Maaresh: A single measurement currency can also facilitate better collaboration between media owners and advertisers.
PETALING JAYA: The new technology-driven measurement system, which is at the proof of concept (PoC) stage and expected to be fully rolled out by next year, promises significant potential advancements in the measurement of out-of-home (OOH) and digital out-of-home (DOOH) advertising.
It would be initially launched in the Klang Valley due to the current demand for such a measurement system for OOH and DOOH advertising before going nationwide by 2025.
Currently, there is no single measurement system or currency for outdoor advertising. A single measurement currency means that the data used to gauge ad performance and audience engagement is consistent across various media types, reducing potential biases and discrepancies.
The new technology-driven measurement system is a collaboration between Outdoor Advertising Association of Malaysia (OAAM) and AllUnite. The latter is a global ad tech platform that enables advertising companies and media agencies to effectively measure, forecast and target OOH in real-time.
Commenting on the new technology-driven measurement system, OAAM president Maaresh Starling told StarBiz the new system leverages advanced technologies such as artificial intelligence (AI) and time-sensitive data analytics to provide more accurate and dynamic audience insights.
“For brands and advertisers, this means access to more granular and up-to-date information on how their ads are performing. The technology enables better tracking of audience mobility, allowing for a more precise assessment of engagement levels and viewer demographics.
“Additionally, the integration of digital capabilities into the measurement process offers enhanced flexibility. Advertisers can adjust their strategies based on the data provided, leading to more responsive and adaptive campaigns.
“The system’s ability to merge data from both OOH and DOOH sources into a unified view is particularly beneficial for optimising cross-channel strategies,” Maaresh, who is also group chief executive officer of Redberry Media Group, said.
Furthermore, he said the single measurement system has the potential for fostering innovation and growth within the OOH and DOOH sectors.
By establishing a unified measurement framework, he said it could create a more standardised environment that can encourage new players and technologies to enter the market.
This could lead to more diverse and creative advertising solutions, benefiting both advertisers and consumers, Maaresh noted.
“Single audience measurement strengthens the relevance of OOH in the digital age by offering comprehensive insights, optimising cross-platform campaigns. This integration helps advertisers understand how OOH and digital media complement each other in reaching target audiences.
“Moreover, a single measurement currency can also facilitate better collaboration between media owners and advertisers.
“With clear, standardised metrics, it becomes easier to negotiate and plan campaigns, resulting in more effective partnerships and improved campaign outcomes.
“Overall, the move towards a single measurement system is a positive step that can drive industry-wide improvements in accuracy, efficiency and innovation.”
Providing his thoughts on the new measurement system which is at the PoC stage, Malaysian Advertisers Association or MAA president Claudian Navin Stanislaus said though still in its early stages, this system holds the potential to revolutionise the OOH media sector, offering the clarity and accountability essential for the credibility and integrity of the industry.
“As with any new initiative, there will be more questions than answers, until at least the final outcome of the PoC is revealed. However, it is a crucial step toward a more reliable and transparent measurement system.
“Resistance to such changes, while inevitable, can also be constructive too. Media owners who express scepticism should not be dismissed, rather, their feedback can be invaluable in refining and improving the proposed systems.
“Constructive criticism can ensure that the standards we develop are not only theoretically effective but also practical within our local context.”
However, he said not all resistance is valuable. There will always be those who resist without offering constructive input, driven more by fear or vested interests than by an actual desire to evolve, he noted.
“Theirs is the risk of being left behind as the industry progresses. In contrast, those who engage with the process, offering solutions and constructive feedback, will help shape the future of media measurement.
“As we stand at the threshold of this new era in media measurement, sustainability will be the key. This common currency must appreciate in value, be widely adopted, taken to its limits and continuously improved.
“It is imperative that all stakeholders –media owners, agencies and ultimately the brands – commit to this collective effort. Without this commitment, we risk reverting to the discrepancies and conflicting figures that plague us today,” he said.
Navin said if the OOH media sector in Malaysia can successfully implement this initiative, it would not only set a benchmark for players within the region but also succeed where other traditional forms of media have faltered or failed.
Elaborating on the growth of OOH advertising, Media Specialists Association president Sheila Shanmugam said the OOH advertising sector, encompassing digital, static, and programmatic OOH (pOOH), is experiencing impressive growth.
Pointing to some statistics, she said for example, according to TYNY GroupM, OOH advertising expenditure (adex) is projected to increase by 8% in 2024, and an estimated 5% in 2025, outpacing the overall industry adex growth of just 4%.
Currently, she said OOH holds a 14% share of the total adex.
Shanmugam said this robust growth positions OOH as a leading medium, second only to digital. “However, for advertisers to confidently prioritise OOH investments, there is a pressing need for accountability and reliable measurement systems.
“Without standardised measurements, it remains challenging for advertisers to justify and optimise their media spend across different OOH formats.
“A unified measurement system would provide the necessary transparency and comparability, making it easier for advertisers to make informed decisions and fully leverage the potential of OOH advertising,” Shanmugam noted.
While technology plays a pivotal role in driving transformation, she said the successful implementation of a single currency measurement system for OOH and DOOH media requires a significant shift in how the industry operates.
Shanmugam said there are about 300 site owners, with 70% of sites being static and 30% digital or pOOH. This diverse ecosystem includes numerous out-of-home media specialists, technology partners and data providers, she said.
“Navigating this crowded and complex space necessitates collaboration among all stakeholders. For a unified measurement system to be effective, it is crucial that every party – whether site owners, media specialists, tech partners or data providers – work together seamlessly.
“Only through collective effort and coordination can we achieve a standardised measurement system that benefits the entire industry,” she said.
