In the bustling atmosphere of the holiday season, brands are vying for consumers’ attention more fiercely than ever. This year, the digital landscape is even more crowded due to an influx of political campaign ads. In response, many businesses are exploring alternative advertising avenues to ensure their messages aren’t lost in the digital din. Traditional digital advertising channels are facing unprecedented competition, pushing companies to rethink their strategies and discover ways to break through the noise effectively. One prominent avenue gaining traction is Out-of-Home (OOH) advertising, offering a quieter and potentially more impactful channel for reaching customers.
With digital ad rates soaring and feeds flooded with political content, brands are turning to out-of-home (OOH) advertising. OOH ads, from billboards to bus stops, provide a quieter channel to engage consumers. Kevin Bartanian, CEO of Kevani, highlights the growing interest in OOH during key shopping holidays like Halloween, Black Friday, and Christmas. Fashion brands, in particular, are pivoting to OOH to counteract the high digital CPMs and combat consumer digital fatigue. OOH campaigns can capture attention in ways that digital ads no longer can, especially as consumers become increasingly adept at tuning out online advertisements.
The Shift Towards Out-of-Home Advertising
As digital ad spaces become more congested with political campaign ads, especially during key shopping holidays, brands are exploring OOH advertising as a viable alternative. Kevin Bartanian, CEO of the OOH media sales company Kevani, observes a notable trend where brands are looking at OOH with renewed interest, particularly during significant shopping events like Halloween, Black Friday, and Christmas. The driving force behind this shift is the increasing cost of digital advertising, primarily due to high digital CPMs (cost per mille), and consumer behaviors that suggest a growing fatigue with digital content.
Fashion brands have been particularly proactive in adopting OOH advertising strategies to cut through the saturated digital environment. For example, fashion campaigns often utilize eye-catching displays on billboards and public transport, capitalizing on the aesthetic appeal and the public’s reduced screen engagement. However, this approach comes with its own set of challenges. Despite OOH ads offering less congested spaces, many companies remain cautious about investing their limited advertising budgets into these channels. The primary concern lies in the difficulty of measuring sales conversions directly from OOH campaigns, compared to the detailed metrics available through digital platforms.
Nonetheless, the allure of a less chaotic advertising space is prompting some brands to get more creative with their OOH campaigns. They are devising innovative methods to ensure their ads stand out during crucial holiday sales periods. Companies are blending traditional outdoor ads with interactive elements and digital integrations to gauge consumer engagement more effectively and optimize their campaigns accordingly.
The Case of Naadam’s “Soft as Hell” Campaign
Naadam, a sustainable cashmere brand, exemplifies a successful pivot to OOH advertising. Their “Soft as Hell” campaign, launched in September, strategically leverages OOH’s unique appeal. The campaign, featuring a playful devil character, aims to highlight the softness of Naadam’s sweaters while breaking through the election cycle’s digital clutter. This campaign emerged as a response to the congested digital ad space, aiming to create a memorable and tactile consumer experience.
CEO Matt Scanlan reports that despite high digital CPMs, Naadam’s KPIs align with annual projections, surpassing last year’s ROI by October. The campaign’s success is measured through significant upticks in email signups—a striking 29,000 new emails in September, compared to just 4,000 the previous year. This metric underscores the campaign’s impact, showcasing OOH’s potential in driving consumer engagement. Naadam’s approach shows that OOH can complement digital strategies rather than replace them, creating a comprehensive and effective marketing mix.
By integrating their OOH campaign with digital channels like Facebook, Google, and TikTok, Naadam maximized their reach and maintained consistent engagement across platforms. Additionally, they introduced a mobile truck pop-up, “Hell on Wheels,” to capture immediate consumer attention in key sales hubs such as Boston, D.C., and Chicago. This kind of multifaceted approach not only boosts brand visibility but also enhances consumer interaction, bridging the gap between physical and digital advertising mediums. As shown by Naadam’s campaign, creative OOH strategies can lead to significant consumer interest and measurable success, even in a highly competitive and cluttered advertising landscape.
Increasing Accessibility and Cost-Effectiveness of OOH
The accessibility of OOH advertising has increased, bringing benefits to smaller brands. Advertising spaces on taxis, bus stops, and other digital signage locations have become available, making OOH a more feasible option. According to the Place Exchange Programmatic OOH trends report, OOH ads boasted an average CPM of $7.24 in the latter half of 2023, a cost-effective alternative to Facebook’s $10.32 average CPM in September. These lower costs make OOH a viable option, even for companies with tighter advertising budgets.
Despite these advantages, many brands are cautious about committing to non-digital avenues. The primary concern lies in the measurability of OOH’s impact compared to digital advertising, which offers precise tracking and analytics. Many companies rely heavily on the detailed data and performance metrics provided by digital platforms to gauge the success of their campaigns. OOH advertising, with its more ambiguous metrics, can seem like a riskier investment.
However, the expansion of available OOH spaces is undeniable. Locations on public transport, urban centers, and other high-traffic areas offer diverse opportunities for brand visibility. Smaller brands can now consider OOH as a cost-effective and impactful element of their comprehensive advertising strategies. The increasing competition and cost in digital advertising make OOH’s appeal even stronger, pushing more brands to explore creative ways to make the most of these spaces. As companies become more adept at integrating digital and OOH campaigns, they can leverage the strengths of both mediums to optimize reach and engagement while managing advertising costs effectively.
Measuring Success Beyond Digital Metrics
The challenge of measuring OOH success persists. Brands are accustomed to the detailed analytics provided by digital campaigns, and the vaguer performance metrics of OOH can be daunting. However, companies like Naadam demonstrate that alternative metrics, such as email signups, can effectively gauge OOH campaign success. For instance, the significant uptick in email signups Naadam experienced underscores the potential impact of well-executed OOH campaigns. This shift encourages brands to look beyond traditional digital metrics and consider broader engagement indicators when evaluating OOH’s effectiveness.
Philip Atkins, founder of marketing agency Phidel Digital, advises clients to diversify holiday ad budgets to include OOH and print media. While none of his clients pursued this strategy for the current holiday season, Atkins emphasizes the unique consumer engagement potential of physical ads. He believes that physical ads offer nostalgic and tactile connections, which can be particularly effective in the context of brand marketing. This view suggests that as brands become more comfortable with integrated advertising strategies, they may find new ways to measure and appreciate the impact of OOH campaigns.
Furthermore, as brands continue to navigate the complexities of advertising in a congested digital landscape, there will likely be growing investment in OOH. The ability to combine physical presence with digital integration presents a powerful marketing opportunity. By embracing the strengths of both mediums, brands can create comprehensive campaigns that resonate with consumers on multiple levels. This holistic approach to advertising can enhance consumer engagement, brand loyalty, and ultimately drive sales, even in the face of digital noise and competition.
Anticipating Future Directions in Advertising
In the bustling atmosphere of the holiday season, brands are fiercely vying for consumers’ attention. This year, the digital landscape is even more crowded due to an influx of political campaign ads. As a result, many businesses are exploring alternative advertising avenues to ensure their messages aren’t lost in the digital noise. Traditional digital advertising channels are facing intense competition, pushing companies to rethink their strategies and discover new ways to stand out.
One prominent avenue gaining traction is Out-of-Home (OOH) advertising, which provides a quieter and potentially more impactful means of reaching customers. With digital ad rates soaring and feeds inundated with political content, brands are increasingly turning to OOH ads. From billboards to bus stops, OOH offers a less cluttered space to engage consumers. Kevin Bartanian, CEO of Kevani, notes the rising interest in OOH during key shopping holidays like Halloween, Black Friday, and Christmas. Fashion brands, in particular, are shifting to OOH to counteract high digital CPMs and combat consumer digital fatigue. OOH campaigns can capture attention in ways that digital ads struggle to achieve, especially as consumers become more adept at ignoring online advertisements.