Outdoor Stands the Test of Time

Outdoor stands the test of time–and technology.pic4

Billboard, the most well known facet of out-of-home (OOH) advertising, has long had a bad rap in Hampton Roads. Many communities have enacted and currently enforce strict signage regulations that severely limit the number of locations and their availability. Still, even with the seismic shifts in media consumption brought on by untethered Internet access, OOH remains an impactful and efficient medium for location-based and brand messaging. As more boards convert to digital signage, the limited space can accommodate more total advertisers in rotation. The future of buying that digital space – in fact, all OOH – will continue to get caught in the wave of technology change that is programmatic planning and buying, but that is a topic for a future conversation.

To get a broader perspective, I reached out to Rob Smithwick, VP of OOH media strategy for EMC Outdoor, to answer a few questions about the comparative state of OOH in our market.

Q: How does Hampton Roads compare with other markets its size relative to billboard saturation?

A: Hampton Roads struggles with billboard coverage in its largest cities: Virginia Beach (containing about one-third of the market’s population), Chesapeake and Hampton. These cities’ laws governing locations are so strict that finding approved and available locations to build on is very difficult.  Many years ago, Virginia Beach created laws to remove all boards through attrition. As time passed, and roads were widened, boards were lost forever.  What good locations do exist in these cities are expensive due to demand. Coverage is “good” in comparison to other markets / cities in Norfolk, Portsmouth, Newport News and Suffolk.

Q: What does the conversion to digital signage look like?

A: The space owners have converted their BEST locations to digital, just like they did when Trivisions were the newest option (mechanical, three-sided, rotating faces).  Those “best” locations provide more advertisers the ability to reach their targeted traffic / demographic by offering up to eight “spots” per complete rotation. Each spot stays up for eight seconds as a national average, in most cases nationally.  Some space owners run six advertisers at 10 seconds each. Both would allow each ad to be seen about once per minute.

Q: What percent of boards are digital?Kathryn Moore, Media Director for Seventh

A: On a percentage basis, the number of digitals may seem low, but keep in mind that the space owners are only converting those boards with the highest client demand and traffic, so their impression counts are good.  In Hampton Roads, about 4% of the total number of boards are digital. That percentage will certainly grow over time.  The cost of the construction and installation of digital faces is coming down with the national demand.

Q: What has that meant to the industry?  What should advertisers expect in terms of cost/exposure with digital v. static boards?

A: Digitals have basically expanded the quantity of “faces” in the best locations. There are no production or installation charges; you can change creative throughout each day, week, 4-week period or day-part, and much more. In my opinion, there are downsides.  You now share that space with other advertisers, so your Impressions are lower than buying a comparable static board, because of the increased number of advertisers. Additionally, the space owners have determined that they can charge a premium for each “turn” on each board.  While it is less than buying its static neighbor, per 4-week period, it is not one-sixth or one-eighth of the rate. If a static face in the same area has a cost of $8,000 per period, one digital turn, with the same traffic, would likely be $4,000 to $5,000 per period.

Q:  Any comment on overall spend – up or down here, and here vs. nationwide?

A: BilWonder what your billboard design wouldlboards in Hampton Roads are about 15% more expensive than other comparable markets, and evenly placed coverage is a struggle. You have to buy a little deeper (or more boards) to achieve your TRPs.  That is why we offer alternatives like trucksides, gas pump tops and transit in Hampton Roads, and other markets with similar challenges.

Q: Anything different about outdoor here that advertisers, big or small, need to know and be aware of in planning their advertising?

A: There are good billboard opportunities to be found.  Like most businesses, occupancy drives rate, so checking on availability often, buying at the right time and finding the best locations to reach your target audience is key. Don’t buy boards that you, your family and friends see.  Buy boards that your POTENTIAL CUSTOMERS see. Keep your target in mind.  Leave your ego out of advertising. Again, considering other Outdoor Media options may be helpful, and there are many in Hampton Roads.  Most advertisers stop at Billboards.

 

Bottom line, as a part of an integrated strategy, OOH is a traditional medium that bears strong consideration in your media mix. Digital conversions should continue to help provide inventory relief. While not comprehensive, these maps will give you a good feel for locations across the market.

Hampton Roads Poster Map-EMC

Hampton Roads Digital Map-EMCHampton Roads Bulletin Map-EMC(1)

Do You Get This Stuff Yet?

confused 1The three simple elements of Programmatic Buying and Real Time Bidding

On a daily basis I’m asked by advertisers in Hampton Roads and beyond  to explain what these huge buzz words really mean. The ad industry is still clamoring for a sexier and simpler word than “Programmatic,” but my money says it will never happen. (I remember Cable’s battle cry from the ’90s: “Someone find a better name than Pay-Per-View!”) Once a clunky name sticks, it sticks.


The important thing to know is that this system of targeting, buying and tracking advertising is transforming the industry.


The Journal of Financial Advertising reports that more than 50% of financial brands utilize it within their media mix. Some reports have more than 70% of major advertisers shifting significant portions of their digital budgets to programmatic and online TV (video) buys.

So how can you break it down? Well first, if you’re a seasoned media technician working in this stuff every day and you never have a reason to explain what you do, STOP READING NOW. What follows will seem way over-simplified. But what follows is proven “light switch” wording that has helped folks, from the CMO to the front line, understand how this all works.

First, several definitions (there are other important ones, but let’s just start here):

Programmatic means that, instead of picking up a phone and calling a media rep at a network or publisher’s office, I’m using a computer platform to scan, plan and buy available ad inventory that’s listed on other computer platforms. As much as 98% of Internet inventory is available in this world.

Real Time Bidding means each impression is identified, bid for and placed by the same computers each time the viewer loads a page where the ad is served.

A Demand Side Platform is the technology that lets a human media buyer pull it all together—look out across all of the available inventory, target consumers, schedule buys and measure performance.


The following three elements have worked the best for me in explaining the basis of how it comes together:

1) Target People, Not WebsitesProg 1

Almost everything you touch today leaves some type of data-based thumbprint behind. That “Big Data” you keep hearing about is a compilation of billions of activities, affiliations, purchases, friendships, likes—you name it. It’s collected, sorted and made available by data companies for programmatic planners to build profiles of targets that advertisers want to reach. Your “data thumbprint” is embedded in your browser, viewer or app. The Demand Side Platform sees the thumbprint or profile of the person and only serves your ad when it sees your target.

2Prog 2) Bid for Each Impression in Real Time

When the media buyer set up the plan, he determined how much he was willing to pay to serve your message to each person who matches one of your customer profiles. If the market is low, you pay less. If competition is high, you will have to pay more. It can vary by time of day, location of the ad, industry, DMA, zillions of variables. And the value you bid can change as well. Bid higher for customers that have bought from you before, or who live closer to your restaurant. The bids are entered into and managed automatically by the system, so it all happens in nanoseconds.

3) Continuously Optimize and Improve Every CampaignProg 3

The system tracks and reports every activity: ads served where and when; who clicked to where and when; how much impressions and conversions cost. Every day, technicians are sitting at desks looking at what worked well and shifting the budget to do more of it. They test and find what doesn’t work well and throw it out. Day after day they work to improve bid pricing, lower conversion costs and provide up-to-the-minute reporting.

Programmatic buys are placed across websites, video platforms and mobile apps using all sorts of static, animated and full-motion video messages. The system lives mostly in the online world today, but programmatic technologies are moving quickly into more traditional media—television and radio in particular. The ability to target a TV ad to an audience of one isn’t far away.


One thing is for sure: The more sophisticated advertising gets, the more we need to find ways to explain what’s happening. Hopefully this version helps. If so, pass it on. If you’ve got comments or additional thinking, please add it. Love to hear from you!

You’re gonna see an ad anyway,

 it might as well be something you like…Marketing Hampton Roads

One big debate these days in advertising circles (of course there are many) revolves around privacy, and just how much we as advertisers know about our prospective targets. Healthcare.gov’s recent wishy-washiness about sharing consumer privacy information helped fuel the conversation. While I’m not a fan of privacy invasion or over-the-top hacking and snooping, I do fall firmly on the side of the statement above. I know I’m going to see ads on websites, in apps, in TV programs and ahead of that tile-grouting video I just searched for. My sense is, it might as well be an ad for something I give a hoot about as opposed to something totally unrelated to my world. In fact, for me, the more relevant the better. And that’s exactly how it’s supposed to work.

 Three ways to see who’s watching you online.

If you’ve ever wondered who’s watching you, or who knows what about you, it’s not hard to get a good view. Just about everywhere you go online…no matter what platform…you’re picking up cookies or in some way leaving a trail of data. Here are three ways to get a glimpse of when someone’s watching and who knows what:

1.)      Website trackers

Ever wonder who’s lurking behind the browser? Who’s warehousing data every time you mouse over a picture or click a link? Fly over to Ghostery and click on the button that says “Add to (whichever browser you’re using).” After you do you’ll be treated to a magical looking-glass on each page that looks something like this:Ghostery

The list will change from page to page and site to site, but it shows you who the data aggregators are that have placed pixels and are collecting data on that page, as well as the ad exchanges and traders that are serving ads on that site. Clear your cookies if you want, but every time you come back they will still be there. Your only choice in thwarting them is to block cookies…but remember, you’re gonna see an ad anyway…

2.) What Facebook thinks of you

Those guys at Facebook are so smart, and transparent, that if you want to know why you’re seeing a certain ad, all you have to do is ask. Not only that, if you’re not seeing what you want, you can actually add to your preference list. Here’s how:

a.     When you see an ad on Facebook, hold your mouse over the upper right hand corner until an X appears. Click on it, then click on “Why am I seeing this?” Another box will pop up with the answer. Could be you’re the right demo. Could be you like to do certain things or go certain places. Or it could be a lot vaguer, like “this company wants to reach people like you.”

b.     Within the second box, click on “Manage my preferences.” Within the box that opens you can see everything Facebook thinks it knows about you relative to the ads you see. Click on each content area to see individual data tags relative to your content, profile or activities within the site. Some of it will be dead wrong, some right on the money.

c.      If you think Facebook has it wrong, or is missing some things, you can actually customize this profile. You can delete individual preferences, or, at the top of the page is a box that allows you to add preferences. In fact, you can do this whole exercise on practically any ad on any website. Click on the arrow or box in the upper right corner of an ad, then look for the link to manage your preferences. Rather see ads about Disneyworld? The NFL? Here’s your chance. Because remember, you’re gonna see an ad anyway…

3.)   What the Shadow knows

On the creepier side, try out the Digital Shadow and let it build your virtual profile. The site, which is really a clever app built by Ubisoft to market the game Watchdogs, lets you log in using Facebook and then builds a rather eerie, contrived picture of you and your life using your profile data. With claims like, “We know who you are,” “We know who you care about,” “We know how to find you” or “We know what you’re worth,” you can’t help but feel paranoid. If you’re like me, you’ll find quite a bit of it laughable (yeah, try looking for me in the Bahamas). But the idea of getting a glimpse at how data trackers may see you is interesting.

Bottom line is that advertising will continue to become, more and more, a technical business. As an advertiser, you want to know as much about your potential customer as possible. Data trackers and online profiles help you do that, help make the online user experience more relevant, and I believe make it more efficient for all of us. So go ahead, serve me ads for SCUBA diving and sport fishing off of Freeport. Because, hey, I’m gonna see an ad anyway…

The Technology Is Pretty Simple

 It’s the Stuff That’s Complicated

Just ask a digital media buyer.Chevy Guy

Technology and stuff sure make us marketing executives sweat. The whole world found that out firsthand when Chevy’s Rikk Wilde crashed the MVP party with his now-famous #technologyandstuff description of Madison Bumgarner’s new Chevy truck. And of course it wasn’t the technology or the stuff that had Wilde beading up with sweat, it was the national stage.

But the Chevy exec and lifelong baseball fan drew national attention to a big topic, one the digital advertising and media world grapples with daily: finding a way to make high-tech advancements simple enough for everyone, even really high-powered people like marketing execs, to understand.

In local market advertising, even a fairly big local market like Hampton Roads, VA, advertisers grapple with the question of how, when and where to shift marketing dollars into digital media, and how to know when that strategy is working. While pay-per-click advertising can be pretty straightforward if the consumer is properly motivated to click, digital display advertising has fallen out of favor. Measuring response has been difficult, primarily because of the way it has been bought and tracked.

Enter #technologyandstuff.

The highest-tech, most cutting-edge system and tool within digital media buying is a sophisticated system called a Demand Side Platform (DSP), which allows an operator to buy media programmatically and bid on digital advertising inventory in real time.

Whew. See? Sweat beads.

You can read a great blog describing some of the DETAILS of the stuff that makes up programmatic buying here, but let me tell you that what the technology does is make sure that the advertiser’s ad only shows up when a targeted customer is actually surfing. And the advertiser only pays what he or she has bid for that targeted customer. And then all this stuff measures what is working best, and the buyer tells the technology to do more of that. The same stuff measures what is not working so well, and the buyer tells the technology not to do so much of that.

While I don’t exactly expect you to follow all of that particular technology and stuff explanation, I can tell you that as an advertiser you should gain an understanding of programmatic buying.

In one form or another, it will become the way advertising is bought and sold going forward.

It is automated advertising buying compared to manual buying, and it will drive the efficiency and measurability among all types of advertising. And that includes traditional forms like broadcast and cable, outdoor and print.

Even some of largest local advertisers will admit that, although they have a very diverse media mix and an ongoing focus in driving social as well as real-life connections to their brand, the plans are not very well coordinated, and they lack the ability to measure how effectively their digital advertising is working. Technology is going to continue to open up more media mix opportunities. Find someone to help you understand the stuff, and you’ve got the secret ingredient to make it work.