Is OOH effective? The benefits of out-of-home advertising

Out-of-home advertising has transformed massively over the years. From being used as a medium in Ancient Egypt to display laws, to broadcasting advertising messages far and wide today, it has evolved to keep up with the wants and needs of advertisers, brands and consumers.

There is an age-old myth with OOH advertising that there is an inability to effectively track and measure campaigns. However, digital developments in recent years have aided in showing that OOH advertising really does work and is indeed effective.

In this article, we take a look at the benefits of OOH advertising and how it is an effective advertising medium.

What is OOH Advertising?

Out-of-home advertising is exactly as it sounds - advertising that is found and reaches the consumer outside of the home. When you come across a billboard advertisement in the city centre or see a bus stop ad whilst walking to the local corner shop, these are all types of OOH advertising and advertisers have strategically placed these ads to target consumers that frequent those locations, like yourself.

There are a variety of benefits of OOH advertising, read on to find out.

Types of OOH Advertising

There are a number of formats to choose from when it comes to OOH advertising, such as:

Traditional (Billboard Advertising)
Wallscape and Mural Advertising
Transport Advertising
Digital Out-of-Home Advertising
Street Furniture Advertising
Place-Based Advertising.
Radio Advertising.

Choosing the right one is crucial for optimising your campaign’s effectiveness and resonating with your target audience. Read more about the types of OOH advertising here.

Is OOH Advertising effective?

OOH advertising is a medium that is favoured for its broad reach, guaranteed impressions and flexibility. It’s known for conveying messaging effectively and efficiently, which is especially important when communicating with an audience that is going about their day.

Fundamentally, it works. Data shows that OOH advertising is effective at driving purchasing decisions and influencing people to take action. Furthermore, it has the best recall rate when compared to social media advertising with over 80% having recalled seeing a printed or digital OOH ad. In comparison, Mobile and Digital ads had recall rates of around 50%. (1)

Benefits of OOH Advertising

OOH advertising can be an integral part of your overall marketing strategy and delivers so much more than just brand awareness. Let’s take a look at the other benefits of this established advertising medium:

1- Increased Visibility

OOH advertising offers brands high visibility, particularly because it’s ‘always on’ and you can’t skip, switch off or block the advertisements. The constant presence that OOH advertising delivers reinforces brand messaging and ensures your brand remains top-of-mind. 9 8% of consumers are exposed to some format of OOH advertising each week, highlighting its wide reach and broad visibility. (2)

2 - High Impressions

Typically placed in high-traffic areas such as motorway overheads or near shopping centres, OOH advertising can be seen by millions of people, providing unparalleled exposure and creating lasting brand impressions.

3 - Accuracy

In recent years there has been huge innovation in the out-of-home advertising space with an influx of new tools and technology that can be used to effectively measure and optimise OOH advertising campaigns. These tools have also simplified and automated the process of buying advertising, making it a highly efficient process.

4 - Flexibility

OOH advertising encompasses many formats meaning there are a variety of creative ways to display your advertising message, from street furniture to static billboards. Additionally, the abundance of formats, locations, programmatic buying options and the capacity to schedule and contextualise content provides advertisers the flexibility to craft highly targeted campaigns that can be optimised throughout the duration of the campaign.

5 - Cost-effective

OOH advertising is one of the cheapest forms of advertising with lower cost per thousand impressions (CPM) rates than other forms of advertising. According to the Out of Home Advertising Association of America (OAAA), billboards have a staggering 495% return on investment. (3)

6 - Synergistic

An OOH advertising campaign has the potential to go viral online and boost engagement. When used as part of a cohesive cross-format advertising strategy, OOH advertising can complement online marketing efforts pretty well. Integrating OOH with online and social media unlocks the potential for your brand to be seen by millions of people, reaching audiences through multiple channels.

7 - Influential

Strategic placement of OOH advertising can have a great influence on purchasing decisions. When placed near points of sale, OOH can influence consumer behaviour and drive impulse purchases. In fact, data shows that 69% of consumers have made a purchase triggered by OOH advertising. (4)

8 - Targeted

OOH advertising allows advertisers to strategically place ads in specific locations that target particular demographics. Furthermore, DOOH allows for ads to be increasingly personalised depending on the context. For example, say a brand wants to promote their new skincare line, in the morning digital billboards may show morning skincare routines and nighttime skincare routines in the evening.

Measuring the impact of OOH Advertising

A common challenge that marketers face is how to measure OOH advertising effectiveness. Measuring is important as it shows advertisers and brands whether their efforts have been effective relative to the KPIs and campaign objectives.

Thanks to developments in technology, OOH advertising is more streamlined than ever before and there are a few ways to measure the impact of OOH advertising, depending on whether you’re using traditional or digital methods.

Traditional

Foot traffic

Asses the number of people passing an advertisement to estimate the number of individuals exposed to it.

Audience Surveys

Surveys or focus groups can be conducted to determine how many people remember seeing an advertisement and the specific messaging it conveys.

Sales Uplift

A notable increase in sales or enquiries during the campaign and immediately after will show if the OOH campaign had a direct impact on consumer purchasing behaviour.

Digital

Social Listening

Track an increase in brand mentions, hashtags or discussions online relative to the OOH campaign, to determine its reach and resonance with the audience.

QR Code Scans

Assess how many QR code scans were completed to determine whether the OOH campaign was successful at driving audience action.

Impression Counting

Quantitatively measure the number of individuals that have seen the advertisement to determine the reach and exposure of an OOH campaign.

GPS Location and Facial Recognition

Track GPS data and analyse facial recognition data to determine the demographics of individuals who have been exposed to your OOH advertising campaign.

Website Traffic Spikes

An increase in website traffic following the launch of an OOH advertising campaign suggests the campaign drove audience interest and engagement.

In summary, OOH advertising is an effective medium for marketers, offering unparalleled reach and visibility. It has a variety of benefits including being influential to the consumer and cost-effective for brands. Once thought of as unmeasurable, OOH advertising can be streamlined to effectively target audiences and reduce wastage.

One Day Agency is a strategic integrated agency that can partner with you to create a cohesive media plan. Get in touch today to get started.

FAQs

Is outdoor advertising effective?

Outdoor advertising is effective for a variety of reasons including high visibility, broad audience reach, influence on purchasing decisions, increased brand recall and more.

What are the limitations of OOH advertising?

OOH advertising generally reaches a broad audience and there are therefore limitations on just how targeted it can be - it’s not as precise as digital marketing methods. There are also challenges when it comes to measuring OOH advertising although this has improved over the years. Additionally, some Digital Out-of-Home ads may have time limits as they share space with other advertisers.

References

https://www.billups.com/articles/more-advertisers-turning-to-ooh#:~:text=OOH%20Has%20the%20Best%20Recall&text=Over%2080%20percent%20of%20those,rates%20hovering%20around%2050%20percent

https://topmediadvertising.co.uk/ooh-advertising-statistics/

https://dashtwo.com/blog/roi-of-outdoor-advertising-in-the-united-states/#:~:text=Outdoor%20Advertising%20ROI%20Statistics,-The%20outstanding%20return&text=Billboards%20have%20an%20astounding%20497,isn't%20just%20great%20alone

https://dpaaglobal.com/how-out-of-home-ads-are-driving-consumer-purchases/#:~:text=69%25%20of%20consumers%20have%20made,demographics%20influenced%20by%20OOH%20ads

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