A lot can change in six months -- and change can be treacherous territory for brands. Fortunately, out-of-home advertising offers a steady presence in an uncertain world. OUTFRONT's Advertising Trends Report equips marketers with the knowledge and insights to fully leverage that IRL presence that connects brands and advertisers to the consumers they seek.
After all, out of home is one of the most trusted ad mediums there is (preferred by 58% of consumers) [1], and OUTFRONT is one of the most visible media networks in America, reaching 7 out of 10 people every week [2].
Our H2 report takes a fresh look at topics covered in the previous edition, plus some new ones we couldn't have anticipated when the ball dropped in Times Square to ring in 2022.
The H2 OUTFRONT Advertising Trends Report shares ideas and insights media decision makers need to engage with consumers in a world that stubbornly refuses to stand still.
Here are five key trends brands need to know about in the second half of the year.
- Digital Activation
- Contextual Relevance
- Technological Advances
- Value Rising
- Loyalty Fading
Digital Activation
Nothing drives consumers' digital behavior like out of home.Whether advertisers are trying to get consumers to Google search their brand, visit their website, post about them on social media, or make an online purchase, out of home outperforms.
Compared to those other mediums on a dollar-for-dollar basis, OOH is responsible for 7.0x more social posts, 5.3x more search engine searches, 5.3x more online purchases, 4.9x more website visits, and 4.8x more app downloads [3].
Simply put, OOH inspires us to take out our phones and do something, driving more digital activation than radio, TV, display, video or print advertising.
Contextual Relevance
Contextual relevance makes ads more effective. As we say farewell to ads based on third-party data, out of home offers a friendlier alternative. To deliver the right message in the right location at the right time. Out of home provides exactly that, the ability to deliver a brand message in the context of consumers' lives.
And contextual relevance counts. Fifty percent of consumers find contextual ads more interesting, and they improve brand story (27%) and detail recall (23%) too [4]. But what are contextual ads, anyway? They create a connection with the viewer by acknowledging their current state of mind, whether that means ad copy that gives a wink and a nod to the subway rider's experience, or creative that changes with the weather.
Advertisers can achieve contextual relevance by choosing digital out of home (DOOH), a technology preferred by 60% of brands and agencies [5]. DOOH can use dynamic data to trigger variant versions of ad copy or creative based on location, time-of-day, weather, traffic, or even the score of the game!
Technological Advances
Technology is changing the OOH experience. Dynamic digital creative is just one of the technological advances that has made out of home a favorite of marketers in recent years. QR codes are another one, of course, having had massive growth. How massive? Scans increased by 433% in the past year [6], and 2 out of 5 NYC subway riders have scanned a QR code on a transit ad [7]. Maybe that's why 58% of out of home advertisers now use them.
Measurement matters to marketers, and along with QR codes, advertisers are using numerous other methods to evaluate campaign success. Some of the most popular ones include digital integration (77%), promo codes (60%), before-and-after numbers (50%), and unique landing pages (37%).
These technological advances aren't just under the hood -- they're also in the ads themselves and they're getting attention. An innovation-hungry public has noticed more technology in OOH ads lately (85%) -- things like spatial video, with its awesome 3D effect -- and they call those ads intriguing (86%) [8].
Value Rising
Cost value has made a comeback. The last time we wrote our Advertising Trends Report, we were struck by the emergence of purpose as a leading factor in the modern consumer's purchase journey. And don't get us wrong, it's still important, as consumers are 6x more likely to buy from brands with a strong purpose [9].
But the economic realities of 2022 mean that ultimately, buying in alignment with one's values is a luxury some people cannot afford, with cost value reemerging as a primary consideration for consumers.
Higher prices are being noticed by 90% of Americans, especially at the grocery store and the gas pump [10]. To combat rising costs, 38% of consumers are using coupons, discounts, and deals -- and 42% say they like those discounts delivered by QR code [11].
Advertisers can use out of home to distribute QR codes and promos or publicize current specials and sales -- tactics particularly well-suited for the literal last mile of a cost-sensitive customer journey.
Loyalty Fading
Brand loyalty? In this economy? The inflation experienced by consumers, along with supply chain challenges, have forced consumers to consider alternative options for their preferred purchases and retailers.
Pragmatism has taken preference over loyalty, with 46% of consumers shopping a different brand and 37% shopping different stores, retailers, or websites since September 2020. Perhaps even more concerning to brands is that 90% of those who switched plan to continue their modified purchase patterns [12].
Of course, shifting loyalties aren't all bad. Brands that know how to communicate their value proposition -- emphasis on the value - can take advantage of this fluidity. Out of home allows brands to intercept consumers ready to defect by delivering their messaging through a trusted, impactful real-life presence.
In Conclusion
We expect these five trends to be influential over the rest of this year. As brands and consumers alike continue to navigate an uncertain world, out of home promises to remain a steady presence on which they can both depend.
These are just a few of the trends and insights that you will find in our Advertising Trends Report. To access all the rest, visit our website to download the full report.
[1] Harris Poll, 2021
[2] Geopath, 2021
[3] Comscore, 2022
[4] Neuro Insight, 2021
[5] DPAA Global Digital OOH, 2021
[6] QRTiger, 2022
[7] OUTFRONT NYC Subway Audience Survey with MFour (432 respondents surveyed), Wave 4, May 2022
[8] OnScreen.AI, 2022
[9] Zeno Group, 2020
[10] McKinsey, 2022
[11] Vericast, 2021
[12] McKinsey, 2022
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