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It’s been said often enough, that we are living in uncertain times. Questions around when will we return to normalcy and what form that normalcy will take, both contribute to the uncertainty. However, what we do know for certain is that the advertising industry and the Out-of-Home medium have been profoundly affected by the current crisis.

In this blog, we aim to provide rationale for why we believe OOH is poised to recover quickly and rebound strongly. First, let’s look at where the advertising industry currently stands with what we know:

1. The Consumer Journey has been interrupted.
Brands and businesses of all industries rely on what has been a predictable path to purchase of their target consumers. Years of market research have helped pinpoint the times of day, types of messaging and mix of media channels to best capture a consumer’s attention as they make their way from awareness to consideration to purchase.

With emergency Stay-at-Home (SAH) orders in place for over 90% of the world’s population, past data (even from January and February, 2020) about the consumer journey are outdated at this time. Studies show that consumers today are buying items they would not have previously considered but now believe are a necessity. Often it’s been the case that consumers are forced into trying new brands of routinely purchased items when lack of product availability, and the need for lower prices, dictate in-the-moment-decisions.

2. Media Habits have been Disrupted.
Humans are creatures of their routines, and this notion has provided marketers and advertisers a high degree of knowledge about the media channels their target consumers were most exposed to and most influenced by. However, the pandemic has caused those former knowns to become historical data versus actionable data. ‘Up is down and down is up’ can be another way of describing today’s media landscape. Online news sites are seeing their highest ever traffic, yet for the most part, advertisers have stayed away from that channel. Television is in a similar position.

OOH has experienced an understandable decline in roadside traffic as the public rightfully adheres to SAH measures. However, a fair amount of traffic is still occurring on roadways as the public continues to make shopping trips. Exposure to exterior transit advertising continues as people venture outside for socially-distanced activities like walking.

Unfortunately, many OOH campaigns were canceled outright or were delayed as marketers assessed the implications of an interrupted consumer journey and disrupted media habits. But this will prove to be a short upending of norms as the lifting of SAH restrictions begin to ease in the coming weeks. Looking forward to the near future, we collected and thoroughly reviewed the industry surveys and predictions that speak to how the advertising industry and OOH medium might recover. It’s worth noting that there are two streams of news on the subject: the sensible and the sensational. Given how OOH fared coming out of past recessions, we believe in the realistic, sensible stream.

OOH WILL REBOUND STRONGLY

Out-of-Home Unites Brands with Consumers
OOH is poised to lead the way in reuniting brands with consumers in the context of life “getting back to normal”. Studies show consumers are eager to return to their normal routines of work, shopping and leisure activities even with social distancing still in effect but with slight modifications. Studies also point to consumers being fatigued with the negative COVID news cycle and are seeking positive messaging. And while these consumers might be turning to their social media channels to find positive in-home content, they do not wish to be on the receiving end of targeted advertising, they’re there for the content, not the ads.

OOH is detached from news content and intrusive online ad targeting which can be more than a welcome reprieve for consumers. OOH has long been part of a city’s environment and is a strong and stable visual reference for consumers as they go about their daily activities. Brands can use this sense of visual familiarity to create a positive impression with consumers, especially with OOH’s many ad formats.

Out-of-Home Aligns with the Path-to-Purchase Journey
With hundreds of formats and ad configurations, the OOH medium is well integrated into the many Path-to-Purchase touchpoints consumers encounter on a daily basis. OOH displays can be found on highway commuter routes, close to retail stores and services, adjacent to entertainment venues and even inside workplace elevator cabs. All these touchpoints allow brands and businesses to communicate near a place of a purchase such as a physical store or near a time of purchase by prompting online shopping.

The post-pandemic period will find brands and businesses seeking positive, inviting ways to reengage with consumers and OOH is poised to be a main media channel to deliver on those fronts. It’s why prior to the crisis OOH was the only ‘offline’ medium to have experienced more than a decade of year-over-year growth and was set to have another record year based on 2020 projections back in January. OOH remains a resilient medium thanks to its strong foundation in building mass awareness, providing contextual environments and showcasing engaging creative. These strengths are likely to see OOH recover quickly and rebound strongly.

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