#BigPic16 @goborrell Says “You Should Be Looking At The Rest Of The Pie”
Gordon Borrell, media analyst and CEO, Borrell Associates, told attendees at the TAB/OAAA Conference and Expo last week that Out-of-Home and Digital Out-of-Home are only getting a piece of the dollars spent in advertising, and that the experiential/below-the-line sector is winning a lot of the ad dollars.
“If small OOH companies and local marketing continue to think that your competitors are the big companies like Clear Channel and OUTFRONT, you are wrong,” Borrell said. “You have the right to go after the dollars that are going into promotion and below-the-line.”
“The big groups are selling integrated packages,” he said. “OOH is the only traditional medium that’s growing.” He pointed out that other media – especially newspapers and magazines – are declining, and the OOH sector should also be looking at winning some of the ad dollars that had gone to these.
“This year, advertisers are wanting to put the advertising dollars on what they feel they can control, especially the different digital media. They are not cutting their spending, so try to find out where those advertising dollars are.
“Advertising is losing its share of marketing dollars. The money is going to other sectors such as social and mobile. Advertisers are spending two-to-six times more on other marketing.”
Borrell said that this year, $11.7 billion will be spent on political advertising, About 10% of that will go to digital. Local TV will get a lot. He said that OOH should be getting about $396 million of that.
His main closing points were that:
- “Digital media is changing the face of marketing.
- Marketing budgets are expanding.
- Advertising budgets are not expanding.
- Digital savvy reps will have a leg up on others.”
Categories: DailyDOOH Update
