• Jonathan Gudai Affirms Programmatic OOH will Double in 2-4 Years

    Adomni founder and CEO Jonathan Gudai affirmed his prediction that programmatic out of home will double in 2-4 years on today’s Billboard Insider Podcast.

    Here’s a selection of his comments.

    What happened to programmatic out of home during COVID?  How did Adomni respond?

    Jonathan Gudai, CEO, Adomni

    In March when the governors started telling people you must stay at home and everyone was hoping it was going to just be for a short while just to flatten the curve a lot of the advertisers responded in a very extreme way.  Across the board.  You saw companies saying we need to pause anything and everything right now until we figure out what’s going on.  So there’s some channels where hitting the pause button could happen in literally minutes.  You see that in the online programmatic world and in our world as well…That was the first wave – March April May.  And then what we started to see is that there were little nibbles in terms of marketers asking for outdoor at first.  Billboards being the most prominent media out there and as people started to say I can’t stay in my house any more, I’ve got to get out, I’ve got to take the kids out of the house, I’ve got to just go for a hike or whatever it was, we really shifted our sales and approach to saying look, these roadside digital billboards in some cases have more audience than they did before covid happened…our sellers and our marketing was getting behind sure there are some media types that are not open yet, whether it’s cinema lobbies or gyms…but hey, we’ve got billions of impressions of billboards…

    In 2019 you claimed that programmatic can double the DOOH ad spend.   Want to revisit that forecast?

    I think that we can more than double…I think that’s possible even within the next 2-4 years.

    How does that happen?

    In the US we’re somewhere between $2.5 and $3 billion across all of digital out of home….What do we need to do to go from $2.5 billion to $5 billion…For us it’s thinking about how do we bring new buyers into the marketplace…The first is the programmatic online digital media buyers.  Those are the companies that are buying mobile ads and now they’re buying connected TV ads, display video ads by going into a platform and building their campaign…In the US along over $50 billion a year is spent on just online display ads…When marketers are buying their display banner ads the average click through rate on a banner ad…is around 0.3%.  One out of every 300 people who see a display banner ad will click on it…Display ads are billboards.  If 299 out of 300 people aren’t clicking on it then marketers are OK with a medium that’s pretty much an awareness/billboard type model…

    On Apple’s privacy moves.

    It’s a concern with Apple with what’s about to happen with IOS 14 and then trying to clamp down with some of the location access.  That’s a multi-billion dollar question…For us in our of home the thing that really matters to us is that Geopath – the trade group that measures and provides estimated impressions – they’re heavily reliant upon mobile…And also our ability to quantify for attribution studies and for lift studies…it just means that you might have to have a larger campaign with more time or more ads served in order to measure it with statistical significance.  Which is definitely is the wrong direction that we want to be heading in.  We want smaller campaigns…

    Is privacy an issue for non-IOS phones?

    Non-IOS phones mean mostly Google Android.  Google primary business model being ad sales I think they recognize the importance of supporting the ad community…


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