The Rise of Programmatic Out-of-Home Advertising (pOOH): Leveraging Real-Time Data for Targeted Advertising

Programmatic Out-of-Home (OOH) advertising has revolutionized the way agencies and brands approach advertising. It enables brands to tailor their ads to the specific needs and interests of the audience, resulting in higher engagement and a better ROI. Rather than participating in bidding wars, brands can rely on technology to place their ads in the ideal environments, ensuring maximum exposure to their target audience. 

The combination of DOOH and programmatic advertising is a game-changer, reshaping the entire public ad space. By partnering with an elite, well-connected digital media provider, brands can enjoy maximum exposure in the most streamlined way possible, creating new revenue streams and increasing brand recognition.

What is Programmatic Out-of-Home Advertising (pOOH)?

Out-of-Home (OOH) is contextual by nature, and unlike Digital OOH, Programmatic OOH advertising allows advertisers to purchase ad inventory and deliver relevant messages to consumers in real time. By leveraging real-time data and technology such as location, weather conditions, local events, and traffic patterns, programmatic OOH advertising enables advertisers to deliver more relevant and contextual messages to consumers, resulting in increased engagement, lower Ad waste, and higher conversion rates.

The Global Growth of OOH

According to oaaa projections, programmatic OOH will continue to steep upward climb, crossing the $1B mark globally by 2023.

It Looks like the pandemic was a blessing in disguise for OOH, with the ease of COVID restrictions in APAC last year and the reopening of borders. We have seen a significant increase in footfall in malls, airports, and key shopping areas resulting in the demand for both OOH and Digital Out-of-Home DOOH advertising to capture a larger share of voice and drive brand performance. However, one of the biggest challenges in this space is the limited availability of advertising space across markets.

To address this challenge, brands are now looking for more disruptive DOOH strategies, and pOOH serves as a powerful tool for brands to drive engagement and achieve their marketing objectives.

Comparison of Programmatic OOH to Other Advertising Channels

Programmatic OOH advertising has proven to be a promising option compared to other advertising channels. This type of advertising can be a great complement to other top-of-funnel media that may be running. pOOH runs on a CPM (cost per thousand impressions) model, which can be more cost-effective than other channels like CTV (connected TV) and OTT (over-the-top) while providing many of the same benefits. Further, we can expect traditional CTV ad campaigns to crossover into DOOH screens, driving demand for better measurement and increasing the CPM value for reused content campaigns.

See Also

Moving Walls And TPS Engage announced scalable Cross-Border DOOH executions

The Benefits of Programmatic Out-of-Home Advertising

1. Targeted Advertising: It allows advertisers to target specific audiences based on their demographics, interests, triggers, and behaviours. It makes ads more relevant to the consumer, increasing the chances of engagement.

2. Cost-Effective: It eliminates the need for manual processes, such as negotiating rates and placements, saving advertisers time and money.

3. Seamless Data Integration: It relies heavily on data, and with seamless data integration across channels, pOOH is making it easier for advertisers to deliver targeted ads to consumers.

4. Full-funnel activations: Programmatic DOOH campaigns can drive growth by impacting key KPIs. Advertisers can use guaranteed deals for mass exposure, followed by data triggers to boost the campaign’s lifecycle, and targeting customers through longevity for higher impact.

5. Dynamic Creative Optimization: DCO employs AI technology to provide tailored and appropriate ads in real-time, which are customized to suit the target audience, for example: if India beats Australia at Cricket – you would want dynamic creative to change as quickly as possible after the game so that fans journeying home witness the OOH messaging congratulating India, publishing the score and referencing tickets for the upcoming game.

Programmatic OOH advertising is a powerful way to reach consumers and build brand awareness with precision in the physical world. Executives are urging more advanced data, targeting, ROI, and measurement solutions to optimize its potential. Its adaptability and versatility make it a critical component of a successful omnichannel marketing strategy.

Read Also : Marrying Martech with Creative Content: Strategies for Engagement and Conversion

About the Author: Mayank Sharma, Sr. Programmatic Manager, WebMD