In today’s dynamic marketing landscape, demonstrating the return on investment (ROI) of advertising efforts is more crucial than ever. Out-of-home (OOH) advertising has long been a staple in brand strategies, and notably, is the second-fastest growing ad medium, with projections for continued double-digit growth (Broadsign). This resurgence solidifies the importance of accurately measuring its impact to optimise campaigns and justify ad spend.
The attribution challenge: connecting outdoor advertising exposure to consumer action
Measuring OOH ROI fundamentally involves linking ad exposure to tangible outcomes such as shop visits, online purchases, or app downloads. However, establishing this connection has historically been challenging. Marketing leaders face increasing pressure to justify ad spend with clear, actionable data tied to measurable business outcomes. Despite this, only a quarter of leaders report high visibility into ROI across channels.
Marketing mix modelling (MMM) and multi-touch attribution (MTA) offer solutions to these challenges. MMM analyses the combined effect of various marketing channels, including OOH, on consumer behaviour, providing a more holistic view of impact. MTA, meanwhile, considers multiple consumer touchpoints along the journey, allowing for more precise measurement of how OOH contributes to conversions.
Effective methods for measuring OOH ROI
To accurately attribute results to OOH campaigns, consider the following strategies:
Brand lift studies
Conduct surveys and gather direct feedback to assess how OOH ads influence brand perception and consumer behaviour. These studies measure changes in ad recall, brand awareness, and purchase intent, guiding future campaign strategies.
Sales data integration
Combine OOH exposure data with sales figures to understand how advertising impacts purchasing decisions. By linking OOH ad placements to local sales performance, advertisers can track revenue-driven impact more effectively.
Geofencing and mobile data
Utilise geofencing technology to track foot traffic and determine how many individuals visit a specific location after being exposed to an OOH ad. Mobile data also helps measure engagement by tracking app usage, website visits, and digital interactions post-exposure.
Marketing mix modelling (MMM)
Analyse how various marketing channels, including OOH, work together to drive results. MMM quantifies the effects of OOH on other media, offering a complete view of its impact on overall marketing performance.
Leveraging technology for enhanced OOH measurement
Advancements in technology have revolutionised OOH advertising measurement. The following innovations provide deeper insights into campaign performance:
Real-time impression tracking
New tools allow advertisers to track impressions in real-time, offering more immediate insights into campaign reach and engagement. These metrics enable data-driven adjustments to improve performance (Philip Odiakose – LinkedIn).
Interactive elements
Incorporating QR codes, near field communication (NFC), and augmented reality (AR) into OOH ads enhances engagement and provides measurable links between ad exposure and consumer action.
Case studies and industry examples
Successful brands are leveraging innovative OOH measurement techniques to optimise their campaigns. For instance, a retail brand used geofencing and mobile data analytics to track a 15% increase in foot traffic following a targeted digital billboard campaign. Another brand integrated QR codes into its OOH ads, resulting in a 30% boost in online conversions.
The Future of OOH Advertising Measurement
As the digital landscape evolves, so too does the ability to measure and optimise OOH advertising ROI. Emerging trends such as artificial intelligence (AI) and machine learning (ML) are set to further refine measurement capabilities, allowing for predictive analytics and deeper audience insights. Additionally, integrating OOH analytics with broader omnichannel strategies will enable marketers to create more cohesive, data-driven campaigns.
Ethical Considerations in OOH Measurement
As tracking technologies become more advanced, advertisers must balance effective measurement with consumer privacy. Compliance with data protection regulations and transparent data usage policies are crucial to maintaining consumer trust while leveraging data for OOH measurement.
By employing advanced attribution methods and leveraging technological innovations, brands can gain a clearer understanding of their OOH campaigns’ effectiveness. These insights lead to more informed decisions and enhanced marketing strategies, ensuring OOH remains a powerful tool in modern advertising.
