October 14, 2021
DOOH
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Gazprom-Media Sales House and GroupM launch OOH product
The new technology utilizes both traditional and programmatic ad placement on the Russ Outdoor and Gallery ad spaces.
Gazprom-Media Sales House and GroupM have introduced a unique technological solution to the outdoor advertising market. The product was developed by Kvant, a part of Gazprom-Media Sales House. The partners have created a symbiotic product that offers maximum targeting capabilities based on millions-strong GPM Data profiles.
The OOH/Digital synergy will expand the share of the target audience, making advertising campaigns even more effective. Advertisers will no longer have to pay to show content to irrelevant audiences.
The “drum” placement is an excellent choice for companies with marketing objectives that can be effectively achieved through traditional outdoor advertising. Programmatic ad placement utilizes an auction model and allows advertisers to optimize procurement and budget allocation, as well as plan campaigns by ad impressions or OTS.
What makes the product unique is the ability to promptly profile the audience as it is standing right in front of the digital screen. By analyzing data, the system instantly assesses the proportion of the advertiser’s target audience within the visibility range of the structure and determines the most suitable creative content to display at that moment.
With the advent of programmatic methods in outdoor advertising, including procurement via auctions, advertisers have the flexibility in purchasing advertising inventory, which, in turn, allows for placing advertisements for a non-standard period of time. This technology has only become available to advertisers quite recently, and thanks to our work with big data and cooperation with Gazprom-Media Sales House and GroupM, we can offer our clients new products and opportunities.
To date, over 1200 Gallery and Russ Outdoor surfaces have been connected to the product’s platform. Its Wi-Fi sensors detect the MAC addresses and IDs of mobile phones. To profile the audience, the data collected is cross-referenced against a database of over 40 million audience profiles, provided by the GPM Data platform. These profiles, in turn, are based on a user's history of interactions with outdoor advertisements, websites, applications, and information resources on public Wi-Fi networks. The relevant information is further segmented into categories across a variety of parameters. It is very important to note that the platform does not process personal data, and all information is anonymized and aggregated.
We are very happy to see such products appear in the DOOH market. Big data-based targeting and analytics are becoming increasingly sought-after with advertisers looking to improve the efficiency of their ad placements. From the user’s point of view, this is a chance to see the kind of ads that are the most relevant to them personally, which increases brand loyalty.
The product brings even more value in that it allows for assessing ad placement impact in terms of both media indicators and the effect on consumer behavior. This means automated control over OTS and reach. Surveys that users can take while connecting to the MT_FREE Wi-Fi network help measure the change in brand attitude (brand lift), while the impact on online and offline sales (sales lift) is measured using transaction data.
It is important to emphasize that DOOH enables the creation of customized content for a variety of triggers, such as traffic jams, weather conditions, or sports match scores. In addition, programmatic ad placement makes it possible to run tests and adjust the advertising campaign on the go: shift the display time, change the target program, or update the content.
And that’s not all! Omni-channel campaigns are a feature as well. The innovative technology of Gazprom-Media Sales House and GroupM is already helping synchronize DOOH ads with radio announcements and text messages. In the fall of 2021, the companies plan to launch the first DCO campaign in the history of Russian outdoor advertising. And this is just the beginning.
We are delighted to witness that Russian DOOH advertising finally has the programmatic capabilities to build effective communication and provide brands with tremendous value and creative freedom. The success stories of past campaigns reaffirm this notion. The auction procurement model has a clear advantage: ad placement can be focused on the desired target audience, with perfect balance, no excessive “frequency tail”, and with maximum reach at a given effective contact frequency.
In the United States, programmatic budgets in the DOOH segment double annually. According to eMarketer’s estimates, programmatic expenses in the country will reach 10.8% of DOOH advertising budgets in 2021, and 14.8% in 2022.
In the Russian market, outdoor advertising is also poised to become an equally significant component of the digital media mix. At the same time, the new technology convincingly demonstrates that all the necessary advertising inventory can be obtained within a single framework that is accessible to small and medium-sized businesses, among other entities.
We cooperate with leading vendors in the market and serve as the primary provider of tech stack data for DOOH. The tools and technologies in our arsenal enable programmatic ad procurement on digital out-of-home (DOOH) surfaces. I am confident that our technology will be widely adopted in the market. We are expecting a rapid rise in programmatic procurement in the DOOH segment.
Gazprom-Media Sales House and GroupM will launch the product on the St. Petersburg’s market in the near future. There are also plans to continue expanding into other regions that are modernizing their OOH structures and offer opportunities to fully meet clients’ needs with DOOH advertising.
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