Commentary

Study: Advertisers Waste $2.3 Billion by Not Using DOOH's Features

Digital out-of-home advertising campaigns that neglect to take advantage of DOOH’s unique qualities are wasting some $2.3 billion per year, according to a new study from Clear Channel Outdoor, which looked at DOOH campaigns to see how many of them are leveraging features like motion, interactivity, and the ability to deliver content in real time.

The CCO study found that three out of four campaigns using DOOH assets don’t make use of the medium’s unique features, essentially treating DOOH displays like a fancy version of static signage. With the global DOOH advertising marketplace valued at around $3 billion by Kinetic in 2011, CCO reckons that equals $2.3 billion of wasted opportunities (possibly more, considering the industry’s growth).

Whatever failures there may be on the creative side, on the consumer side DOOH is definitely perceived as forward-looking. A survey of 1,000 shoppers and rail commuters conducted in France and Belgium by Clear Channel International found that 79% think of DOOH advertising as modern, 69% as innovative, 67% as appealing, and 63% as entertaining. 70% of respondents said DOOH stands out from other forms of outdoor advertising.

DOOH stands to benefit from some other media technology trends as well, with clear possibilities for integration with mobile and social media. Earlier this year Accenture released a report on DOOH growth opportunities around the world, in which Kerry Bianchi, Accenture’s managing director and global lead for media management, predicted that “the continued growth in social media, improved network power, 4G, and the increased sophistication of smartphones means that the convergence of media on the move is inevitable.”

2 comments about "Study: Advertisers Waste $2.3 Billion by Not Using DOOH's Features".
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  1. Martin Thomas from Always On Communications, June 14, 2013 at 6:39 p.m.

    I always love these articles with the "shocking" headlines that harken back to the old days of Yellow Journalism.

    The ad is "wasted" if it wasn't effective in terms of meeting the objectives of the campaign. If the advertiser was using Digital OOH to drive traffic to a retail location, and the digital ad did, in fact, drive traffic, then it's really immaterial whether the creative on the ad took full advantage of the myriad of "unique features" available in the Digital OOH medium.

    In fact, a "static sign" ad on a DOOH platform that achieves its campaign objectives is less wasteful than a full-motion video sign that doesn't.

  2. Carol Michael from Media Solutions, June 14, 2013 at 7:05 p.m.

    Can anyone say "Distracted Driving"? I believe the trend will be less and less motion on these boards, and probably less and less boards. Haven't they been outlawed in some states?

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