Out-of-Home advertising Global trends, Legislation & Marketing Strategy

1. Presented on February 22, 2012
at School of Media & Communications,
Operational Business Strategy for Media Effectiveness programme
PAN African University
By
OUTDOOR
ADVERTISING
TODAY
BABS FAGADE
General Manager
Emotion Advertising
&
Publisher, Outdoor Republic

2. GLOBAL TRENDS
LEGISLATION
Dubai Roads & Transport Authority
MARKETING STRATEGY
Lagos State Signage and Advertisement Agency

3. Outdoor Has Come a Long Way
Paint and Paste
Circa: 1906

4. What’s our Business

5. Intro
• Out-of-Home advertising is fast regaining
position, being the oldest form of advertising.
• Today we talk about the “Attention Economy”.
• The Attention Economy states that human
attention is a scare commodity.
• Hence, getting the attention of people on the
move is our business.

6. Top activities of People on the move
Driving
Saw Ads on Billboards
Walking
Using mobile devices
Shopping
Watching in parks
Spontaneity

7. Global
Trends

8. Scrolling across the world
• Paris -
- Lisbon

9. •Sites upgrades
•More legislation & regulations
•OOH + Mobile (QR Codes, NFC etc)
•Improved Research
• Reduction in DOOH investment
Global Trends

10. More changes
• The centre point is that same location/sites
are upgraded to command better rates.
• Maximization of value in every site.
• Decrease in supply because less is more.
• Restrications and prohibition on hoardings.
• Using Apps on mobile devices with OOH.
• DOOH market continues to grow with concern
over rates.

11. • U.S.A
- United Kingdom
Digital poster world

15. • The digital billboards continues to outshine
conventional billboards with high luminance.
• Digital billboards operating at a luminance
levels produce much fewer lumens into the night
sky than conventional bottom mounted lighting
systems.
• Getting photographs and other critical
information in front of the public and updated in
real time will be a tremendous benefit in quickly
finding lost children, taking criminals off the
street, and notifying our residents of other public
emergencies.
Digital OOH

16. • DOOH advertising recently surpassed its forecast of
€626m by 2012. DOOH share expectation growth of
approximately 10 per cent of total OOH ad revenues
is already a reality.
• Presently, fewer global players dominates the
DOOH market.
• Uses LED technology and cutting edge interactive
digital media platforms.
• Architects are beginning to think screens when
designing new public spaces or facilities.
• The beauty of DOOH is interactivity, for downloads
and uploads for mobile people.
Digital OOH

17. • Outdoor screens are at the same stage as the
Internet 15 years ago…the technology exists but users
don’t understand the potential and try to apply
traditional thinking.
• Advertisers and sponsors may have to forget footfall
and ‘cost per 1000’ and think about unique
opportunities to spend time with the brand.
•Like other Media strands content is the
king...informative, relevant and entertaining.
•Content need to be compelling and engaging or
screens will at best be ignored and at worst be resisted.
Digital billboards

18. • Digital signage is not an innovation – it is a
commitment.
• Short term for OOH is long term for DOOH.
•DOOH is changing the functional positioning of
Out-of-Home media.
Digital billboards

19. … help the community
with emergency information
… are attractive
13% 14% 73%
32% 21% 47%
Disagree or Strongly Disagree
Neutral or Don’t Know
Agree or Strongly Agree
Digital Billboards Viewed as Attractive and Helpful
Source: Arbitron Outdoor Billboard Report: 2009 Los Angeles Case Study
Digitalpostalfacts

20. … are a cool way to advertise
… have current and
relevant information
27% 16% 57%
20% 25% 55%
Disagree or Strongly Disagree
Neutral or Don’t Know
Agree or Strongly Agree
Digital Viewers Have Positive Attitudes Toward Messages
Source: Arbitron Outdoor Billboard Report: 2009 Los Angeles Case Study
Digitalpostalfacts

26. Popular formats
• The construction
wrap in Dubai.
• Cut-outs in India.
• Buses in London
• Wall drapes in New
York.
• Unipoles in Nigeria.

27. Legislation
Industry Friend Or Foe
If you want the rainbow you
have to put up with the rain

28. Legislation
• This is where we say, all eyes on Out-of-Home.
• Licensing fee is not new to Outdoor Media
Owners (OMO) but recent legislations can be
somewhat.
• There was paid signage on the London
Railways as early as 1863.
• Being first to be noticed, as canvass on the
roadside – the medium is facing various forms
of legislation from Governments world over.
• The self explaining road – legislation.

29. Le-t gis-t in court
•UAC Vs LASAA – Lagos, Nigeria
•PromoWorld in Court against LASAA – Lagos, Nigeria
•Lamar Advertising sues the City of Detroit – Michigan, USA
•California State legislation blocks billboard restriction bill
•OMO Vs Environmentalist in India

30. International benchmarking
Puts a city into context –one can visualize
• Trade-offs
• Highlights
• Shortcomings
• Successes
• Gaps
• Potential

31. Legislation in Toronto
Sign Ordinance Enforcement Agency:
•Introduced, “Harmonized sign by-law” in November 2009
•Proposed an estimated 25% tax on gross revenue
•Commercially focused legislation
•Strong resistance by Out-of-Home Marketing Association
of Canada.

32. Legislation in Dubai
Dubai Road and Transport Authority:
•Regulation currently based on traffic safety & aesthetics –
no commercial awareness
•Few regulatory role models
•Room to improve management & control of industry
•Opportunities for those that do improve

33. Source
Legislation in Dubai

34. Source
Legislation in Dubai

35. Source
Legislation in Dubai

36. Legislation in Lagos
Lagos State Signage and Advertisement Agency:
•Regulation currently based on commercial & aesthetics
•Absence of national regulatory role model
•Room to improve management & control of industry
•Opportunities for those that do improve
•Eradication of clutter.

37. Legislation in Lagos
Type of Sign
Applications
Anticipated/En
umerated
Number
Received Number
of Application
Difference
1st Party 42,743 2,600 40,143
3rd Party 5,800 5,800 0
Transit Signs 7,000 100 6,900
Temporary Signs 1,000 50 950
Social Responsibility
Branding Signs
2,000 30 1,970
Total 58,543 8,530 50,013
Street Lamp Pole, Bus Shelters & other approved forms of advertisement are not
included in the table
Source
2008
www.lasaa-ng.com

38. Total 58,543 8,530 50,013
Type of Sign Applications Anticipated/Enum
erated Number
Received Number of
Application
Difference
Need integrated Enterprise Solution to deliver Revenue
Target through:
• Operational effectiveness
• Visibility across departments
• Revenue Tracking and Allocation
• Data sharing
• Application tracking and monitoring
• Eventually enhance an online application process
Source
2008
www.lasaa-ng.com
Legislation in Lagos

39. A good time to takes stock of the benefits

40. Drivers of legislation
•Better sites with better commercial value
•Regulators can earn, city aesthetics are optimized and
commercial value is maximised
•More control and aesthetically beautiful city
•Assistance in achieving city growth targets
•Bridging the gap between audience and opportunity
•Traffic Safety

41. Research shows that talking to wives on the
phone while driving (even with hands-free) can
be more dangerous than any OoH media format
Are wives
banned
?

42. Definitely pretty ladies are way more dangerous
on the roadside than any format of OoH media
Are pretty
ladies
banned
?

44. Marketing Strategy
• What if I told you that I don’t understand
words like strategy (and that I had never
heard of such words outside a military
academy!)

45. Marketing Strategy
Perhaps, I’d never even heard of the word
– proposal. That I thought it meant to
Propose to a lady.

46. Here comes your five enemies
(Five forces framework)

47. Marketing Strategy
• Simply put there is no had and fast rule when it
comes to the marketing strategy of a visionary
enterprise.
• However, there are some basic rules.

48. •Building a Brand or Image technology –
This is when you have created a 5th Factor of
production such that people pay habitual obedience to
a set of stimuli generated by you.

49. Market driven focus:
•Core Business proposition should be clear like crystal
•Sales efforts must deliver core business proposition
•Closeness to the client can make the difference
•Be Proactive rather than reactive.

50. •Define your Customers/Clients–

51. Identify buying pattern

52. Sales approach
• Be an Order getter and not an Order
taker
•This is achievable when you approach
the client or prospect as a solution
provider

53. Ever present
• Make your site an ever present sales
force

54. Building a solid network – a classic
for all generation
•Who do you relate with in your industry? –
colleagues, Brand managers, media planners etc
•How deep or involved are you in your industry? –
need to be as visible as your billboards
•How and who do you exchange call cards with? –
relevancy is key
•How well can you access information within the
industry? – trade journals versus grapevine

55. Relationship management – you are
not just selling but marketing
•Deep product knowledge is key
•Understanding your clients’ need, psyche, wants etc
•Establish contacts, regular visit and follow ups
•Establish & maintain a good professional image always
•Read wide to be versatile so that you can engage and
be engaged too
•Enhance your clients’ job/business – competitors
watch, promptness etc.
•Be polite, courteous, listen and be of positive attitude.

56. Pricing Strategy – here are some tips
(Be good at negotiation)
•Record keeping
•Preparation
•Historical comparison
•Maintain a benchmark
•Have your standby reserve/fall back
Make the money

57. Always
ask for
a full
bottle

58. Thank you