Marketecture: Get Smart. Fast.
00:30:02 · S0, Ari Paparo, Patrick Dolan, Eric Franchi
[00:30:02] S0: Cut through the chaos with Indeed sponsored jobs. Get a $75 sponsored job credit at indeed.com/podcast. Terms and conditions apply. Hiring now? Then this is a job for Indeed sponsored jobs. [00:30:16] S2: It's great to be here. We've known each other for a long time. I ran into you on the street outside my house recently. You run the DoubleClick reunion events. Right? So that's right. So you've been around for a while. [00:30:30] S3: Yes. I... I've been around since the dawn of the Internet age. Exactly. I hate to hate to say that, but it's true. [00:30:37] S2: Dawn of the Internet and the dawn of Internet advertising happened at the same time, which is, I guess, why we're still here. So now you find yourself in the Out of Home Advertising Association. So, it would be, remiss of me to not give you a little ribbing about the acronyms involved here. So you are the COO of the OOOA. Is that correct? [00:30:57] S3: That is correct. A lot of lot of acronyms, a lot of o's. Okay. [00:31:00] S2: So now what's the... The OOOOA is the Out of Home Advertising Association of America, which by my, estimation could be called the [00:31:08] S1: OOHAAOA, but you you cut out [00:31:11] S2: some letters there. Give me the... What is o o [00:31:15] S1: h versus o o h versus d o o h?
00:31:15 · Eric Franchi, Patrick Dolan, Ari Paparo
[00:31:15] S1: h versus o o h versus d o o h? [00:31:18] S3: Yeah. So you you basically have Atahome, which is sort of the just the sort of the larger description of the industry. I would say that digital At-of-Home, obviously, the digital component. And this is a new one I just saw the other day, the online At-of-Home Advertising. You know? So I'm like, okay. I think digital probably is good enough. I I think we need fewer o's. [00:31:44] S2: We we all know what we're talking about here. So the... I wanted to have you on because I think this is an underappreciated area of advertising, especially digital. It works extremely well. I think we all have probably bought products we've seen on billboards, whether you'd like to admit it or not. But what... What's the state of it? How digital is it? What's going on, with this transformation to being addressable or programmatic? Give me the big picture here.
00:31:44 · Ari Paparo, Patrick Dolan
[00:31:44] S2: We we all know what we're talking about here. So the... I wanted to have you on because I think this is an underappreciated area of advertising, especially digital. It works extremely well. I think we all have probably bought products we've seen on billboards, whether you'd like to admit it or not. But what... What's the state of it? How digital is it? What's going on, with this transformation to being addressable or programmatic? Give me the big picture here. [00:32:10] S3: Yeah. I mean, you know, I think, Out-of-Home is really having its moment now. You know? It's, as you said, you know, it's in the real world. You know, it's something that, you know, people pay attention to. It's real. It's, you know, you're not really any AI associated with it as far as, like, content is concerned and creative. But it's really poised to, you know, to grow right now. It has been for 19 consecutive quarters, you know, with another record breaking a year last year of $9,460,000,000 but, you know, not huge. But what's really exciting about it is that you've got this emerging digital component of it, as you would kind of expect. And that's really driving a lot of the growth right now. 36% of the total Out-of-Home revenue is digital and growing. I would say that one of the things when you talk about digital versus programmatic, because I know that was what I thought was pretty exciting about digital at a home, And that is, you know, that the programmatic piece is is probably a smaller part of that, that 36%. That, though, is growing rapidly.
00:32:10 · Patrick Dolan, Ari Paparo
[00:32:10] S3: Yeah. I mean, you know, I think, Out-of-Home is really having its moment now. You know? It's, as you said, you know, it's in the real world. You know, it's something that, you know, people pay attention to. It's real. It's, you know, you're not really any AI associated with it as far as, like, content is concerned and creative. But it's really poised to, you know, to grow right now. It has been for 19 consecutive quarters, you know, with another record breaking a year last year of $9,460,000,000 but, you know, not huge. But what's really exciting about it is that you've got this emerging digital component of it, as you would kind of expect. And that's really driving a lot of the growth right now. 36% of the total Out-of-Home revenue is digital and growing. I would say that one of the things when you talk about digital versus programmatic, because I know that was what I thought was pretty exciting about digital at a home, And that is, you know, that the programmatic piece is is probably a smaller part of that, that 36%. That, though, is growing rapidly. [00:33:34] S2: Right. So so let me make sure I understand. So 9,600,000,000 is the size of The US digital out of home? Correct. And and do you know what the size of total out of home is? It's, like, 20,000,000,000? [00:33:45] S3: I don't have that handy. I I want to just Google it real quick. [00:33:50] S2: And then 36% of the 9,000,000,000 is, is addressable in some way or targetable? [00:33:56] S3: Yeah. Exactly.
00:33:56 · Patrick Dolan, Ari Paparo
[00:33:56] S3: Yeah. Exactly. [00:33:57] S2: And, you know, one of the interesting things about Out-Home is, like, it's a big bucket and includes some things which are, like, the, you know, the ads that appear before cinema, you know, TV... Movie theater. Sorry. And then it includes other things which are, like, little banner ads on to... On checkout stations and supermarkets. Right? [00:34:16] S3: Yeah. [00:34:16] S2: Is it all the same thing, or is it... Are these, like, really different things? [00:34:20] S3: Well, that's a great question. I mean, I I would say that, you know, when you look at it as out of home, right, that's the the common denominator. But as you look at what the impact is and what your idea of what your campaign's going to be, all these things come into the factor of what you want to actually accomplish. So when I get sort of started in the industry I'm fairly new still this is one of the things that we want to do, create a taxonomy, create standards. I'm an IV guy. So standards are, like, near and dear to me. So defining what these things are and then understanding what they actually can do for the marketer is is an important, you know, process that we're, you know, working on right now at the at [00:35:14] S2: the AA [00:35:15] S3: triple a. [00:35:15] S2: And what... What's what's driving the growth? So is the growth, the addressability, and the targeting that that's bringing in new dollars, or is the growth just more screens? Or it must be a compounding effect.
00:35:15 · Ari Paparo, Patrick Dolan
[00:35:15] S2: And what... What's what's driving the growth? So is the growth, the addressability, and the targeting that that's bringing in new dollars, or is the growth just more screens? Or it must be a compounding effect. [00:35:27] S3: Yeah. I don't have the nitty gritty detail on that. But, you know, I would say that the addressability, you know, trying to get closer or getting closer to, like, the way that the modern marketer is actually buying, you know, obviously, that's gonna, you know, increase the number of the... At the the... This... That's the way buyers buy. [00:35:47] S2: So Right. [00:35:48] S3: You're buying more. It's better for buyers. Exactly. [00:35:51] S2: So take me through what is going on on the buy side. Like, what are they... Are they planning out of home integrated with everything else separate? What... What's in the mind of the buyer?