Considerations for Outdoor Advertising for Marketing Agencies
Written By: Shane Clark on January 21, 2023
In this article, I will cover both the benefits and drawbacks of outdoor advertising. I will also point out some of the correlations between outdoor advertising and web-based advertising. The significance of the required financial investment involved in a well thought out outdoor advertising campaign can be significant. Therefore, it warrants getting as much of the analytics data up front as possible.
An outdoor advertising campaign can help build your brand and promote your products and services in ways digital and in-home advertising cannot. While the content of this article is intended for marketing agencies, the concepts apply to a broader audience. The only difference is that a marketing company will be able to assimilate and interpret the necessary analytics data.
Understanding & Analyzing the Visible Traffic
The first step in investigating if an outdoor campaign is worth it is to be able to process and analyze the potential traffic that can see your advertisement. If you are a business owner, this can be a daunting task. It May come down to sitting outside with a lawn chair a few times a day/night and counting vehicles to come up with a more accurate estimate.
For a more precise traffic estimate, I recommend engaging with a company such as Skyline LED that understands the importance of getting this data and works with marketing agencies as part of their service. They have the equipment as well as the know-how to be able to come up with a more accurate number.
Correlations Between Online and Outdoor Advertising
Many of the concepts of outdoor marketing are similar to digital. I look at when a potential customer views the advertising campaign as an impression and when that user acts on that to complete a sale as a conversion. The client is going to want to understand how much it costs for a prospect to view the advertising campaign as well as the percentage of those that eventually convert to a sale. In the digital world, this data is more readily available.
While outdoor advertising will not have a quality score (like you might find with Google Ads), creativity and relevance are critical. This is why the existing relationship a client has with you as the agency on record will ultimately contribute to the campaign’s success.
Considerations When Determining The Type Of Outdoor Campaign
Getting a professional recommendation will be fundamental for its success. Some considerations when determining the best type of outdoor campaign will depend on many factors. Some of these considerations will include the following:
- Is there available real estate for placement?
- What are the local ordinances pertaining to certain types of outdoor advertising?
- Is there a budget for the kind of campaign recommended?
- Do you have available creative resources in place?
- Is your campaign appropriate to the area?
- What type of traffic is passing your advertising?
Your Customers May Not See Your Advertising While Moving
One of the biggest mistakes I see made with an outdoor campaign is the lack of consideration that the audience is most likely not in a fixed position while they see the advertisement. Considerations include the rate of average movement, meaning is the advertising on the side of an interstate, or at a stop sign in a small town with a lower rate of speed? The world’s most creative advertisement will only bring value if your potential customers can read it.
Costs Associated with an Outdoor Campaign
The costs associated with an outdoor campaign will depend on the type of campaign as well as the geo-demographics. It might be a matter of slapping a $50 sign on the side of a building. The $50,000 LED sign is a higher cost, but it can be very reasonable considering the cost per times viewed. More expensive outdoor campaigns with a higher rate of conversions may be the better investment.
Over the lifetime of the outdoor advertising, it may be that your cost per engaged user is lower with outdoor advertising than with traditional digital platforms such as Google, Facebook, or Instagram.
Earning Off Outdoor Advertising
As an agency, you ask yourself, “how would I earn anything by sending my clients to a billboard / LED sign shop company?” In many cases, these outdoor advertising companies understand this concern and have programs to financially reward marketing agencies for any referrals. In many cases, the financial incentives can be equal to the amount you would expect to earn on a digital campaign.
Downsides of Outdoor Advertising
The most important thing is to ensure that your advertising campaign has potential customers and ones that match the type of interest based on what is being sold. An excellent example of this would be a surfboard manufacturing company in the middle of Nebraska. The type of users using a surfboard will need an ocean nearby. This type of campaign would lend itself to an online campaign where we can target users closer to the ocean.
Analyzing the number of potential customers is vital. Another downside is the placement of the outdoor campaign, where you don’t have the volume of traffic required for the campaign’s success. Placing a billboard on the side of a country road with limited traffic may not convert to your satisfaction.
A big downside may be wading through the bureaucracy needed for the actual placement of the outdoor advertisement. I have seen cases where the permitting required can be a nightmare or even impossible. Finding out the legal requirements will need due diligence and upfront investigation on the part of the client and well as the agency involved.
Benefits of an Outdoor Advertising Campaign
Some benefits include brand awareness and reaching an audience that might not be apt to buy strictly from a digital advertisement. It promotes your credibility to a potential customer at the local level. While the upfront cost may be higher in many cases, it might be lower over time. The type of inquiries and their quality may be better, rather than spam inquiries received via digital advertisements.
Types of Outdoor Advertising
There are many types of outdoor advertising, from the giant billboard down to a simple sign on the side of the road. While I recommend an animated solution like an LED sign, the best type of outdoor campaign will depend on location, budget, and the type of product or service being offered. This is where the importance of research comes into play.
Conclusion
Thinking outside the box will take your advertising agency to the next level. The best way to bring value to your client may not only be through a digital campaign. An outdoor campaign along with a digital campaign may bring the most value. Contact me with any comments, questions or concerns.
