March 2013
PeoPle in TransiT
Titan media
ToronTo’s mega sTreeT furniTure iniTiaTive sTrucTural Design:
When compromise makes sense
BranDeD ciTies neTWork anD The largesT DigiTalBillBoarD in The WorlD Designing for The space
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March 2013
Bob Klausmeier | Publisher emerson schwartzkopf | Word Mechanics | Editing nxtbook Media | Design/Production louis Brill, Ken Klein, rosanne Caron, Frank incorvaia | Contributors Out of Home Magazine is owned and operated by Klausmeier Associates, LLC, a Nevada Corporation. It is published bimonthly and distributed by e-mail at no charge to subscribers. The magazine is intended to serve as an informational and entertainment forum for those involved and interested in out of home advertising. Out of Home Magazine and its owners are not responsible for the claims, nor the accuracy of any statements made in paid advertising or any contributed materials. All submitted materials become the Property of Out of Home Magazine. All opinions expressed in this magazine are the views of the author and do not necessarily represent the views of the publisher. All rights are reserved. No reproduction of this magazine may be made without the express written permission of Klausmeier Associates LLC. Klausmeier Associates, LLC 484 E. Carmel Dr., #389, Carmel, IN 46032 Phone: 888-569-6043 3 | out of home magazine | march 2013
March 2013
FROM OUR CONTRIBUTORS from the desk of ken klein, oaaa Swedish Digital Report, inconclusive How the green initiatives use Out of Home media Emergency Response digital ads
from the desk of rosanne caron, omac OOH Consumer confidence study
contents tableof
from the studio of frank incorvaia, Design specialist Designing for the Out of Home medium
BILLBOARD
The rationale for structural design compromise
TRANSIT
A spotlight on Titan,“People in Transit�
STREET FURNITURE
The Toronto Street Furniture initiative
ALTERNATIVE
Branded Cities Network and the Harmon Corner in Las Vegas
IN THE NEXT ISSUE
Reaction to the new TAB Rating System The Power of Times Square Social Media and Digital Out of Home The new Hi-Brightness LCD and Street Furniture
Photo Gallery Best Digital Creative Contest And Much More!
4 | out of home magazine | march 2013
Greetings and welcome! As many of you know, I am a longstanding veteran of the Out of Home industry. I have been selling ads, signs and display technology for decades. It has been a thrilling adventure, particularly over the last dozen years. As you may also know, my career in sales was always married to a companion career in journalism. Selling signs paid the bills. Writing about it soothed my inner soul. And so, when I retired from my sales career in 2011, I did so with the intention of devoting more time to writing and chronicling this great industry we know as Out of Home.
publisher
fromthe
The first edition of this magazine comes to you as we launch into an amazing new era in advertising. Whereas our media segment was once referred to as stale, dated or slow to change, the new Out of Home is innovative, creative and ubiquitous. It is irresistible in the mobile world where people spend 70% of their time. It is the call-toaction medium in a time when advertisers are demanding accountability for every advertising dollar spent. Out of Home Magazine is proud of its membership in both OAAA and OMAC and joins both organizations in the goal to grow the Out of Home segment of the media pie. The task is daunting; but the opportunity is immense.
“This magazine is written for you entirely by experienced, Out of Home professionals.� 5 | out of home magazine | march 2013
This magazine is written for you entirely by experienced, Out of Home professionals. It is intended as shared information for the common good of the industry. Please do not hesitate to contact us if you have suggestions or story ideas. We are her to serve you. All the best, Bob Klausmeier bob@OutofHomemag.com Publisher
6 | out of home magazine | march 2013
Experimental
s d r a o b l il B l a Digit in Sweden What Did The Research Say? (Hint: inconclusive)
By Ken Klein
I
n March of 2010, the Federal Highway Administration (FHWA) sponsored a trip around the world to look at billboards. When this group got to Sweden, it was surprised to find fast-flipping digital billboards on the right of way of the north-south highway that goes through Stockholm. Digital billboard in sweden, March 2010 As part of this on-the-roadway experiment in the Stockholm area, Sweden produced a traffic safety report based on motorists’ eye movements in proximity to four digital billboards (41 test drivers wore eye-tracking headgear).
contributors from our
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“Swedish Traffic Report” continued
Now, the anti-digital lobby in the US wants to use this Swedish report (submitted on July 8, 2012, to Traffic Injury Prevention) as a weapon against digital billboards in America, arguing that some of the Swedes looked at these signs for too long. Therefore, let’s take a look the study: • It is inconclusive: “Whether the billboards attract attention too much, that is, whether they are a traffic safety hazard, cannot be answered conclusively based on the present data.” • The digital billboards in Sweden did not affect driver behavior: “No consistent significant changes in driving behavior with respect to speed, lateral placement of the vehicle or headway could be found before the billboard was visible, while it was visible and after it was passed.” • The Swedish report acknowledged significant data loss: “The percentage of tracking loss was quite substantial, with losses of around 30 percent of the participants for some of the signs.” • The “long” glances actually were the sum total of repeated looks, back and forth at a sign. What does FHWA say? The Swedish report will not drive US policy, the agency says, noting that standardized billboards in the US are different in size and location.
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“Swedish Traffic Report” continued
The trial digital billboards in Sweden were 6 meters by 4 meters, smaller than a US poster panel (300 square feet). In Sweden, the signs were on the right of way, next to the guardrail (see photos); US billboards are located outside the right of way. Meanwhile, US regulators continue to study traffic safety. Massachusetts recently adopted digital regulations, after years of analyzing crash data.
“The traffic engineers preparing the reports found no detrimental impacts of the Digital Advertising Boards in any of the eight study area locations.” 9 | out of home magazine | march 2013
“The traffic engineers preparing the reports found no detrimental safety impacts of the Digital Advertising Boards in any of the eight study area locations,” said the chief safety analyst for MassDOT. FHWA sponsored eye-glance research, but has not released a report. A year ago, summary information about the federal research was made public in response to journalists’ request under the Freedom of Information Act (FOIA). It said that drivers’ attention is drawn to digital billboards for periods “well below” safety thresholds.
Ken Klein is executive vice president of the Outdoor Advertising Association of America
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Outdoor Platforms Deliver Environmental Messages
By Ken Klein
A
diverse spectrum is attracted to out of home media for mass communication, including the environmental movement. The 2012 election and current policy debates showcase environmental messaging on billboards, transit, bus shelters, and more. The League of Conservation Voters (LCV) dubbed them the “Flat Earth Five,� targeting members of Congress skeptical of global warming. The League skewered them on billboards; four of the five lost in November of 2012.
contributors from our
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As Congress considered the wind-energy tax credit, the Sierra
“Outdoor Platforms” continued
Club bought all the ad space available at the subway (“Metro”) stop nearest the US House of Representatives. Above ground, pedestrians could see the World Wildlife Federation’s anti-poaching campaign on bus shelters. “I am not a rug,” says the caption on WWF’s tiger poster. Trains in the Washington, DC, transit system have featured Sierra Club’s message against coal. On the other coast, the Sierra Club and the Los Angeles Business Council put up billboards thanking the mayor for taking steps to move away from coal-generated power. In Ohio, the Sierra Club said a utility wastes energy. Sierra’s hardto-miss billboards were located near the utility’s headquarters in Akron and the Public Utilities Commission of Ohio (PUCO) offices in Columbus. Messaging battles at the 2012 national political conventions were fierce. At the Republican National Convention, the Florida Wildlife Federation bought space on digital billboards, including one directly across from Tampa Bay Times Forum. The message: prominent Republicans have acknowledged that climate change is a problem. Ken Klein is executive vice president of the Outdoor Advertising Association of America
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NATIONWIDE Public Safety Agencies Rely on Billboards
By Ken Klein
O
ut of Home advertising has become a common communications tool for a broad range of public safety agencies. In February, this partnership was on dramatic display -- on both coasts. As a blizzard hit New England, police in southern California launched a massive manhunt.
contributors from our
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eXTreMe WeaTHer As a baseline, New Englanders compare extreme winter weather to big blizzard of 1978. Part of its impact was due to surprise, plus failure to heed warnings. Experts say the blizzard of 2013 – while severe – was less lethal because forecasting technology has improved and the region took precautions.
“Agencies Rely on Billboards” continued
The Massachusetts Emergency Management Agency (MEMA) displayed emergency messages via digital billboards like this: FUGiTiVe ManHUnT Meanwhile, the Los Angeles Police Department launched a manhunt for an ex-cop wanted in multiple killings. The fugitive wrote a manifesto targeting police and their families. “Public safety communication often requires speed and flexibility,” said Nancy Fletcher, OAAA President and CEO. “Digital billboards provide both attributes.”
“Public safety communication often requires speed and flexibility,” said Nancy Fletcher, OAAA President and CEO.“Digital billboards provide both attributes.” 14 | out of home magazine | march 2013
OOH Advertising By Rosanne Carson
A
Drives Consumer Action
new Canadian study confirms that OOH advertising continues to be an effective medium in driving consumer action. A TNS Global survey revealed that over one half (57%) of Canadians age 18+ take some type of action after seeing OOH advertising. Both males and females were equally as likely to take action after seeing OOH ads. There were differences across age groups; young adults age 18-24 were most likely to take action (74%) and adults age 55+ were least likely to take action (45%) after seeing OOH ads.
contributors from our
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The most common actions taken after seeing an OOH ad are visiting an advertised website, seeking more information about the advertised product/service and visiting a retail store. Just over one
“OOH Drives Consumer Action� continued
in ten respondents claimed they purchased the advertised product. OOH advertising was also shown to influence social media interaction. Over one in ten Canadians age 18-54 said they had shared information from OOH ads they had seen with their friends and family on social media. The survey also highlights the growing interest in using mobile devices to interact with mobile enabled OOH ads. When respondents were asked their level of interest in interacting with OOH ads in various ways, 71% said they would be interested in receiving coupons and 59% said they were interested in having immediate access to brand or store information from OOH ads. Some recent examples of marketers taking advantage of these new interaction opportunities include an Advil campaign that ran on QR/NFC enabled posters in college and university campuses. Students could interact with the ads to enter a contest, obtain coupons and participate in live chats or get answers to their questions. Samsung recently used NFC to showcase its S beam feature during a launch campaign for the Samsung Galaxy S III and the Note II. Consumers were able to interact with NFC enabled posters in high traffic areas such as Toronto’s Path system and at a B.C. shopping mall to download an exclusive new tune every week. The campaign builds on the idea of the sharing capability of the phone for more than just traditional messaging or social media.
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“OOH Drives Consumer Action” continued
A new Heineken campaign creates impact and reminds consumers about the brand in a unique way through glow in the dark murals, interactive bottle walls that create a shadow when people walk in front of them and interactive boards that move as consumers get close to them. “OOH is an effective medium for building awareness and creating interest in a brand; the addition of mobile or other interactive components allow marketers to engage consumers and provide them with immediate and relevant information about their products & services on the path to purchase,” said Rosanne Caron, President; OMAC OMAC is the marketing arm for the out-of-home advertising industry in Canada. OMAC members include Astral Out-of-Home, CBS Outdoor, Cogeco Metromedia, Lamar Transit, Newad, Pattison Outdoor, Titan 360 and Zoom Media. Roseanne Caron is president of Out-of-Home Marketing Association of Canada.
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e h t m o r F f o o i d u t S
Frank Incorvaia By Frank Incorvaia
This is the first in a series of columns specific to the various aspects of design for the out-of-home space. Frank Incorvaia is an award-winning designer with more than 20 years of experience, designing for out-of-home in the world’s most-demanding markets.
E
very out-of-home design should embrace three key elements: the medium type, the location, and the size of the display. Once these three factors are understood, the client’s concept can be properly formatted and successfully executed.
contributors from our
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The client will likely have strong opinions about the content and cohesiveness with the overall campaign. However, you cannot
“Designing for the Medium” continued
ignore the basic environmental and physical elements when producing for OOH execution. It is the job of the media designer to adapt a concept for best effect with each medium. Considerations such as color combinations that offer the best contrast are critical. The legibility of font types, relative to distance and available space, is also important. The key is to make the client’s current collateral work effectively by applying those elements to a good composition. After all, you might not be able to change a client’s logo, but you can always play to its strengths by utilizing the right layout. The location The distance from the audience and the environment in which the ad will be viewed are both critical components of design. The ability for the audience to comprehend the message is related directly to the amount of exposure or time the content can be seen and interpreted. Viewing angles cannot be overlooked without the potential of detrimental effect. Surrounding elements and competing displays structures might obstruct visibility size Matters It’s a simple matter of scale: space vs. viewing distance.
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“Designing for the Medium� continued
The size and the layout should work together to emphasize the scale, not work against it. Everything should scale proportionately.
part of the effect. One advantage of a static display is its constant presence. With effective illumination, these displays offer a solid 24/7 presentation that cannot be ignored. In the best examples, advertisers retain the same placement for years, updating concepts and building incredible brand awareness through landmark locations.
Perhaps the worst mistake is in wedging too much copy into a confined area. Design must be efficient and concise, tailored to the available space. The Medium: Static or Digital Before the design process begins, it is important to consider if the ad will be portrayed in static or digital medium. The design approach is the same for both: Keep it simple, bold and meaningful. One clean concise message, using large high-contrast typography, that viewers can easily recall. However, digital and static displays are mechanically very different animals, and have their own specific requirements to achieve good results. Static Billboards: Giant, Beautiful Prints Although the world is trending toward digital displays, static or printed displays provide the highest-quality image in terms of resolution. Static displays also offer the ability to go beyond the confines of the display face by using extensions and structural effects to enhance the visual presentation. A lot of very interesting effects can be achieved using the surrounding environment as a
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ÂŹ
Printed vinyl offers stunning visual acuity, accurate photographic reproduction and, when properly designed, perfect color matching. The challenge is that static displays require high-resolution print production on a very large scale. This means large file sizes. With print, careful attention must be given to color matching through ICC profiles and all the technical considerations involved in CMYK printing. All of the commercial, large format printers in the industry offer excellent support for achieving great results, but they can be hamstrung by inferior art files provided by the clients and designers unfamiliar with the medium. Digital Displays: Colors that Pop, Creativity with Changing Content When designing for digital, the advantages are in favor of the designer. The same RGB color space used to create the layout on a computer screen is also used by the digital billboard. There are no issues or shifts in color conversion; you can proof your design
“Designing for the Medium” continued
directly on the screen. As for production, there is only design and scheduling. The file is created at a pixel-to-pixel ratio; even a relatively high-resolution bulletin display will require only a small file that is easily and quickly sent to the display for instant viewing. The advances in scheduling software now offer myriad of control options to make it possible to deliver multiple messages and copy changes throughout the campaign. With proper calibration, exact color matches can be profiled and saved for specific advertisers. Another big advantage is that RGB, with billions of colors, has a far greater gamut than CMYK. The spectrum palette is far less limited than in traditional print production. In the digital scenario, the artist should take advantage of brightness and luminosity values to give depth to the design – something not possible in print. This depth and richness of color values is what sets digital displays apart. The visual luminosity is what makes the digital display a powerful beacon, but it must be carefully managed. Digital billboards are large arrays of LEDs, creating black when turned off and white when applying equal power to all three RGB diodes. Careful consideration should be given to the use of light
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“Designing for the Medium” continued
and dark areas to emphasize the message. This contrast makes a good case for creating ads with dark (or completely black) backgrounds, layered with lighter, brighter copy. It gives a sense of depth to the images, rendering text with a sharper appearance with better contrast. Black tends to make adjacent colors even more luminous, offering a very useful technique for giving the design “pop.” Conversely, an all-white background can have an overwhelming effect. The sheer brightness will make it difficult for the viewer to focus on the other elements. On a technical note, white also has a tendency to reveal imperfections in the modules that make up the display face; a white background magnifies the power usage of the display. “(See photos to the left for background comparison).” Next time, we will address the challenge and opportunity of designing for the digital billboard. Look for future columns to delve deeper into the design process for the various out of home platforms.
… an all-white background can have an overwhelming effect. 22 | out of home magazine | march 2013
Frank Incorvaia is a marketing and design practitioner with more than 20 years of experience in Out of Home media.
A side of your digital billboard you’ll never have to see. It’s too bad really, because that’s one sexy photo if you ask us. Just two simple, streamlined connection points. And because we obsess on thousands of details like these that make such a complex product simple, you don’t have to. We perfect every elegant — and, yes, sexy detail — even the ones you’ll never see.
Learn More 23 | out of home magazine | march 2013
FOR THE
RATIONALE
STRUCTURAL
By Bob
Klausm
eier
DESIGN COMPROMISE Every billboard provider struggles to expand his or her inventory within the confines of the ordinances or bylaws, witch govern structure placement. It is the greatest factor limiting the growth of the industry. Still other challenges exist with property owners who do not want their identity dwarfed by a billboard structure.
S
ome savvy outdoor professionals have observed that the aesthetics of a billboard structure plays a large part in such considerations.
billboard 24 | out of home magazine | march 2013
In 2008, Lamar Advertising was working with the city of Rancho Cucamonga, CA to grow its outdoor advertising presence. They were faced with roadblocks, centered on the perception that billboard structures were not in keeping with the desired aesthetic of this high demographic profile community.
“Rationale for Design Compromise” continued
Randy Straub, market manager for Lamar recalls, “The city did not like the look of a standard billboard. They wanted something that fit with the environment.” Ultimately, a decorative design was conceived which paved the way for placement of new and highly profitable billboards in the community. Straub noted, “The added cost brings nothing back to us in terms of revenue. But, if it’s necessary to get the location, then obviously, we do it.” Every person interviewed for this story echoed that sentiment. Simply stated, the cost to enhance the look of a structure is not something that the industry desires; but, the visual effect is a valuable to tool for placement where otherwise there would be no opportunity. For several years, Clear Channel Outdoor in Sacramento, CA sought approval for a digital outdoor placement on the grounds of California State University at Sacramento. The location was critical to the company’s plans for digital billboard advertising. There was resistance from the city as well as the school. The Clear Channel Outdoor – Sacramento team worked to develop a design, which was inclusive of the university’s desire for exposure in tandem with the advertising needs of CCO. In the end, a compromise design which was unique and one of a kind was approved by all parties. This design provided enhanced
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“Rationale for Design Compromise” continued
awareness for the university, community service messaging and very high profile digital advertising for Clear Channel clients to the traffic on the 50 Freeway. In Indianapolis, IN a mall developer saw the opportunity that its premier properties offered for the purposes of outdoor advertising. A joint venture was formed with an outdoor advertising company, which provided mutual financial and exposure opportunities for both parties. Key to that agreement was the stipulation that a customized design in keeping with the mall’s aesthetic plan be implemented. These three examples represent the power of creative design in the overall scheme of outdoor advertising placement in today’s regulated environment. The placement of an outdoor structure is an increasingly complex scenario in a world filled with fluctuating agendas. Many times, a fresh new approach to design can be a powerful tool, particularly in a variance meeting where the opportunity exists to present to a group. Talk to your structure provider about this concept. While every situation is different, there may be an opportunity to create a powerful and profitable new location, just by providing some pleasing style elements.
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27 | out of home magazine | march 2013
By Bob
Klausm eier
Transit Media In outdoor advertising, the predominant formula is to establish a contractual relationship with a commercial landowner, allowing the placement of one or more billboards for off-premise advertising. In the world of transit, the contractual arrangement is between the media company and the government entity that owns or controls the transit line where the advertising is to be displayed. This is the primary factor distinguishing transit advertising from traditional out-of-home media.
M
ost corporations involved with transit media are large firms employing various segments of out-of-home advertising. Conversely, Titan is a New York-based firm centered on transit as its core business.
transit 28 | out of home magazine | march 2013
“’People in transit’ is our sole focus,” says Dave Etherington, Titan executive vice president.
“Transist Media” continued
Titan embraces the out of home brand concept of ubiquity. Its URL, www.Titan360.com emphasizes the fact that Titan’s “diverse media surrounds consumers when they are away from home,” Etherington explains. The company is an emerging juggernaut, powered in large part by the knowledge and expertise of its president, Don Allman. There are few out-of-home professionals with deeper experience in transit advertising; Allman is, perhaps, the leader in that category. With more than 30 years in out-of-home, Allman’s focus has always been transit. His career started with Foster and Kleiser (now Clear Channel Outdoor) and continued with TDI (now CBS Outdoor). Both companies still compete in the transit space as a part of their overall out-of-home offerings. Titan operates in both the United States and Canada with presence in most of the top 15 major markets and more top-10 DMAs than any other transit provider. North America’s top markets include New York, Los Angeles, Chicago, Philadelphia, Boston, San Francisco, New Jersey, Dallas, Pittsburgh, Seattle, Minneapolis/St. Paul, Charlotte, Westchester (N.Y.) and Toronto. An early adopter of digital media, Titan is now developing a growing network of high-brightness LCD screens to impact audiences at transportation platforms (as they wait for trains), in the
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“Transist Media” continued
train cars themselves, and in transportation stations. With networks on many of the Northeastern U.S. train corridors, Titan’s networks include more than 1,200 LCD digital displays – and the number is growing.
Edmonton with more attention to a full-service out-of-home model. Beyond transit, the company provides everything from wallscapes to digital spectaculars to experiential media opportunities utilizing mobile technology and social media.
Last April, the company launched Titan Air, its newest division. Following its storied history of hiring the best people in the industry, Titan brought on board two industry veterans, Michael Riley, past president of Clear Channel Airports, and Sam Hart, Clear Channel Airports’ past vice president of airport relations.
Titan holds a dominant position in Dundas Square in Toronto, frequently referred to as the Times Square of Canada. Dundas Square sits at the intersection of Yonge and Dundas, the nation’s busiest intersection, and atop Eaton Centre, the world’s largest underground shopping area. The area is dominated by numerous electronic spectaculars, many of which are operated by Titan.
Titan believes that the airport is a natural extension of its transitmedia platform. Its large national sales force can offer integrated advertising packages encompassing the entire transit experience, particularly in those areas where airports are served by commuter rail and mass transit. Titan Air landed its first contract last August in a five-year agreement with Westchester County Airport. A second contract followed with John Wayne International in Orange County, Calif. In January, the company signed a marketing agreement with United Airlines. “Titan will assist United with all of its out-of-home related advertising,” Allman says. In Canada, Titan operates in Toronto, Montreal, Vancouver and
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¬
As public transportation, by necessity, continues to expand in North America, transit media will command an ever-greater importance to advertisers wishing to reach out-of-home audiences. Watch Titan as it expands upon its well-established position of prominence in both the United States and Canada. http://www.titan360.com
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STREET FURNITURE By Bob Klausmeier
S
treet furniture advertising is a scalable business, ranging from a few bus shelters on a college campus to the massive program detailed in this story. This story examines one of the world’s largest and most sophisticated programs.
Unlike traditional outdoor advertising, street furniture programs usually originate with municipal government. For the communities involved, the opportunity is to develop needed amenity placements for its cityscape, primarily in urban areas. A companion opportunity exists through the use of the program to control the dissemination of visual advertising.
furniture street
32 | out of home magazine | march 2013
“Street Furniture” continued
THe ToronTo sTreeT FUrniTUre ProGraM In September 2006, the city of Toronto, the fifth most populous city in the United States and Canada, published a Request for Proposals (RFP) for a “Co-ordinated Street Furniture Program.” The 131-page document noted “an exceptional opportunity to improve the look, feel, functionality and image of our streetscapes and City.” Interested bidders were referred to a report, “Vibrant Streets: Toronto’s Coordinated Street Furniture Program Design and Policy Guidelines, August 2006.” The report was the culmination of intense study, including technical analysis and related research, which identified the physical needs of the program as well as some verbiage regarding design and aesthetics. The RFP identified six components of the program it wished to have implemented by the successful bidder: transit shelters, litter/ recycling receptacles, benches, multi-publication structures, postering/neighborhood information kiosk/structures, public washroom and bicycle parking units. These were the categories of items to be placed at multiple locations, as needed, throughout the city. The successful bidder was required to “design, manufacture, install, maintain and clean the pieces for the 20 year life of the contract. In exchange, the RFP noted, “advertising will be permitted on specified elements, providing significant revenue opportunities to the
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“Street Furniture” continued
Successful Vendor and the City.” Further into the RFP was a schedule which detailed which types of furniture were to be installed and at what rate over the period of twenty years. Ultimately, over 25,000 individual components were to be placed.
• Astral Out-of-Home to provide more than 25, 000 pieces of street furniture to be deployed over a span of 20 years.
Three vendors submitted bids for the project from all over the world. Ultimately, the project was awarded to Astral Media Inc., a 52-year-old Canadian Media Company based in Montreal, Quebec, with a significant presence in Canadian television and radio, as well as wide-ranging Out of Home holdings throughout the country.
• Over the 20 year term of the contract, the City of Toronto will receive approximately $915 million in value including: $415 million in rent, $200 million for the construction of the street furniture, and $300 million in maintenance and repairs.
Because design was a critical determining factor in the RFP, Astral Out-of-Home felt it had an advantage. Mr. Luc Beaulieu, VicePresident, Real Estate Québec and Street Furniture , who manages the Astral Out-of-Home street furniture programs noted that “design, style and innovation are in Astral’s Out-of-Home DNA.” Astral Out-of-Home had already developed a stylish street furniture program for the city of Montreal, Quebec. He commented that it was easy for Toronto to witness a nearby, successful program and to develop a level of comfort with Astral Out-of-Home. The resultant contract by and between the city and astral outof-home mandated the following: • The commencement date of the agreement, September 1st, 2007.
34 | out of home magazine | march 2013
• During the term of the agreement, said street furniture would remain the property of Astral Out-of-Home. At the termination of the agreement, ownership would transfer to the City of Toronto.
¬
• At regularly scheduled intervals, the Auditor General of the City of Toronto to audit and report on the progress of the contract. On February 3, 2012, the first audit report of the contract was presented to the city with a conclusion that Astral Out-of-Home was meeting the terms of the agreement. THe aDVerTisinG oPPorTUniTY As of this writing, February 2013, the Toronto program is five and a half years into its twenty-year life. Mr. Beaulieu filled in some significant realities pertinent to the advertising opportunities in the program. While 10 different types of street furniture are being deployed by Astral Out-of-Home in Toronto, only two categories are used for advertising: the bus shelters and information pillars. To-date,
“Street Furniture” continued
advertising has decreased by 46 per cent since the new contract. Mr. Beaulieu noted that this is less of an issue for advertisers who prefer standardized formats and premium quality products. The loss of such street furniture advertising exposures such as benches and litter bin postings cleaned up the visual clutter and placed a greater value on the new illuminated positions. Astral Out-of-Home also has a traditional outdoor advertising presence in the greater Toronto area, including digital billboards. The company employs an account-based sales team, which serves the needs of its clients by offering the entire spectrum of products. “We do not separate the street furniture from the other Out of Home pieces,” noted Mr. Beaulieu. “We think it is better for the sales team to offer the entire package to each client.”
Still other advertisers appreciate the low-level, in-your-face proximity of street furniture advertising. It best suits pedestrian traffic and the slow-moving vehicles in close proximity to the advertising. Mr. Beaulieu noted that mobile telephone companies, first run movies, packaged goods and luxury products all favor street furniture advertising.
¬
Asked if Astral Out-of-Home intends to pursue other street furniture opportunities in Canada, Mr. Beaulieu noted that the company carefully examines all RFP’s with an eye toward measuring the commitment against its other strategic initiatives.
Astral Out-of-Home employs product managers who interface with the sales teams in each market. The product managers keep an eye on inventory and work with the sales team and the clients to strategically place the advertising for best advantage of each client. Street furniture advertising has its own following of advertisers who prefer the medium for a number of reasons. The urban setting advantages those local retailers in close proximity to bus shelters, for example. The high resolution, backlit images are favored by clothing retailers because of the impact of the high dpi, illuminated images.
35 | out of home magazine | march 2013
“Street furniture advertising has its own following of advertisers who prefer the medium for a number of reasons.”
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36 | out of homeThe magazine | march 2013 Daktronics: Smarter Approach to Digital Outdoor
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The
Harmon Corner
By Louis M. Brill
OOH Experiential Advertising
T
he world’s largest LED digital billboard, at 60’ tall by 300’ long, sits amidst the Las Vegas skyline, offering 18,360 ft² of advertising space. The new billboard, owned by BPS Partners (Las Vegas), a real-estate development company and investment group, sits atop a mixed-use shopping mall that is anchored by Walgreens along with 17 stores and boutiques, including three restaurants with outdoor patio dining.
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Situated at what is considered the 50-yard-line of the Las Vegas Strip, the billboard sits at the juncture of Harmon Avenue and Las Vegas Boulevard, and is now known as the Harmon Corner spectacular. It is unique in both size and shape. Instead of the classic flat screen, this billboard is shaped like the letter “J.” A long,
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flat element faces perpendicular to the northbound traffic on Las Vegas Boulevard, with a continuation of the screen gradually curving around the edge of the building to face westbound traffic on Harmon. This allows flexibility with image composition. Advertisers can place one image that completely fills the screen, or two simultaneous images with the first image facing south, and a second, smaller image posted along the curved segment facing east. Branded Cities network In all its spectacular grandeur, the display is managed and operated by Phoenix-based Branded Cities Networks (BCN) (est. 2010), an out-of-home media company incorporating spectaculars, wallscapes and digital signage into large, pedestrian-friendly urban areas. BCN’s tag line, “Iconic Media, Iconic Destinations,” specifically defines its corporate mission as described by Chris Dow, chief creative officer. “Although we’re a company specializing in outdoor advertising, we’re not involved with traditional roadside billboards. Essentially, we’re about creating spectacular, digital media for placement in premium destinations.” “With our goal of creating spectacular digital signage in unique, urban destination areas, we intend to build a specialized national
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digital-billboard network,” says Scott Elliot, BCN vice president of sales and sponsorship, “to bring a new and unique media option to the outdoor-advertising marketplace. “BCN has the goal of taking the advertising dynamism of Times Square and duplicating that media energy into the downtown areas of selected cities throughout the United States. In this fashion, we will bring 21st-century advertising connectivity into each of those city skylines and urban landscapes. We already have parts of this strategy in place with BCN LED billboards in Los Angeles, Denver (Denver Theater District), Phoenix (Westgate City Center) and now in Las Vegas.” The Harmon Corner “With a billboard that size, it’s definitely noticed both by the public and the advertising community as a place to be,” says Dow. “Last year, the Harmon Corner billboard was sold out through the endof-the-year holidays right up to New Year’s Eve. We were also sold out during the Consumer Electronics Show (CES). Harmon Corner’s advertising accessibility is driven by the cultural and seasonal events surrounding it. Holidays and conferences are big magnets for sold-out occupancy. When those attractions level off, so does its advertising demand.” Pricing The ads The Harmon Corner digital billboard is 27 times the size of a 14’
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X 48 digital billboard, but that doesn’t mean that its rate card is equivalent to its size. With that kind of advertising acreage for creatives to post on, says Elliot, “its cost of advertising has been configured in relation to its iconic location. We know that pedestrian counts are about 100,000 people a day passing it; for vehicular traffic, it’s about 65,000 cars and trucks a day moving past it on that Las Vegas Boulevard intersection.”
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At this time, the Harmon Corner digital billboard offers a maximum of eight advertisers in a loop, giving each client 600 exposures per day. “In regard to our pricing package, it depends on time of year, surrounding conference events, time of day and frequency of use,” explains Elliot. “We’ve offered a range of programs from $50,000 a week to $25,000 - $30,000 a month. “Although the Harmon Corner is available to all agencies and brands, the majority of our advertisers are national brands – about 75 percent – versus the remaining 25 percent, which are local Las Vegas attractions. On a local level, we get mostly the top casinos and top-billing entertainment of these casinos. For example, we had a promotion for Terry Fator at the Mirage.” “”As for designing creatives for this particular billboard, because it’s not your typical 14’ X 40’ board, everything about it is special,” Dow says. “For starters, it’s 7,360 pixels wide by 1,440 pixels high. A final ten-second spot composed for this screen could be up to three
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gigabytes. “We’ve been lucky that most of the agency work submitted to us has been correctly prepared and fits on the billboard properly. But we also have our own internal design team that finesses each advertisement so it looks correct. All-in-all, as no one has ever dealt with a digital billboard of this size, we’re learning on a daily basis as we continue to manage it.” The strength of the Harmon Corner, however, is not only its size and functionality as an advertising billboard. It’s already an iconic, well-defined advertising platform and an established destination in Las Vegas. However, its potential is so much greater; BCN intends for Harmon Corner to act as a media-based “Town Square” for Las Vegas. Already, the Harmon Corner display has gone from just being a billboard to both a multimedia portal and a stage for participatory connectivity to the sign. Harmon Corner and the Future of outdoor While the Harmon Corner may be the world’s biggest digital billboard, as Dow points out, “It’s also a stage for varying types of media performances, and as well a laboratory for incorporating social and mobile media as part-and-parcel of new concepts in outdoor experiential advertising. Our biggest questions are: How to expand the customer contact experience with our advertisements? How do you take your audience as a group of viewers, and treat
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“The Harmon Corner” continued
them on a one-by-one basis of connectivity?” “We see our billboard not only as a display, but also as a portal to something much bigger in terms of an advertising reach. We believe that social media and smartphones are part of the solution for more-engaging media connectivity between our advertisers and our billboard viewers. Social media allows the brand to become a form of transmedia, where the advertisement starts off as a billboard display, becomes a phone app, and is downloaded onto a customer’s smartphone. Our billboard content winds up in their pocket, with its messages and links waiting to be reviewed at their leisure.” What’s most exciting about the Harmon Corner digital billboard is that it’s an out-of-home advertising program complete with socialmedia aspects and real-time coverage, all conveniently located in one location. For BCN, both Dow and Elliot emphasized Harmon Corner is the start of a much-bigger strategy about where the future of digital outdoor is going. Here, BCN’s thinking tends to run the opposite of “everything stays in Las Vegas;” for BCN, what works in Las Vegas (as experiential advertising) will work elsewhere – all in good time. Louis M. Brill is a journalist and consultant for high-tech entertainment and media communications. He can be reached at (415) 664-0694 or louismbrill@gmail.com
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Our first digital bulletin is celebrating 10 years of light and still running strong. Learn why YESCO displays just live longer. 42 | out of home magazine | march 2013
reaction to the new TaB rating system The power of Times square
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One of the nation’s top independent outdoor companies Has completed the divestiture of its high-end wall spectaculars, bulletin displays, and digital media assets within Chicago and San Francisco The undersigned initiated this transaction and acted as the exclusive financial advisor to 24 Seven Outdoor.
Steven D. Fretty Managing Director sfretty@jfco.com
James E. Johnsen Managing Director jjohnsen@jfco.com
Gabriel Oliverio, Jr. Principal goliverio@jfco.com
One Landmark Square Suite 320 Stamford, CT 06901 203.406.2424 www.jfco.com Securities transacted through StillPoint Capital, Member firm FINRA/SiPC
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J. Taylor Woodson Vice President twoodson@jfco.com
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