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Commuters are always a desirable target for advertisers

May 31, 2011
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Digital opportunities are transforming the out-of-home ad industry, allowing for better targeting and faster creative turnaround, and that's especially true in one of outdoor's most lucrative segments, transit advertising.

A number of new digital options are available in commuter-heavy top 10 markets, including digital video screens in trains and at transit stations and interactive digital screens at bus shelters.

The biggest advantages of using digital in the transit space are the ability to easily target by location and daypart, as well as rotate advertising creative throughout an hour, day or week.

Plus the screens have a captive audience and the ability to deliver relevant information that will be of interest to commuters and other travelers, such as weather forecasts and news briefs that air between the ads.

To find out how to get your client using digital transit ads, read on.

This is one in a Media Life series on buying out-of-home venues. They appear weekly.

Fast Facts

What
Digital transit advertising on trains and at transit stations and bus shelters.

Who
Advertising contracts with transit authorities in top markets are owned by three companies: CBS Outdoor, Clear Channel Outdoor and Titan Worldwide.

How it works
There are a few new ways to target transit riders digitally, depending on the market.

One is using 25-inch video screens on trains. These screens run about two-thirds content and a third advertising, and there are five or six placed in each train car. The ads do not have audio, but riders can hear the ad by tuning a radio to a specified FM frequency.

Screens can also be placed in other areas, including transit stations and subway platforms. In New York a number of subway entrances have street-level digital screens targeting passersby as well.

All of these options can run video or static ads.

Another option is a digital screen with rotating static ads at bus shelters. They have touch screen features that add a level of interactivity for brands targeting pedestrians or those waiting for a bus.

Many riders waiting for a bus or train are passing the time by using their smartphones, and so digital transit campaigns are increasingly including social media aspects.

For example, a brand may encourage riders to visit their Facebook page, or an opt-in promotional text campaign or a QR code may direct users to a special piece of content or live feed of the brand's Twitter page.

Street teams can also be used to hand out samples tied to the digital ad.

Markets
Digital transit advertising is most prevalent in markets with a large number of public transit commuters, which is to say the top 10 to 15 markets.

Numbers
The American Public Transportation Association estimates there were 925.14 million U.S. transit passenger trips during the first quarter of the year, up 1.6 percent from first quarter 2010.

How it is measured
Impressions can be estimated using statistics from local transit authorities and local street traffic data.

What product categories work well
Frequent transit advertisers include fast food, consumer packaged goods, entertainment, telecommunications, electronics and travel.

Demographics
Transit riders are 55 percent female and 45 percent male, according to the American Public Transportation Association.

Four percent of transit riders are age 14 or younger, 8 percent are 15-19, 11 percent are 20-24, 22 percent are 25-34, 20 percent are 35-44, 18 percent are 45-54, 10 percent are 55-64 and 7 percent are 65 and older.

Twenty percent of riders have an annual household income of $15,000 or lower, with 15 percent between $15,000 and $24,999, 31 percent between $25,000 and $49,999, 16 percent between $50,000 and $74,999, 9 percent between $75,000 and $99,999, 7 percent between $100,000 and $149,000 and 2 percent at $150,000 or more.

Making the buy
Since the ads are digital, campaigns can go live in as little as a two days. Typical lead time with creative in hand is one to two weeks, although it can be longer if digital is one part of a larger campaign.

Pricing varies, but four-week digital campaigns start at $50,000 and move into six figures, depending on how many screens are used.

Who’s already using digital transit ads
Current or recent digital transit advertisers include McDonald's, AOL, Yahoo, Tide, Snapple, Visa, TBS, Intel and Lady Gaga/Interscope Records.

What they’re saying
“If we can speak to the consumer digitally, we have an opportunity to deliver a different kind of message, and it entertains. It becomes relevant and timely. You can target by daypart and run different cycles [as opposed to] traditional" – Phil Stimpson, executive vice president of the displays division at CBS Outdoor

Web site info
Titan Worldwide
http://www.titan360.com

Clear Channel Outdoor
http://www.clearchanneloutdoor.com

CBS Outdoor
https://www.cbsoutdoor.com/media/streetfurniture/transitshelters

Lamar Advertising
http://www.lamar.com/


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Diego Vasquez is a staff writer for Media Life.




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