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Thoughtful analysis, industry news and best practices for digital signage, M2M and kiosk projects

Survey: Updating Our DOOH Ad Pricing Metrics

Author: Bill Gerba on 2012-12-12 10:09:38

Last year, after more than a decade of giving advice on how difficult it is to launch an ad-funded digital signage network without ad in-house sales expertise, we decided to conduct what I think was the first ever industry-wide poll on buying and selling digital out-of-home (DOOH) advertising. Since starry-eyed startup entrepreneurs and seasoned veterans alike seem to be continually enamored with the thought of buying and selling media on the 4th (or 5th) screen, we hoped to learn what media was being bought and sold for, what business models buyers and sellers preferred, and what kinds of ads were most likely to be shown. From that survey, which was widely circulated and responded to, we discovered that DOOH ads sell for an average CPM of $12, DOOH media buyers and sellers prefer reach-based pricing, and the median CPM Viewers price, which is reasonably representative of what's being bought and sold in the real world, was around $6.50.

Let's take the survey!

Just like last year, I'd like to tap the wisdom of the DOOH crowds to continue answering some of the most pressing questions in the industry, namely:
  • How much does DOOH advertising cost,

  • How are most people buying and selling it,

  • How would they like to buy and sell it, and

  • Which factors make inventory more or less valuable
If you're involved in the DOOH industry, then you want to see this data. And by spending just a few minutes filling out the questionnaire below, you'll help us paint a picture of how your peers and partners perceive the DOOH advertising ecosystem, including where the value lies. As with all of our surveys, if you provide your email address on the survey form, I'll send you all of the data once the survey period has ended.

Who should fill it out?

Who should fill out this survey? You, your coworkers, your clients, and your friends! In fact, feel free to pass along this article to anyone you think might be interested.

How do you fill out the survey?

If you're reading this article in a web browser, the survey should appear below. If you don't see it, simply click this link to take the survey.

When can you expect to see results?

The survey will run until the end of the year, and we're planning to publish a series of blog articles with results and analysis in early 2013.

We're always on the lookout for new topics to cover in future surveys and articles. Got any topics you'd like to suggest? Leave a comment and let us know!

Comments (1)

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2012-12-12Clinton Gallagher @virtualCableTV writes:
There's a lack of information regarding advertising revenue share models for signage deployed on the premises of bars and restaurants.

We're in a region of laggards but here and there some bar and restaurant owners are starting to allow "free" static screens to appear.

I need to answer their question "what's in it for me." I presume the revenue share model is the only way to make it work but how to split a $6.50 CPM with X number of bars when X reaches let's say 12-24 bars. The spread on the share may not provide enough revenue to operate a signage business.

The local markets seem to be huge opportunities in this context as the bars are where the screens are and the bars are where the people are. How can we crack this nut?

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