Top 6 global companies in the DOOH industry

DOOH, which targets plays a pivotal role in capturing attention. Key to DOOH success is the utilization of digital signage software (CMS), enabling automated and optimized ad placement. Let’s delve deeper into what entails and how it functions.

The traditional advertising industry is gradually embracing innovations, incorporating technologies like geofencing and beacons to personalize communication and track consumer behavior. This shift challenges the dominance of online media investments and highlights the potential of DOOH.


The transformation of DOOH from static billboards to dynamic, technology-driven displays has revolutionized the marketing landscape. These digital screens engage viewers with eye-catching visuals, bridging the physical and digital realms. As continues to evolve, it promises a future of data-driven and engaging advertising experiences.

 

 

What is Digital out-of-home advertising?

 

Out of Home (OOH) advertising is a traditional (i.e., non-digital and non-programmatic) form of advertising communication outside the home. It involves reaching consumers who are in public spaces (on the street, in transportation, and various premises).

 

Among the most common formats of out of home media are billboards, public transportation stops, and vehicle wraps.

 

 

Digital out-of-home is essentially the same OOH advertising but technologically enhanced (geofencing, tracking, retargeting, personalization, attribution).

 

 

Despite all the mentioned difficulties, operators eagerly explore programmatic DOOH technologies and begin offering them to advertisers and agencies. They utilize software, allowing centralized video management system for networks, particularly through video wall software and digital signage players. This contributes to effective Digital Out Of Home and video advertising on screens for advertising.

 

 

Display Solutions offer tools for creating and managing digital signage content, allowing easy adaptation of ads to various conditions. pDOOH makes the process of purchasing advertising spaces automated and fast.



Transition from OOH to Digital out-of-home

 

Imagine a world where billboards dynamically display ads targeted at each individual passerby. Imagine ads sold in real-time auctions instantly appearing across an entire city or country. Picture a world where out of home marketing happens in real time, with billboard content changing depending on the time of day or the weather.

 

This transition can change the usual process of out of home media purchasing. Digital Out Of Home, unlike traditional Out Of Home (OOH), involves reducing the number of live intermediaries and decreasing the amount of slow manual work. We are moving down the high-speed lane towards a reality where ads are bought by algorithms.

 

It’s already happening

 

Given the current level of advertising technology, the transition from OOH to DOOH is not only possible but also inevitable from a business perspective. In fact, it is already happening, and at an accelerating pace.

 

Additionally:

 

– Broadsign launched the first programmatic DOOH exchange for out of home advertising in Canada.

 

– Vistar Media offers a platform for the algorithmic purchase of unsold inventory from operators.

 

– Clear Channel Outdoor and Rubicon Project launched sales via a private marketplace model this year, making 

nearly a thousand screens for advertising available for those who want to buy media programmatically.

 

– Outfront Media is developing an SSP, and Lamar Advertising is considering such a possibility.

 

These are the most striking examples of progress in the field, yet many advertisers still know relatively little about what Digital out-of-home is and how it works.

 


What is digital OOH advertising?

 

Digital Out Of Home  advertising is one of the fastest-growing forms of advertising, largely because it is highly attractive from many perspectives. Notably, DOOH does not face some of the typical issues of internet advertising.

 

Digital out-of-home offers the advantages of online advertising, such as targeting, while being completely free from its drawbacks, such as the ability to be blocked. Moreover, to attract attention, it requires a certain level of creative skill, which is often lacking in online advertising.

 

How is Digital out-of-home sold?

 

At first glance, Digital out-of-home might seem shrouded in mystery, but it is actually a relatively straightforward concept. To better understand the topic, it is helpful to refresh your memory on the media market approaches to purchasing advertising inventory:

 

– RTB (Real-Time Bidding) — An auction model where advertisers compete to show messages to specific users. RTB offers many possibilities, involves the use of data, and works with various inventories. The model is considered the most flexible on the market.

 

– Programmatic direct — A non-auction model, an individual process of purchasing ads that resembles a traditional approach where the seller personally meets with the advertiser to close a deal. The model is similar to a private marketplace, except that advertisers and publishers agree on specific inventory based on a fixed cost per thousand impressions.

 

– Programmatic guaranteed (also known as Private Marketplace or PMP) — A direct deal with a fixed price and guaranteed inventory. This method is usually offered by publishers with premium (i.e., more desirable and expensive) inventory, such as Forbes, Wall Street Journal, or The New York Times.

 

– Non-programmatic Guaranteed (Direct) — Manual ad insertion. It requires a large amount of human effort, understanding client needs, negotiating prices, and planning placement schedules. It involves extensive email correspondence. Inventory is sold at a fixed cost per thousand impressions. This inventory is considered “guaranteed,” meaning it is reserved for the client. Sometimes advertisers are required to pay extra for specific display conditions.

 


Innovations in Digital out-of-home

 

The use of digital signage software significantly enhances the effectiveness of advertising campaigns. This software allows for centralized video management on numerous screens for advertising. DOOH Display Solutions offer tools for creating and managing digital signage content, making it easy to adapt advertisements to different conditions.

 

 

Programmatic DOOH (pDOOH) technologies automate and expedite the process of purchasing advertising space. Video wall software and digital signage players ensure high-quality images and interactivity, significantly increasing audience engagement.

 

 

Digital out-of-home pricing differs from online advertising

 

The pricing models and metrics in DOOH and programmatic DOOH advertising differ somewhat, and there are several reasons for this.

 

First, to become an integral part of the programmatic landscape and provide advertisers and agencies with a familiar experience, operators must switch to a CPM (cost per thousand impressions) pricing model. This complicates matters because a single DOOH ad can be viewed by multiple people simultaneously.

 

Pricing can also be based on share of voice, where advertisers pay for a certain share of the advertising network’s inventory, and on share in the ad block, where the advertiser buys several spots in a cycle.

 

Visibility in DOOH is harder to measure than online

 

In Digital out-of-home, each display can be seen by many people, but the exact number is unknown, making it difficult to compare with the cost of impressions in online advertising. Using mobile geoanalytics, operators can estimate the number of people near the advertising structure, but this will be an approximate figure.

 

The fact that a person was near a screen for advertising does not mean they saw the ad. At the same time, the use of facial recognition technology to determine the gender and age of the audience has already faced serious backlash.

 

However, as the industry develops, we are likely to see DOOH Advertising that includes some implementation of facial recognition technology, as in this campaign.

 

DOOH media are physical and premium

 

Digital Out Of Home Advertising consists of structures placed in the physical world. Because of this, their number is limited, and they are considered more prestigious. This is one reason operators are reluctant to offer inventory via RTB (Real-Time Bidding), where it could be sold at a reduced price.

 

By nature, DOOH has higher value compared to online inventory, which helps maintain stable pricing. Some market participants fear that opening inventory to RTB will lead to commoditization and a race to the bottom, as happened with online advertising.

 

Targeting, measurement, and attribution in DOOH are not simple tasks

 

Again, since Out of Home media are physical media for “one-to-many” communication, it is impossible to target individuals or perform advanced attribution as in online advertising, where cookies and device identifiers are used.

 

Targeting in Digital Out Of Home and programmatic DOOH (pDOOH) will most likely mean reaching a certain sociodemographic group at the appropriate time (based on environmental parameters) rather than targeting individuals.

 

Similarly, attribution in Advertising involves marketers reviewing the number of ad contacts and comparing them to conversions at all stages of the campaign. 

 

Common sources of information for evaluating effectiveness include:

 

– Ticket sales for concerts, sporting events, etc.;

 

– Infrared sensors placed at building entrances (e.g., in shopping malls);

 

– Research companies (e.g., Nielsen);

 

– Sensors and cameras from specialized research companies (e.g., Quividi);

 

– Mobile geoanalytics provided by data brokers and ad exchanges.

 

DOOH campaigns can be run based on weather and time of day, such as advertising soup at lunchtime on a cold day.

 

As Digital out-of-home networks develop, targeting and attribution will improve, enhancing the effectiveness of campaigns in this channel.

 

Insufficient demand and excess supply

 

The level of DOOH supply still significantly exceeds the demand, which can lead to lower prices and unmet sales targets. 

 

This, again, is another reason why conducting auctions is challenging. Until demand rises to match supply, it will be more practical to trade using the guaranteed model (non-programmatic or programmatic direct).

 

To display ads, they need to be preloaded and prepared, and since DOOH files are “heavier” than internet banners, more time is required.

 

 

Using digital signage software, advertisers can centrally manage DOOH Display Solutions and DOOH Advertising through a centralized video management system, ensuring content is effectively delivered to screens for advertising. This combination of digital signage, digital signage players, and software enhances the management and execution of DOOH campaigns.



What can Digital out-of-home boast of today?

 

Despite all the aforementioned difficulties, operators are eagerly exploring algorithmic trading technologies and starting to offer them to advertisers and agencies. They use digital signage software that allows for the centralized management of DOOH networks, including through the use of video wall software and digital signage players. This contributes to effective management and optimization of DOOH Display Solutions and DOOH Advertising campaigns across various screens for advertising.

 

Now, let’s review the list of the TOP-6 world-renowned players in the DOOH market.

 

1. JCDecaux SE

 

One of the leading global companies in the Out-of-Home (OOH) advertising sector. Founded in 1964 in France by brothers Jean-Claude and Gilles Decaux, the company quickly developed and became a global player in its industry.

 

JCDecaux’s main specialization is the placement of advertising surfaces in public places such as streets, airports and others. The company offers a wide range of advertising formats, including digital signage, large format billboards, advertising furniture, and more.

 

One of the key advantages of JCDecaux is their urban furniture, which combines functionality with advertising, creating a pleasant environment for city dwellers and visitors. Additionally, the company is known for its innovation in using digital technologies to enhance advertising opportunities and engage the audience’s attention.

 

 

2. Clear Channel Outdoor Holdings, Inc. (CCO)

 

One of the largest companies in the Out-of-Home (OOH) advertising industry. Founded in 2005, it has become known as a leading provider of advertising solutions in public spaces worldwide.

 

The main activity of CCO involves the placement of advertising surfaces on streets, in airports, on highways and other locations where they can effectively capture the attention of the target audience. The company offers a wide range of advertising formats, including billboards, digital signage, bus and train stations, as well as interactive advertising platforms.

 

One of the key advantages of Clear Channel Outdoor is their global presence. The company has a network of advertising surfaces in more than 25 countries worldwide, allowing advertisers to reach audiences in various regions with high efficiency.

 

They integrate digital technologies, digital signage software, and analytical tools to ensure maximum efficiency of advertising campaigns and to measure their impact.

 

3. Outfront Media Inc.

 

Founded in 1938 as the Outdoor Advertising Corporation of America, the company has evolved and transformed into Outfront Media Inc., recognized as a leader in its field.

 

The main activity of Outfront Media involves the placement of advertising surfaces in the most strategic and popular locations. They have an extensive network of advertising platforms on streets and other places where their surfaces attract the attention of a large audience.

 

The key strategy of the company is the use of innovative technologies to create digital signage solutions.

 

Outfront Media specializes in creating advertising solutions that integrate into the urban environment and become part of the city’s architectural landscape. They offer not only standard advertising formats but also innovative solutions such as interactive screens and audio-visual installations that ensure maximum interaction with the audience.

 

The company is also actively implementing environmentally friendly technologies and materials in their advertising structures, demonstrating their responsibility towards society and the environment.

 

4. Ströer SE & Co. KGaA

 

A well-known German company that holds leading positions in the media and advertising sectors. Founded in 1990, Ströer has undergone a remarkable development journey and has become one of the largest media companies in Europe.

 

They own a number of internet portals, news websites, mobile applications, and other digital platforms, enabling them to provide comprehensive media solutions to their clients.

 

One of the key advantages of Ströer is their innovativeness and use of advanced technologies. Ströer actively collaborates with global brands and local companies, helping them achieve their advertising goals and attract the attention of their target audience.

 

Thanks to their high professionalism, innovative activities, and impressive network of advertising surfaces, Ströer SE & Co. KGaA continues to maintain its leading position in the media and advertising industry, assisting their clients in achieving success in their advertising campaigns.

 

5. Lamar Advertising Company

 

The primary specialization of Lamar Advertising is the placement of advertising spaces in the most strategic and popular locations across the United States and Canada. They own a wide network of billboards, digital signage, urban furniture, and other advertising platforms that effectively attract audience attention.

 

They were among the first to actively implement digital solutions into their network, which allows them to effectively manage content through a Content Management System (CMS) and ensure maximum ad zoning.

 

The company aims not only to provide advertising spaces but also to create places where advertising becomes part of the urban environment. They work on urban development projects that include advertising solutions, which help not only to attract attention but also to enrich the cultural and architectural landscape of cities.

 

Lamar Advertising also actively implements eco-friendly technologies and materials in their advertising constructions, striving to preserve the environment for future generations.

 

With more than a century of existence, Lamar Advertising Company remains a symbol of innovation and reliability in the world of advertising and media. Their mission is not only to provide effective advertising solutions but also to create places where advertising becomes part of cultural life and contributes to the development of cities and communities.

 

6. Global Media

 

An international company in media and advertising, Global Media holds leading positions in the development and placement of media content worldwide. It was founded with the goal of providing clients access to a wide range of advertising and media solutions in the most effective formats.

 

The company has an extensive network of partners and offices in various countries, allowing it to provide clients with access to advertising platforms and media resources on an international level.

 

Global Media specializes in various media platforms, including television, radio, the Internet, press, outdoor advertising, and others. They offer comprehensive advertising solutions that take into account the individual needs and goals of each client.

 


Conclusion

 

Advertising stands as a formidable asset for captivating audiences in public venues. Leveraging cutting-edge technology and sophisticated DOOH software elevates the effectiveness and drives tangible outcomes. Through innovative DOOH networks and dynamic display solutions, brands have the opportunity to forge impactful, high-quality interactive campaigns that profoundly engage consumers and enhance visibility.


Advision — Content Management System for remote management and media planning of broadcast video and audio content. We help offline businesses and advertising companies automate workflows and implement a robust Digital Signage infrastructure using our proprietary software and hardware solutions.

 

Contact us, and we will help you implement the most modern technologies to solve your problems!

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