However, unlike online advertising, where clicks, conversions, and other metrics are easily tracked, evaluating the effectiveness of outdoor advertising requires a more complex and multifaceted approach. How can you determine the success of your advertising campaign, and what tools should you use for this purpose? In this article, we’ll examine the key methods, metrics, and KPIs that help assess the performance of outdoor advertising, including DOOH, pDOOH, video wall software, and digital signage players.

Why Is It important to evaluate the effectiveness of outdoor advertising?

For businesses using outdoor advertising, it’s crucial to understand whether the investment pays off and if the advertising delivers tangible benefits. Effectiveness evaluation helps optimize expenses, improve campaigns, and enhance audience impact. Without proper evaluation, advertising campaigns risk becoming a waste of resources.

In major cities like Kyiv, where competition is particularly intense, assessing outdoor advertising effectiveness enables businesses to quickly adjust strategies and avoid unnecessary costs. Innovative tools like DOOH and digital signage players significantly expand analytical capabilities.

2 main methods for evaluating the effectiveness of outdoor advertising

Since directly measuring the success of outdoor advertising can be challenging, various analytical methods are employed. These methods can be broadly categorized into quantitative and qualitative.

– Quantitative methods evaluate the reach and interaction with advertising using tools such as pDOOH and video wall software.

– Qualitative methods involve gathering feedback from the target audience, researching brand recognition, and analyzing ad perception.

The use of modern technologies and detailed metric analysis allows outdoor advertising to become not only effective but also economically justified.

Evaluation of reach and impressions

One of the simplest methods for measuring the effectiveness of outdoor advertising is calculating the number of people who could potentially see it. This involves analyzing pedestrian and traffic flows at the advertising location. Data on traffic density and time characteristics are used. LED screens ensure maximum visibility for advertisements even in highly competitive environments.  

Example KPI: Number of people passing by the advertising medium (Estimated reach).

Evaluation of ad recall

This method helps determine how well the audience remembers the advertisement. Surveys are typically conducted, asking respondents to recall the brand or message they saw. Digital signage players help create vivid and memorable advertising materials, boosting campaign effectiveness.  

Example KPI: Percentage of the audience that remembered the advertisement (Ad recall rate).

Tracking changes in offline sales traffic

For companies with physical sales points, the effectiveness of outdoor advertising can be assessed by analyzing changes in customer numbers. Comparing foot traffic before and after the campaign provides insights into its success. Digital signage is often used to direct customer flow to sales locations.  

Example KPI: Increase in store or office visits (Foot traffic increase).

Using QR codes and short URLs

QR codes and short links are modern tools for assessing the effectiveness of outdoor advertising. They allow users to quickly access websites or social media, while businesses can track interactions. DOOH software can integrate these tools, providing detailed analytics on engagement.  

Example KPI: Number of QR code scans or link clicks (QR scans / Link clicks).

Analysis of social perception and feedback

Outdoor advertising often grabs attention on social media, where users share their impressions. If a campaign is vibrant and creative, it generates active discussions online. Social activity analysis includes tracking brand mentions, reviews, and discussions. For example, striking video ads can spark lively interest among audiences.  

Example KPI: Number of mentions on social media (Social mentions).

Analysis of direct brand inquiries

If the goal of a campaign is to increase brand awareness, it’s crucial to track the number of searches in search engines or calls to the hotline. An increase in such inquiries indicates audience interest and engagement. Advertising screens effectively direct the audience to seek additional information.  

Example KPI: Number of brand-related search queries (Brand search volume).

Surveys among customers and audiences

One of the most accurate evaluation methods is conducting surveys. Companies can research their customers to determine how well outdoor advertising conveyed the key message. These surveys can be conducted online or offline and help gauge awareness levels and audience attitudes. Digital Out Of Home (DOOH) technologies enhance interactivity and precision in collecting such data.  

Example KPI: Percentage of customers aware of a product or promotion (Brand awareness).

Return on investment (ROI)

ROI is a vital metric showing the effectiveness of advertising in terms of investment returns. In outdoor advertising, ROI is calculated based on expenses and profits generated from new customers or sales. While exact calculations can be challenging, they provide an overview of the campaign’s overall results.  

Example KPI: Ratio of profit to advertising costs (Return on investment).

Effectiveness evaluation methods for Digital Out Of Home (DOOH)

Thanks to digital technologies, many advertising platforms have become interactive, offering more data for analysis. Digital Out Of Home allows businesses to assess the number of views of an advertisement, actions taken after viewing, and even behavioral changes depending on the time of day.  

Example KPI: Number of unique views or interactions with the digital screen (Digital ad engagement).

Using geolocation data

Modern analytical tools make it possible to estimate how many people pass by advertising media. For example, DOOH networks can leverage geolocation data to analyze audience flows near billboards. This helps companies identify where their target audience is located and how to better reach them.  

Example KPI: Number of users passing by the advertisement (Location-based reach).

Application of AI for target audience evaluation

Artificial intelligence helps analyze large volumes of data to better understand the demographics and behavior of viewers. DOOH Display Solutions enable the collection and processing of this data to determine how effectively the advertisement reached the intended audience.  

Example KPI: Percentage of the target audience reached by the advertisement (Target audience reach).

Studying demographic data and social groups

Effective DOOH advertising requires understanding its relevance to specific demographic groups. For instance, advertisements near a university are more likely to target students and faculty. This approach helps tailor campaigns more precisely to the target audience.  

Example KPI: Share of a specific social group among viewers (Demographic relevance).

Evaluating outdoor advertising effectiveness using KPIs

Any advertising campaign must consider various factors, making it essential to use multiple KPIs for a comprehensive evaluation. For example, a centralized video management system allows businesses to analyze the number of views, interactions, inquiries, and feedback to understand how the audience perceives the advertisement.  

Evaluating outdoor advertising effectiveness requires a comprehensive approach. From geolocation analysis to measuring reach and brand inquiries, these methods provide an objective assessment of campaign success. The use of modern technologies and the right choice of KPIs, such as ROI or the number of mentions, enables businesses to adjust their strategies and improve results.  

We hope this article has emphasized the importance of continuous monitoring and the implementation of innovations that make digital out-of-home campaigns more successful and help achieve goals in a competitive environment.

Advision — Content Management System for remote management and media planning of video and audio content broadcast. We help offline businesses and advertising companies automate workflows and implement reliable Digital Signage infrastructure using our own software and hardware solutions.

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