Digital Out of Home (DOOH) ads are dynamic and personalized, allowing you to adapt your marketing strategy in real-time. Imagine running a campaign on a digital billboard that automatically changes to promote your new brunch menu when people pass by on Sunday morning.
Programmatic DOOH offers the flexibility of online display ad buying with major campaign reporting benefits too. However, there are kinks to work out before mass adoption.
What is programmatic Out of Home advertising
Programmatic out-of-home advertising is the process of buying and selling digital OOH inventory via a technology platform. It automates the sale process, allowing advertisers and agencies to purchase OOH inventory on an impression-based basis rather than at a fixed rate per week.
When executed well, this makes OOH more cost-efficient, enabling brands to reach their target audiences at the exact moment they are most likely to engage. It also gives marketers the ability to dynamically customize content and messaging, depending on the specifics of a situation.
For example, a hotel chain could use programmatic DOOH to deliver a different message to business travelers and vacationing families. This would allow them to produce two different versions of their ad, one that highlights their exclusive airline partnerships and the other that showcases their luxury amenities.
Programmatic DOOH can also offer advanced targeting capabilities that can leverage first-party data (like loyalty card data), third-party data (like mobile location data from a fast food app), or visual technology (like facial recognition). This allows advertisers to build highly-targeted audience segments and activate digital displays in the locations and at the times where their consumers are most likely to be present. It’s also a great option for split-testing campaigns by running two different ad variations and measuring the impact, performance, and ROI of each.
Programmatic Out of Home Advertising in 2023
The advertising industry has been evolving quickly, and it’s crucial for marketers to stay abreast of new technologies and trends. Programmatic Digital Out-of-Home, or pDOOH, is one of the most exciting advertising trends that will have a big impact in 2023.
A programmatic DOOH solution connects buyers and sellers in a premium marketplace, allowing for automated ad buying and selling. Ads are served to audiences in real time, using a variety of data sources and targeting options. These include mobile location data, audience demographics, venue types, U.S. Census Bureau data, visual technology, and more.
With a DOOH programmatic solution, brands can also use omnichannel campaign reporting and optimization capabilities, making it easy to track performance and optimize campaigns. This makes it easier than ever to reach the right audiences with the right message.
In addition, DOOH programmatic advertising allows for dynamic content and ad sequencing. For example, a hotel brand might produce two different versions of the same ad, with the ad playing on freeway billboards depending on the weather. This way, customers are more likely to see an ad that’s relevant to them and their location. This kind of customized ad content can help increase engagement and conversions.
Affordable Programmatic Out of Home advertising
Programmatic DOOH ads aren’t only smarter (via automation and efficiency gains) but they can also be a more affordable way to buy OOH media. Programmatic buying can be done through direct sales – where buyers work with OOH publishers to strike a deal – or it can be done via open real-time bidding (RTB) on an ad exchange, where buyers compete against each other on a transparent basis to purchase ads based on cost per thousand impressions.
In addition to these cost benefits, programmatic DOOH ads can deliver highly targeted messages that can be delivered in real-time. This can be achieved by leveraging data sources such as mobile location, weather forecasts, venues, and more, allowing brands to reach audiences when they are most receptive.
For example, a hotel company could produce different versions of an ad to target business travelers and vacationing families, ensuring that the right message is being seen at the right time. These kinds of personalized messages can be much more effective than simple generalizations that have to be changed for every new campaign. Combined with a scalable delivery system, this means that brands can change campaigns in minutes and get the most out of their OOH spend. This kind of reactive advertising also allows OOH to compete with other digital channels that can react quickly to news events and pause or adjust their content instantly.