As another early 2020 month ends, we sadly bring a bit of troubling news for the OOH industry, though the month didn't wrap up without some positives!
Right off the bat, we have an update on the topic which is still dominating news outlets everywhere since the start of the year. Although the spread and suffering caused by the COVID-19 virus is first on the list of worries, we’ll take a look at some of its influence from a different angle.
On the brighter side of things, we do have some good news! ISE 2020 suffered a blow to its attendance rates this year. However, some of its attendees found the event may have gone smoother than expected. And they say this in part may be thanks to the lowered attendance. We’ll also take a look at some exciting product unveilings in the recent weeks, so let’s get started!
News on the impact of coronavirus on outdoor advertising
The outbreak of the coronavirus (COVID-19) has made a significant impact on China as well as the rest of the world. The damage it has done to the individual health of those infected is clear, as well as the way it's influencing China's economy. Additionally, the impact on other industries, from manufacturing to advertising, our area of focus, is not to be ignored. This applies to outdoor advertising as well as its online form. As China's government issues policies regarding containment, quarantine, and traffic controls, alongside others, the number of people in public spaces is dwindling.
Even without the government's influence, people are staying indoors, which results in less exposure to outdoor advertising. In the neighborhood of advertising, however, online ads will likely rise. As you know, monetization of online content is very high. Add to that the expected rise in online traffic, and it becomes logical to expect online ad activity, including revenue and spending, to rise. This effect may become more prominent should the spreading continue. While people will spend more time online, there are constraints to convert their online time. Retail certainly is hit by locked down cities and a loss of foot traffic, but online order is equally critical when deliveries can’t be made.
Integrated Systems Europe wrapped up recently. It said goodbye to its home in Amsterdam as it prepares to move to Barcelona in 2021.
Stay on top of some of the highlights of the event you may have missed in case you didn’t attend this year’s ISE.
Apart from the conferences and its attendees, the event faced a drop in attendance due to the COVID-19 virus. ISE confirmed the attendance dropped by around 30,000 in comparison to last year. The good news is some exhibitors claimed it didn’t have an impact on the quality of their stay at the event. In fact, some say it may have even contributed to it as the attendee audience consisted less of curious newcomers and more of experts who truly wanted and needed to be there.
The managing director of Integrated Systems Events, Mike Blackman, said: "This year’s show demonstrated to us just how determined our attendees were to come to ISE. Many of our exhibitors exceeded their targets for customer engagement and lead generation."
Location-based advertising strikes again!
In the past, we’ve talked about the potential of the unison of digital signage and location-based advertising. In recent news, an article at Marketing Land further explored and supported this fact. One example is the effectiveness of OOH advertising mixed with mobile. This combination can be seen in the Waze-McDonald's campaign connecting nearby billboards with in-car ads.
Another key factor is the way people respond to well-executed outdoor advertisements placed at key locations. Precise placement as well as quality content can work beautifully together and extend the audience reach even further. Nielsen research claims that 4 out of 10 surveyed adults visited a Facebook page after seeing an outdoor ad. Younger generations proved to be also very keen on sharing exciting experiences such as creative outdoor ads on social media. An excellent example is the recent HBO campaign for Watchmen which counted down to the show's premiere.
The success of the campaign shows multiple factors at play. This includes location of the advertisement, content quality, and the potential for social media engagement.
BenQ and LG unveil new products
On the OnSign TV blog, we recently discussed the advantages and disadvantages of projectors versus digital displays (primarily video walls) and which option might be better for you. Following up on this topic, we paid attention to the most recent tech releases in both of these fields.
This February, BenQ, a company recognized internationally as a provider of display and collaboration solutions, introduces a very special projector. The new EW800ST is the world's first smart projector for business. It includes screen-mirroring, wireless internet connectivity, and plenty of built-in apps. It also enables projection to start from a smartphone, tablet, or laptop.
In the video wall corner, a few weeks back, LG made a groundbreaking introduction with two new 55-inch LCD video wall panels featuring a 0.44mm bezel. One of them, 55SVH7PF, comes with an external power box with swappable power supplies. These ensure non-stop reliability as each power box contains four power supplies but only requires three to operate. This allows operators to replace a failing power supply without affecting the operation of the video wall.
DSE marches closer!
We wrap up this month’s news set with an outlook of what’s to come in the month ahead. As you may know, one of the events that define the beginning of each year for outdoor advertising is Digital Signage Expo, coming in March. The event features a variety of new technologies, products, and methods. The event starts March 31st until April 3rd, 2020, at the Las Vegas Convention Center.
This year, the event is expected to host four professional certification programs, among other things. We’ll be sure to give you a heads up on what else to look forward to. Stay tuned!