited life spans and

must be replaced by newer products. The key to successful innovation lies in a

total-company effort, strong planning, a marketing focus and a systematic new-

product development process.

The creative team is responsible for “kicking ideas” or

“brainstorming”, a process in which the idea is allowed to stimulate another

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without reaching a decision about whether any of the ideas are valid. The latest

in the OA, can allows you to create an exciting and unexpected OA space, where

none existed before. All different formats with architectural and design

solutions can bettered and increased the brand awareness, the productivity and

profitability of the company. They have new and fresh ideas and can easy

approach to the potential customers. The creative solutions in billboard

advertising can be mention on this ad, which can mostly be seen on public

places (see figure 3.3.5).

Figure 3.3.5 Creative billboard ads

Root billboard, 2006 ™ ad for “Gain” soil laundry detergent

Taken photo from© FeedBlitz Taken photo from© FeedBlitz™

A corporate creative advertisement is brand builder, long term ad

with emotional and humorous ads. The consumers are enjoying this

advertisement, although they don’t know what it is all about. This type of

creative ad is focusing more on immediate sales of a particular product. They are

often awarded and competing on many glorious prestige world fairs (see figure

3.3.6).

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Creativity is the most powerful force in the business. It’s not only that

makes the design different and beautiful, also contains unique idea. The

brilliant ideas can achieve extraordinary results. It includes the copyrighters and

the creative directors, responsible for advertising copy and campaigns to serve

their clients interest.

The copywriting is responsible for all new ideas and influences on

design solutions. He can be the one using the help of the psychology terms, in

attracting the new clients, customers and other target audience.

Figure 3.3.6 Creative billboard ads

Taken photo from© FeedBlitz™ - Powering Blog and RSS Email Solutions

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@ Germany, 2003 advertisements for Adidas Taken photo from© FeedBlitz™

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Chapter 5:

ANALYSING THE OUTDOOR ADVERTISING

Marketing Research and Researching Customer Behavior

Market research and marketing research are often confused. The

official definition of market and marketing research by America’s Marketing

Association is: “Market research is simply research into a specific market.”

Marketing research is the function that links the consumer, customer and public

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to the marketer through information used to identify and define marketing

opportunities and problems, to generate refine and evaluate marketing actions,

monitor marketing performance and improve understanding of marketing as a

process. ¹

The quality of the marketing decisions depends upon the quality of

the marketing research. Marketing research associated with the advertising,

including all pricing decisions can be supported by the sales and by the

marketing systems. Market research is a wide range of methods and tools used

to help marketers understand markets. It follows the breadth of consumer

behavior and business to business marketing in having a huge armory of

techniques to help with marketing questions. ² Marketing and Advertising

research is usually done by specialist within either a marketer’ organization or

and advertising agency. They are distinctive and important part of marketing

that has professional bodies and qualification. ³

Today the world is defined by the term "information age." All businesses

require accurate and timely information to be successful. The OA Company to

be successful must know its market. Marketing research is simply an orderly,

objective way of learning about people - the people who buy from you or might

buy from you.

This paper provides an overview of what market research is and how

it's done. It introduces inexpensive techniques that small business owner-

managers can apply to gather facts about its clients and the OA Company who

like to have clients.

With marketing researches can be gathered and monitored all the

information that could possibly help out of home advertising companies and

they must include knowledge of knowing the market, competitors, customer

wants and needs, and what it takes to be competitive. It is not enough to know

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the answers to what, where, when, and how questions about the OA businesses.

They also need to know why people buy OA products and services.

The Outdoor Advertising Market Research has many sub-categories:

Research about the campaign effectiveness concept development research,

creative research execution development research, research for the history,

future and today’s status of OA, qualitative researches and many more. It can

help the Outdoor advertising companies to define the market better, to measure

current market demand and forecast the future demand. It involves collecting

information relevant to the advertising problem facing the organization.

OA research has a four step process: ⁴

1. Defining the problem with setting the research objectives;

2. Developing the research plan with collecting data;

3. Implementing the research plan by collecting, processing and analyzing

the information;

4. Interpreting and report the findings.

OA can focus on the ad or on the campaign and can be directed at a

more general understanding of how the outdoor advertising works and how the

potential customers use the information in advertising. The greatest tool for OA

qualitative research is the focus group research. Exist and other methods and

techniques: motivation research, customer visit and interpretative research. ⁵

Focus Group Research


Using focus group may be appropriate method for learning about the

customer needs and understanding the marketplace.⁶

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The term 'focus group' comes from the original term “focused group

discussion”. It is a technique available for implementing qualitative research.

Focus Groups provide rich qualitative data on market and customer perceptions

for such tasks as product development and testing, advertising testing,

consumer surveys, feasibility analysis, and brand image development.

Marketers in the United States spent more than $1 billion last year on focus

groups. ⁷

Focus group is a qualitative research method which can help the

Outdoor Advertising Companies gain a deeper understanding from the

customer perception, feelings, desires and motivations. They are usually

between six to fifteen people and conversation is usually structured. The Focus

Group moderator is a trained marketing research professional and he or she

generally uses a discussion guideline (a list of issues to probe) ⁸. He endeavors

to avoid biasing the opinions expressed by the group members. He must prepare

the guide approved by the marketing research client. The qualified participants

usually are recruited by telephone, mailing or other forms and offered an

incentive to attend a group.

Focus groups, differentiates a lot from the survey research methods.

It is different from statistically reliable public opinion, from any kind of market

surveys, from online surveys and other technique. The focus group discussion

may run two hours. It should be maintained in a quite room with chairs as much

as persons and a table. The researchers are watching the group, across a mirror

seen only by one-way, so the client can watch unnoticed. It is need of totally

quietness in the room, with no telephone calls, distractions or any kind of noise.

The moderator is very important and he must treat all the guests with respect

and to have knowledge in the relative field. He exercise a mild, the control over

the group, guiding the topics, raising questions, keeping the group on track and

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never injecting the idea and the comments as “beautiful, great, etc.” When the

session is recorded on the audio or video material, it should be listen, couple of

times.

Focus group opens the window into the customer’s mind, bringing

to surface something that the marketer may not have known about the consumer

and his or her view of the product. ⁹

In the Outdoor Advertising the research must improve if the

advertising hit the target. Focus groups should play the important role for

determining the advertising strategy. Groups can be used for idea generation,

and to uncover possible "concepts" that appeal to the participants. Well-received

concepts can then be developed into actual advertisements.

The principal utility of focus group research is to explore the

customer behavior about which marketers didn’t know much to begin with.

Focus group, have several application:

- to generate ideas for product improvements or new products;

- to understand the customer perceptions of competing brands;

- to test the new concepts (new product concepts, new brand names,

advertising photo boards).¹⁰

The customer behavior


Customer behavior is a marketing term with elements of sociology,

psychology, anthropology and economics. ¹¹ It refers to how the people

purchase, when they are purchasing or getting space for the OA campaigns,

what are the products they might purchase and why are they purchasing. It

attempts to understand the people wants and their needs.

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The need of researching the customers is a future where the customers

steps in. You need not only what the customer wants, but how much and why he

wants it. The people are buying the products for the benefits it brings, not for

the features. And that’s why is important, what are customers needs, what

moves them and how you can link them for purchasing the product.

The gain of respect and satisfaction is a crucial factor in the customer

experience. Customer respect is used as a critical marketing differentiator as

sites look to attract hesitant consumers which have a desire to shop, bank, and

research online. ¹²

In researching through the satisfaction of the customers is to determine

their services. For example: is it a paper, is it a vinyl or what kind of plush is it,

is the quality good, is the time of delivery just a couple of hours or days, what

are the prices, etc.

Customer needs can be defined as being basic, performance and

excitement needs. The performance needs are things that we seek. Ex: someone

visit and outdoor agency and get a billboard places on couple of locations. If the

current campaign with the billboards did not prove the effect, the customer will

be unhappy and dissatisfied. It the campaign get the requested effect, the

customer will be satisfied.

If there exist any space for development, must be used a method

necessary for researching the customers need. More customers - more

employees, more clients – more advertisement places and more customer

researches can be used in creating the development of the OA responsibility. If

exists space for developing, it is important to know what type or kind are they.

The Outdoor Advertisers may use a method called Brain Activity

Method based on Brainstorming in help for improving the advertisement

research.

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Brain Activity

In the real world the taste and the smell are not everything. Exists

the image of the company, its “brand influence”. Measuring the brand

influence may seem like an unusual activity, but it is neuroscientist

responsibility. But the many important questions are asked at the

neurology lab in all advertising world. It can be able to distinguish

between advertisements that people merely like and those that are

currently effective.

Did you see that commercial? Did you like it? This are questions which

can be answered in a flash. New researchers, suggests the right positions where

the advertisement can be placed. The great ideas may come anytime and

anywhere. It can be in the shower, in the car, in the park and etc. The link

between what the people think, what they like and what their brains reveal they

like is based on brain activity. It can be proved by the research of:

- select 10 participants;

- drive them through the public places;

- let them to watch a mixture of the public advertising outdoor spaces;

- prepare them to fill in a survey

- ask them which ads they liked and witch they were familiar with.

The creative thinking can be stimulated as a tool by the brainstorming.

It was developed by the American advertising executive Alex Osborn in 1940’s.

He was a person who believed that anyone could learn to generate creative

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solutions. Following his beliefs, some tips can help you have brainstorming

sessions which can generate results. ¹³

1. Before, scheduling a meeting with the participant be sure to include a

history and a brief explanation of the situation. This can help them to

prepare mentally for the session and focus on the particular issue.

2. Consider and Select people from different backgrounds and degrees of

expertise. Be carefully with mixing management levels.

3. Distribute a copy of the rules of brainstorming before the session begins:

o Criticism of ideas isn’t allowed;

o All ideas, no matter how wild, are encouraged;

o The more ideas, the better;

o Every participant should try to build on or combine the ideas of

others.

4. The meeting shouldn’t be longer than 40 minutes and not more than six

people (feeling comfortable means sharing more ideas).

5. Before starting, explain the meaning of Killer Phrases and emphasize

what will not be permitted. You can provide two cards (one green and one

red) for each participant, when they enter the room. Ex: When the flow of

ideas is positive, participants are holding the green cards.

6. Write the objective of the session where everyone in the room can see it.

Give the question starting with either “How can we” or “What can be

done…?” Ex: “How can we better understand the buying behavior?”

7. Capture all group ideas. An interactive whiteboard is ideal for

brainstorming since ideas are displayed on the whiteboard surface, easily

edited and saved to a computer file. Whichever tool you use to record

your ideas, be sure that they’re saved for future reference.

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8. If the flow ideas begin to fizzle, the leader should step in. Some ideas:

o Reread every third idea. This may spark additional ideas.

o Ask a participant to select an idea and give reasons why he likes it.

o Let the conversation go around the idea and provide an

opportunity to build on it.

o If you’re the session leader, keep an idea or two to yourself. When

the conversation dies, share these ideas to initiate more discussion.

When the 40 minute session finish, edit the brainstorming notes,

arrange the ideas and send a copy to each participant in the related group. Ask

each participant to select the five best ideas for his think. Let him explain why

he thinks that are most promising and how would implement them. Include a

deadline when you’d like the ideas returned. ¹⁴

Analyzing the Outdoor Advertising


in Macedonia

OA is a unique media and it communicates to an audience usually in

transit and always away from home. OA is visible message 24 hours per day,

seven days a week. The billboards printed on vinyl have more life than the

posters. They differentiate in the types of the vinyl, the weather, the manner of

placement, the construction, etc. The vinyl is very resistant and can have a life

more than 4 months. The posters or billboard printed on paper have a life about

30 days.

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Advertising clients can demand better accountability and better proof

of return on investment for their marketing spend. Currently in Macedonia is

still a problem with convincing the customers for advertising. The people are

still thinking that advertising is something which is not important and it is

waste of money and time. Others think that advertising on radio is much

cheaper and has much better impact with the consumers. It is the most difficult

task in Macedonia – to convince the people why to use outdoor advertising.

At least 50 % of the target audience is the people who live or work

close to the advertisement. It is expecting that the OA business will grow in the

next few years for more than 20% per year in Macedonia. The grow will be

feedback from increased requirement for the domestic companies for

advertising, from foreign brand names and companies, from increasing the

budget, the entry’s for the new mobile and fixed companies, etc. The experts are

looking optimistic and forecast grows the OA business, because the awareness

of the people is much stronger and more understandable. The companies finally

are getting the point, that the road to success is the Advertising. And now, starts

the game and the level of the type of Media which can be select by the potential

customer.

Many companies in Macedonia are spending a lot of money for

advertising. They usually spend in different kind of media and the Outdoor

Advertising is the one who is still fulfilled with placed advertisement. They

have portfolio’s with a huge registered list of clients and analyzes can show, that

the mostly money last year spent are from the all telecommunication companies,

especially Cosmofon and T-Mobile. The banks are next to them, especially

“NLB banka”, “IK Banka” and “Stopanska bank” and “Uni Banka”. After the

banks we can include “Alkaloid”, “Skopska Pivara” and other drinking and

food companies.

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Increased automobile usage means businesses will increase

emphasis on outdoor advertising. The people stay home less and are on the road

more, on the ways to their homes, to their workplaces, on the way where they

are going to drink their coffee and anywhere. The billboard influences a lot to

the pedestrian or vehicular traffic. When the people are waiting on the bus

shelters, driving on the rail and bus vehicles, malls, cross roads, highways and

etc.

The customer’s have a different kind of feelings and different point of

views. Some think: “let the billboard do the work”, some other to get something

smaller or even bigger. Through the research of the effectiveness for the

customer’s eye, can be seen advertisements with more than 1.000.000 viewers per

month or not smaller than 10.000 viewings per month for billboard or any

wallscape in Skopje, Macedonia. The high – impact, distance visibility,

beautiful illuminated design and other features are researched, as effective

methods intended for the customer advertisement need.

The enormous message as communication type is the most successful

medium for using the reach for adult population. It is a good method of

advertising. It enables people to see the picture of the potential, or build brands.

The outdoor exposure is heavy more than 350.000 viewings/per month

(downtown buildings) in Skopje city among the bestselling magazine or even

newspaper. This is strong evidence that outdoor media exposure is very strong,

can give us big information and can play a crucial role in the media plan to

cover significant aspects of the market, not reached on daily newspapers or

magazines.

Understanding the customers and using the methods, means

communication and data gathering in finding customer information

(satisfaction level, use of the focus groups and the surveys).

91
Out of home advertising can help justify spending money to make life

easier and more entertaining. As is the case today, it is necessity for companies

to spend a great deal on advertising in order to profit from mass production.

Analyses for the best positioning ad in Skopje City

The out of home advertisement have to be located on the right

position. In Macedonia the ads on better position are usually more expensive

than the others which are not. In the downtown in Skopje the frequency and the

intensity of the pedestrian and vehicular traffic are increasing and tend to be

more increased in the next years. The frequency on the streets can differentiate

and if contains traffic lights or not. It differentiate and from size of the streets.

On that places where can be find big frequency, the billboards and other spaces

can be sell easily in Skopje. The price may depend from the frequency. These

are the most frequent locations which are used or may be used for outdoor

advertising (see Figure 4).

All analyzes are made by researches from the Marketing and

Advertising Agency “Vertical MM” Skopje, in corporation with the Traffic

Department from Skopje city and the Macedonian Ministry of Transport. The

same research made 7 years ago, showed for more than 40 % less vehicle

movement through-out Skopje City than today.

92
Figure 5 The most frequent locations in Skopje City

Name of Street Left Straight Right

- Dimitria Cupovski Auto Bus TR Auto Bus TR Auto Bus TR


- Dame Gruev
3514 136 113 2013 39 76
- Vasil Glavinov
(Paloma Bjanka)
-MitoHagivasilev Jasmin Auto Bus TR Auto Bus TR Auto Bus TR
- Makedonija
3646 2290
- Dame Gruev
(Hotel Bristol)
- 11 Oktomvri Auto Bus TR Auto Bus TR Auto Bus TR
- Koco Racin
2855 294 172 2922 225 165
(Red Cross)
- Nikola Karev Auto Bus TR Auto Bus TR Auto Bus TR
- Krste Misirkov
4495 96 1656
- Cvetan Dimov
(Cair Ambulance)
- Partizanski Odredi Auto Bus TR Auto Bus TR Auto Bus TR
- Franklin Ruzvelt
4605 420 5856 455 3800 496
(Simpo Furniture)
The numbers can show the number of vehicles “Auto” for Automobiles, “Bus” for busses and “TR” for
transport vehicles and trucks. The research is made in a period time from 8:15 – 17:00h one working day of the week in
2007 year.

Outdoor Advertising Agencies in Macedonia

and their types of advertisements

The OA business has its self a lot of barriers and a lot of problems in

performing the tasks and the activities. The first and most important barrier is

the competition. The OA companies from Macedonia are confronting with it.

93
But everyone needs to love the competition, especially those who thing that

their products are one of the best one.

The Strategic Marketing and Media Research (SMMR) from

Macedonia made a research of the Outdoor advertising and prove that possess

more than 5% of total market shares in Macedonia. Currently exists couple of

Outdoor Advertising Companies. Two of them have the concession for placing

advertisements on public places in Skopje city. They are “Akzent Media” and

“Eurolinija”. Their mostly useful instrument for increasing the brand awareness

is the billboard advertising. In this area exists more than, 3200 billboards.

Akzent Media owns more than 2000 billboards and Eurolinija around 800. With

the newest mega lights they have more and number may increase up to 1200.

They can be found with different dimensions. Some of them are 6m x 3m and

some are with dimensions 8m x 3m and the most numbers are owned by

“Eurolinija”. This numbers are one sided for both types of most useful ads in

OA –billboards and mega lights and must have in mind that the most billboards

are made to have ads on the both sides. The Marketing and Advertising

Agencies in Macedonia owns and other forms of advertisements such as the city

lights which can be found with dimensions of 120cm x 180cm. “Vertical MM” is

agency which owns wall surfaces on the buildings in Macedonia. It has 24 wall

positions in Skopje city and it makes the first place for wall space formats in

Outdoor Advertising Business. They own total surface with more than 1800m2

on building walls. Mostly of them have vertical formats and the drinking

companies with the bottle packages have the priority to be advertised on. The

telecommunication companies are using this kind of advertisement and the

automobile companies often are using the squares format or horizontal formats.

94
Other variety forms of ads are:

- Prizma – usually have three sides and have billboard sizes;

- Wallscapes – different format with different dimensions;

- Rollo Boards – same as the billboard sizes;

- TV Screen – Akzent Medias electronic display is with dimension 3,5m x

4,5m;

- Big Boards – is usually with dimension 4m x 10m and can be found on the

highways;

- Mega Boards – may be over 100m2;

- Taxi advertising;

- Bus advertising;

- Promo people and Promo bikes;

- Other forms of advertising.

On Macedonian market place can be found and some other forms of

OA. The promo people using their movement with the ads on their rear can be

interesting for the population as a relatively new introduced product. The Giant

inflatables may be seen when determining campaign. Often the banks are using

this kind of advertisement and telecommunication companies.

Macedonia is relatively small country with limited number of

companies which use outdoor advertisements. But the billboards are most

useful ads in OA. More than 13000 billboards annually are printed in

Macedonia. Only the “Media Market” - Rock ‘n Roll Studio has more than 70%

of market share for poster panels and printed bulletins. The C.O. Slavco Talev,

hopes that this year he’ll get around 80 % of the market share and he will prove

the quality and quantity printed posters for billboards with achieving the

95
number over 10.000 printed poster billboards per year. The vinyl cloth are

mostly useful for the wall panels and couple of rolloboards.

Effects from the Outdoor Advertising in Macedonia

The outdoor advertising is the most successful medium for using the

reach, for adult population. It is a good method in choosing the advertising

form. It can be seen the picture of the potential, or the build brands. OA is the

most cost-effective form of advertising in Macedonia. Outdoor advertising

conveys the right message, to the right audience, at the right time, in the right

place. Around the Mobile operators can be seen the ads of the same company.

One example is when you pass the rail and bus station in Skopje, you can see

that the most ads are advertisement of Cosmofon.

Sometimes a picture can be enough to express an emotion or idea. It

can say sometimes more than a thousand words. All visual forms of advertising

have enough effectiveness and don’t need their creative explanation. The

outdoor advertising, have a right to beatify and to make design and esthetic

values within the environment. The advertisements of Coca Cola or other

famous companies are made to look excellent. With the beautiful, extraordinary

firs and Christmas trees the consumers are captured. As much is the draw and

color bettered, the consumers are increasing.

The visual effect can be proved when outdoor creative designs can be

easy to read. It must be paid attention in choosing the colors. It can be choose

colors with high contrast in both hue (identity of color, such as red, yellow or

blue) and the value (measure of lightness or darkness). With contrasting the

96
colors the view can be bettered from great distances and colors with low contrast

can blend together and obscure a message. The research demonstrates that high

color contrast can improve OA recall by 38 percent. The Fonts must be easy to

read from long distances. Adequate spacing between letter, words and lines can

enhance visibility.

The use of humor or drama can influence in consumer decisions

and selling products or services. A call to action is effective technique for

engaging a viewer. The advertisements that include addresses, telephone

numbers, special offers can produce impressive results in the OA.

Another important factor in searching for effective OA is the

distance. The impact which OA unit can produce is relative to the distance from

where it can be viewed. The viewing time can vary by location and media

format. For larger advertisements such as billboards usually the messages are

placed not longer than 1 month and not less than 14 days. It is the best time for

influencing in people’s mind.

OA encompass a number marketing approaches and may vary a

great beneficial deal for the companies, since they go with whatever approach or

method would be more effective for them. Not all companies are able to get the

maximum exposure from the outdoor ad, when it comes to different types and

formats of OA media. As a result, it is difficult for the companies to come to a

conclusion, as to why they should invest in OA and make that type of trial and

error maneuver. The fact is that the OA in virtually, is influential on many

people because of the way in which individuals are exposed to the marketing

campaign. There are so many different types and forms of OA that can be used

and the potential companies will have no problem in finding which method

works best for them. As all vehicles interact with each other, can be seen the

powerful effects of OA. So many people are exposed to OA as opposed to other

97
methods, such as advertising in a magazine – which is an approach only

beneficial to those that read the magazine. Compared to those that regularly

read the magazines, including the ads, more people are exposed to OA.

98
CONCLUSION

The study presents the people who drive a lot of kilometres or walk

through the cities, driving bikes, have attractive socioeconomic profiles, higher

education and experience and high presence of children. Those who drive and

others are significant consumers of out-of-home media.

I passionately believe in the unlimited power, advantages and big

opportunities of the outdoor media. The outdoor advertising is so powerful and

it is the only truly public media. The Outdoor Advertising as the oldest form of

advertising is dating more than 5000 ago. Today the “out of home” with the

latest trends with new technology is rapidly evolving in all different kind of

media and the future together with the digital and scrolling technology is

indeed bright. All Outdoor advertising continuously generate and makes the

most dangerously powerful media, that in the right hands is achieving amazing

99
results. Whatever was advertised it’s important that the message was seen, read,

believed, remembered and action upon by target customers.

All researches, analysis, estimations, evaluations and other methods

are important for the management of OA. The market structure described the

state of a market with the market forms of competition. The five critical

communication functions and processes were described: informing, persuading,

reminding, adding value and assisting the company efforts. The expensive

proposition as a need for purchasing the outdoor space is making the budgeting

very important decision. Another important decision is to attain the objectives,

to make the game plan or the advertising plan and strategy. They must

determine the target market, their position, acceptability of the product and etc.

The advertising agencies have that task and responsibility. They must develop

the promotion, place the ad, carry and monitor and finally estimate the

efficiency and effectiveness from the campaign. All employees working in

different departments are obliged for their responsibilities.

The outdoor media speaks, talks on every language, communicate

with its hanged picture fully of pleasure. The people who show interest for the

advertised product are potential target people. The message is communication

element and must be strong with more noise or other effects, but to diminish

from the others. The elements of communication process are: sender, encoder,

message, channel, receiver, noise and feedback. It can be used and the other

forms of nonverbal communication: facial expressions, body language, body

and eye contacts, color symbolism, paralanguage and other forms. We described

and the negotiation as the most useful tool in communicating. The information

is crucial element for carrying out all marketing researches and analysis,

planning, implementation and monitoring. Persuasion is the essence of the

marketing communication.

100
Today on the out of home spaces are available and may be seen the

street furniture, transit and alternative outdoor media. Most of them are the

stationary or the mobile billboards, big boards, wall panels, taxi advertising,

transit adverting, mall advertising, mega lights, city lights, digital ads and other

creative commercial products and advertisements.

In one of the previous chapters was described and the marketing

research as a form of business research that examined all aspects of business

environment. The focus group is a tool of the qualitative research and may be

used as a method about the customer needs and understanding the

marketplaces. How the people purchase, when they purchased, what products

they might purchase and why they are purchasing is related to the customer

behavior. Brain activity is another research based on the link between the

peoples thinking, what they like and what their brains reveal they like. The

Outdoor advertising in Macedonia is rapidly increasing, same as the increase of

the brand awareness of the companies. Today the people are more out of home

than staying home. This can be analyzed from the best positioning ad, with

frequency level, where the vehicle movement on the streets today, is more than

40% than seven years ago. Different type of ads emphasis the OA in Macedonia:

stationary 12m2 billboards, prizma, wallscape, rolo board, mega board, big

board, mega and city lights, TV Screen, mall ads, promo people and bikes, bus

and taxi advertising and other advertisements. The effects from OA can be

proved when the message is read and remembered.

From the pricing strategies we’ve seen that pricing is an

important strategic issue, because it is related to product positioning. The

reference prices are important to be included before setting the final price in

selling the Outdoor space and the price must be adjusted through the price-

adaptation strategies: geographical pricing, price discount and allowances,

101
promotional pricing, differentiated pricing and psychological pricing. The best

selling for OA space can be accomplished by the personal selling (face to face

contact). The steps of sale include: prospecting, pre approach, approach,

presentation, meeting objections, closing the sale and follow-up.

102
ENDNOTES

Chapter 1

1. http://encarta.msn.com/encyclopedia_761564279/Advertising.html#s2
2. James F. Engel, Promotion Strategy, The Outdoor Advertising Future, Chapter 11, Section 4, page
300
3. LL Berry - Journal of the Academy of Marketing Science, 2000 - jam.sagepub.com
4. James F. Engel, Promotion Strategy, The Outdoor Advertising Future, Chapter 11, Section 4, page
298
5. W. R. Simmons and Associates Research, Inc, Reach and Frequency of exposure of Outdoor Posters,
for the Institute of Outdoor Advertising, Inc
6. Gene M. Grossman, Carl Shapiro, Informative Advertising with Differentiated Products

Chapter 2

1. Dr. Nada Sekulovska, Promotions, Promotions and communication, November, year 2000, page
17-20
2. Ibid
3. wps.prenhall.com/wps/media/objects/124/127021/chap04.doc
4. Terence A.Shimp, Advertising, Promotion, and Supplemental Aspects of Integrated Marketing
Communications,” Sixth Edition, year 2003, Part Two, Chapter Four, “The communication
process” page 81-83
5. www.marin.cc.ca.us/buscom/index_files/page0011.htm
6. Philip Kotler, Veronica Wong, John Saunders, Gary Armstrong, Principles of Marketing, Fourth
European Edition, Part 3 Merkets, page 335-377
7. Ibid
8. Ibid
9. Philip Kotler, Veronica Wong, John Saunders, Gary Armstrong,Principles of Marketing, Fourth
European Edition, Part 1, Marketing now, page 281-282
10. Terence A.Shimp, Advertising, Promotion, and Supplemental Aspects of Integrated Marketing
Communications,” Sixth Edition, year 2003, Part Two, Chapter Five, “Persuasing in Marketing
Communication” page 117-147

103
11. Ibid
12. James F. Engel, Martin R. Warshaw and Thomas C. Kinnear Promotion Strategy, Working with
the Advertising and Promotion Industry, Chapter 2, Section 1, Consumer Response to Persuasive
Communication, page 60—73
13. Ibid
14. en.wikipedia.org/wiki/Attention
15. Terence A.Shimp, Advertising, Promotion, and Supplemental Aspects of Integrated Marketing
Communications,” Sixth Edition, year 2003, Part Two, Chapter Five, “Persuasing in Marketing
Communication” page 140-147
Chapter 3

1. http://en.wikipedia.org/wiki/Market_form
2. http://links.jstor.org/sici?sici=0022-
2429(198524)49%3A1%3C13%3ATOOMAA%3E2.0.CO%3B2-O
3. James Webb Young, “Advertising Age” November 21, 1973, Chapter 12
4. Terence A.Shimp, Advertising, Promotion, and Supplemental Aspects of Integrated Marketing
Communications,” Sixth Edition, year 2003, Part Four, Chapter Eight, “Advertising Management”
page 231-234
5. http://www.freshthinkingbusiness.com/swot-analysis.html
6. http://www.adcracker.com/index.htm
7. Terence A.Shimp, Advertising, Promotion, and Supplemental Aspects of Integrated Marketing
Communications,” Sixth Edition, year 2003, Part Four, Chapter Eight, “Budgeting for
Advertising” page 244-252
8. Ibid
9. Nigel Piercy, “Advertising Budgeting:Process and structure as Explanatory Variables”, Journal od
Advertising, Chapter 16, year 1987, page 113
10. Ibid
11. http://instructional1.calstatela.edu/sstretc/513 BUS/Contents of the Marketing Plan 04.doc
12. Shantanu Dutta, Mark J.Zbarracki and Mark Bergen, “Pricing Process as a Capability: A resource
Based Perspective”, Strategic Management Journal, year 2000, page 615-630
13. http://encarta.msn.com/encyclopedia_761564279/Advertising.html
14. Terence A.Shimp,Advertising, Promotion, and Supplemental Aspects of Integrated Marketing
Communications,” Sixth Edition, year 2003, Part Four, Chapter Nine, “The Role of Advertising
Agency” page 258-259
15. Karachidiaries.blogspk.com /2005/09/23/advertising-campaigns-for-the-intellectually-disabled
16. , James F. Engel, Martin R. Warshaw and Thomas C. Kinnear, Promotion Strategy, Working with
the Advertising and Promotion Industry, Chapter 20, Principles of the Agency-Client
Relationship.page 527
17. Terence A.Shimp, Advertising, Promotion, and Supplemental Aspects of Integrated Marketing
Communications,” Sixth Edition, year 2003, Part Four, Chapter Nine, “Agency Compensation”
page 260-261
18. Ibid
19. Ibid
20. www.answers.com/topic/advertising-strategy
21. Don E.Schults, Dennis Martin and William P. Brown in Discussion in an adaptation, “Strategic
Advertising Campaigns” NTC Business book year 1987, page 240-245

104
22. , James F. Engel, Martin R. Warshaw and Thomas C. Kinnear, Promotion Strategy Working with
the Advertising and Promotion Industry, Chapter 10, The Advertising Message, -Creative Strategy,
page 219-221
23. www.tutor2u.net/business/strategy/strategy_marketing.htm
24. globaltrade.net/caps/Applied%20marketing%20for%20Armenia%20ICT%20firms%20--
%20pt%202.ppt
25. Ibid
26. Lane Keller and Philip Kotler, Marketing Management, 12 Edition, Kevin copyright 2006 Chapter
14, Developing Pricing Strategy and Programs, page 431
27. Ibid
28. Chris Janiszewski and Donald R.Lichtenstein, “A Range Theory Account of Pric Perception”,
Journal of Consumer Research (march 1999), page 353-368
29. Russel S.Winer, “Behavior Perspectives on Pricing Buyers” in issues in pricing Theory and
Research, edited by Timothy (Lexington, MA: Lehington books, year 1988, page 35-57
30. Kevin Lane Keller and Philip Kotler, Marketing Management, 12 Edition copyright 2006 Chapter
14, Developing Pricing Strategy and Programs, price quality interferences page 435
31. Shantanu Dutta, Mark J.Zbarracki and Mark Bergen, “Pricing Process as a Capability: A resource
Based Perspective”, Strategic Management Journal, year 2000, page 615-630
32. Kevin Lane Keller and Philip Kotler, Marketing Management, 12 Edition, copyright 2006 Chapter
14, Developing Pricing Strategy and Programs, Adapting the Price 450-456
33. Philip Kotler, Veronica Wong, John Saunders, Gary Armstrong, Principles of Marketing, Fourth
European Edition, Chapter 18, Sales Promotion, 785-800
34. Terence A.Shimp, Advertising, Promotion, and Supplemental Aspects of Integrated Marketing
Communications,” Sixth Edition, year 2003, Part Four, Chapter Twelve, “Traditional Advertising
Media” page 357
35. Ibid
36. James F. Engel, Promotion Strategy Characteristics of Outdoor Advertising, Chapter 11, Section 4,
Advertising, page 298, 299
37. James F. Engel, Promotion Strategy, Characteristics of Outdoor Advertising, Chapter 15, Section 6,
Steps of Sale, page 414-419

Chapter 4

1. Clear Channel Outdoor and CBS Outdoor, www.mediabyuerplanner.com


2. http://www.ankuender-stmk.at/home/Produkte/Prismenwender/rotating_billboards.php

Chapter 5

1. www.marketingpower.com/content4620.php
2. Philip Kotler, Veronica Wong, John Saunders, Gary Armstrong,Principles of Marketing, Fourth
European Edition, Part 1, Marketing now, page 30-31
3. Ibid
4. Ibid

105
5. Customer Behavior, A managerial Perspective (from the book use in UACS), Focus Group as
Qualitative Research, page 232, 233
6. www.programevaluation.org/focusgroups.htm
7. Customer Behavior, A managerial Perspective (from the book use in UACS), Focus Group as
Qualitative Research, page 232, 233
8. Ibid
9. Ibid
10. Ibid
11. www.som.umd.umich.edu/3265
12. www.computers.now2007.com/website,2622,The_Customer_Respect_Group.html
13. In 2005, IBM Business Consulting Services Institute of Business Value, together with OgilvyOne
worldwide™, conducted extensive quantitative and qualitative research with consumers, companies
and industry experts, to determine how companies are managing the total customer experience: The
Customer Experience Study 2005 (“the Study”) uncovered some striking perspectives and examples
of best practice for organizations seeking to implement successful customer initiatives.
14. www.programevaluation.org/focusgroups.htm

106
BIBLIOGRAHY

1. Chris Janiszewski and Donald R.Lichtenstein, “A Range Theory Account of Pric

Perception”, Journal of Consumer Research (march 1999), page 353-368.

2. Customer Behavior, A managerial Perspective ( library book from the UACS);

3. Dr. Sekulovska Nada, Promocija, novemnber 2000, Skopje

4. Dr. Sekulovska Nada Promocija, novemnber 2005, Skopje

5. Keller Lane and Philip Kotler, Marketing Management, 12 Edition, Kevin copyright 2006

6. Kent. M> Lancaster and Judith A. Stern, “Computer – Base Advertising Budgeting

Practices of leading U.S. Consumer Advertisers :Journal of Advertsinf” Chapter 12, No4,

year 1983, page 6

7. Kotler Philip, Veronica Wong, John Saunders, Gary Armstrong,” Principles of Marketing”,

Fourth European Edition, year 2000.

8. LL Berry - Journal of the Academy of Marketing Science, 2000 - jam.sagepub.com

9. Nigel Piercy, “Advertising Budgeting:Process and structure as Explanatory Variables”,

Journal od Advertising, Chapter 16, year 1987, page 113

10. Schults Don E., Dennis Martin and William P. Brown, “Strategic Advertising Campaigns”

NTC Business book year 1987, page 240-245

11. Shantanu Dutta, Mark J.Zbarracki and Mark Bergen, “Pricing Process as a Capability: A

resource Based Perspective”, Strategic Management Journal, year 2000 page 615-630.

12. Shimp A Terenc.,” Advertising, Promotion, and Supplemental Aspects of Integrated

Marketing Communications,” Sixth Edition, year 2003

13. Wine S Russel, “Behavior Perspectives on Pricing Buyers” in issues in pricing Theory and

Research, edited by Timothy (Lexington, MA: Lehington books, year 1988

107
GLOSSARY

Refers to degree to which a stimulus influences a


Acceptance person’s knowledge, beliefs and attitudes.
Advertising Company that creates, prepares and places advertising in
Agency various media, working as agent for its client (advertiser).
Advertising Sales or service personnel employed by companies that
executive or sell Out-of-Home media (not to be confused with
account manager advertising agency account executive).
Means the "Client" or "Sponsor" in whose behalf and for
Advertiser whose account advertising is produced and disseminated.
Refers to any form of communications directed by an
Advertising advertiser/sponsor to any mass audience, whether
message readers, listeners or viewers.
Agency Amount paid to advertising agency by media for placing
Commission business.
Outdoor formats that do not fall into the categories of
billboards, street furniture or transit. Most alternative
media is used to crate customized solutions for
Alternative Media advertisers.
The distance measured from the point where a display
becomes visible to the point where the display is no
Approach longer visible.
Attention is the cognitive process of selectively
Attention concentrating on one thing.
The total number of people who have the opportunity to
Audience read an advertising message.
A measurement of the percentage of viewers
Awareness remembering an outdoor design in a test market.
The advertising panel or sheet is placed on a construction
Big Board which is mostly around 6m high.

108
Off-premise, large format sign viewed from a street or
highway. Meadow only provides this type of outdoor
Billboard advertising.
Boards Common term for poster panels and bulletins.
A name selected by the advertiser to identify a product to
the consumer, and to set apart from all other products.
Several product variations may exist within a designated
Brand Name brand.
A billboard on which the copy is displayed for one year
or more without change. Meadow primarily provides this
Bulletin type of advertising.
Circulation Traffic volume in a market
The act of striving against individuals or groups, for the
purpose of achieving survival, income, pride, status, or
Competition other gain.
The level of understanding the outdoor advertising
Comprehension message.
Reduction in quoted base space rates usually earned by
Discount contract continuity.
Framed Posters on street side with visibility to vehicles
City Light and pedestrians.
Digital Digital advertisements which have plasma or LCD
Advertisements screens placed at or near the point of sale.
The degree of value delivered to an audience relative to
its space cost. Usually expressed as either CPM (cost per
Efficiency thousand) or CPP (Cost per gross rating point).
Represents the reasonable opportunities for advertising
Exposure to be seen and read. Common to all media.
The area of design made as a cutout that extends beyond
Extension the basic rectangular space of an advertising structure.
A research which provide rich qualitative data on market
and customer perceptions for such tasks as product
development and testing, advertising testing, consumer
Focus Group surveys, feasibility analysis, and brand image
Research development.

109
The average number of times an individual has the
opportunity to see an advertising message during a
defined period of time. Frequency (and reach) in outdoor
advertising is typically measured over a four week
Frequency period.
Gross Rating Point. GRP represent the number of
impression opportunities expressed as a percent of the
population of a specific market normally quoted on a
GRP daily basis.
Illuminated A lighted sign so that copy is visible at night.
Gas or air filled three-dimensional displays for use at
point-of-purchase or special events; usually taking the
shape of a product, trademarked character, etc. Can also
Inflatables be placed on bulletins.
The combined value of cover age and repetition. It is
determined by the number of people exposed to a poster
showing multiplied by the average number of times
Impact exposed during a 30-day period.
An agreement, oral or in writing, by which possession or
use of land or interests therein is given by the owner or
Lease other person to another person for a specified purpose.
A panel or group of panels or any painted display facing
the traffic in the same direction measured along the line
Location of travel.
Backlit advertising structure located at strategic points in
shopping malls; usually two or three-side, includes
Mall Displays directory format.
The defined area where an out-of-home company
operates; can also refer to coverage (percent of population
Market potentially exposed to the advertising).
The combination of media types used together to meet
Media Mix the objectives of a media plan.
Big powerful advertisement dedicated to all pedestrian
Mega Light and vehicular traffic with excellent illumination.
Mobile Mobile advertising accesses areas, where no other forms
Advertisements of Outdoor Media exist.

110
A truck equipped with one or more poster panel units.
The truck can either be parked at specified venues or
Mobile Billboard driven around designated localities.
Outdoor Advertising Association of America, a national
OAAA trade organization for outdoor advertising firms.
A sign that advertises products or services that are not
sold, produced, manufactured or furnished on the
Off-Premise Sign property where the sign is located.
A sign that advertises products or services that are sold,
produced, manufactured or furnished on the property
On-Premise Sign where the sign is located.
Outdoor Media that displays advertisements outside the home,
Advertising such as with highway and transit signs.
All advertising that is specifically intended to reach
consumers outside the home. Out of home includes, but
Out-of-Home is not limited to, outdoor media and radio.
Advertising message (not a designation sign) painted
directly on building surface for high impact visibility,
Painted wall often several stories high.
A license granted by the state and/or locality to authorize
Permit a sign structure on a site.
The smallest single point of light on a display that can be
turned on and off. For LED displays, a pixel is the
smallest block of light emitting devices that can generate
all available colors. For incandescent displays, a pixel is
Pixel an individual lamp on the matrix.
All the Outdoor advertising units in a market that are
operated by a single company. Sometimes the term refers
Plant to the outdoor company itself.
A m2 sign face on which copy can be changed monthly.
Poster paper is pasted to sign face to change copy. Also
Poster called a 30-sheet poster.
Advertising media with a surface area around 40 m2 and
more, (3 to 4 surfaces on each side) at very high-traffic
Prizma Billboard sites and is also called rotating billboard

111
The approximate percentage of a target audience's
population which will be potentially exposed to an
advertising message at least once during a specified
period of time. Reach is normally measured over four
Reach week periods.
Retention The information is transferred into long – term memory.
A painted display, panel or poster situated on a metal
Roof top signage construction structure erected on the roof of a building.
Create displays or vinyl cloth and can change message as
Rolling billboard needed to suit the needs of the advertising campaigns.
The process of moving the advertiser's message from one
painted display location to another at stated intervals in
Rotating billboard order to achieve more complete coverage of a market.
The color intensity of an image. An image high in
Saturation saturation will appear to be very bright.
A mode of message transition on display where the
Scrolling message appears to move vertically across the display
billboard surface
A group of poster panels distributed throughout a city or
marketing area displaying an advertiser's message.
Showing Usually displayed for a 30 day period.
Any structure used to display information regarding a
Sign product or service. An outdoor unit is a sign.
Stationary
Billboard Billboard situated on fixed place.
Advertising displays, many that provide a public
amenity, positioned at close proximity to pedestrians for
eye-level viewing or at a curbside to impact vehicular
traffic. Street furniture displays include, but are not
limited to transit shelters, newsstands/news racks, kiosks,
shopping mall panels, convenience store panels and in-
Street Furniture store signage.
(Strength, Weakeness, Opportunities and Threats) Simple
but powerful tool for identifying the opportunities open
SWOT to you and managing the threats you face.

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The profile of the most desired consumer prospects for a
product or service, listed by characteristics such as
demography, lifestyle, brand or media consumption,
Target Audience purchase behavior, etc. Common to all media.
Advertising structure on taxicabs, either on roof or at rear.
Roof panels are called taxi tops and are generally backlit
Taxi Advertising at night.
Official agency of the federal, state or city governments
Traffic which regulates and studies traffic flow, and issues
department statistics on same.
Number vehicles that pass an off-premise sign in one
day. Traffic counts are obtained from the state highway
Traffic Count department.
Transit advertising contains displays affixed to moving
vehicles or in the common areas of transit terminals and
stations. Transit displays include, but are not limited to,
bus panels, train/rail panels, airport panels, taxi panels
Transit and mobile advertising signage (trucks).
A polymer-based material used for large format, usually
printed, advertising which is stretched around a sign face
Vinyl for display. This is Meadow Outdoor preferred medium.
Murals painted or attached directly onto the exterior
Wallscape surface of a building
Computer printed vinyl panels attached to the exterior of
vehicles, to carry advertising messages. Special
Translucent material is used over windows to allow the
Wrapped Vehicle image to fully cover the vehicle.

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Creative outdoor advertising pictures, taken from sit e www. Ffickr.com

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