Locast vs. the Media Giants

Locast a nonprofit startup service that launched in 2018 which grabs over-the-air channels and streams them free over the internet said late Thursday that the ABC, CBS, Fox and NBC's "sham litigation" against it, is an antitrust conspiracy to drive it out of business and they are colluding to deny consumers over-the-air signals they once committed to make freely available. 

The suit was the first attack against a company that many see as a successor to Aereo (see past stories), a for-profit streaming service that five years ago offered consumers livestreams of broadcast channels for a monthly subscription. The difference between the cases is Locast's nonprofit status. US copyright law has allowed certain nonprofit institutions to grab over-the-air TV signals and retransmit them to nonpaying viewers, such as a university setting up an antenna that can retransmit to students in its dorms.

Locast's first official answer to the copyright suit goes beyond simply rejecting the companies' accusations of copyright infringement to accuse them of collusion and it's bringing Google's YouTube into the fight. Locast stated that executives at YouTubeTV a paid service that streams live TV channels, met with the Big Four broadcasters suing Locast in April. According to Locast, the YouTube executives were told that if YouTubeTV provided access to Locast, then YouTubeTV would be "punished" by the media giants when YouTube renegotiated the licensing deals allowing its streaming service to carry media giants' cable networks.

In full disclosure, although Locast relies on donations from viewers, it accepts money from corporations and recently received $500,000 from AT&T, which also operates the DirecTV satellite service. When a fee dispute blacked out CBS for more than 6.5 million AT&T television subscribers for a few weeks this summer, AT&T encouraged its users to try Locast.

No doubt this story will continue for some time and we look forward to seeing how it ultimately plays out. More:  The Hollywood Reporter 09/26/19 - Locast Accuses the Major Broadcasters of Antitrust Violations and The New York Times 09/27/19 - Locast, a Free Streaming Service, Sues ABC, CBS, NBC and Fox

As Millennial's enter their prime spending years - What industries will benefit?

Millennial's, also known as Gen Y, are the demographic cohort following Generation X and preceding Generation Z. Pew Research Center has projected that by the end of 2019, Millennial's will be the largest generation in history. 

Over the next few decades, Millennial's will enter their prime spending years and the generation is set to receive over $30 trillion in wealth from baby boomers and Gen X. This enormous transfer of wealth has already begun transforming a range of industries. Some industries benefiting from millennial's’ increased spending power, such as travel, reflect well-worn Gen Y tropes like the general preference for “experiences” over things. Others, like car ownership and camping, show that many of the claims about millennial's’ different spending habits are overblown, and that significant continuities exist between Gen Y and their parents and grandparents. However, these industries won’t thrive unchanged. The companies that will come out on top are those that are reorganizing and re-prioritizing around Generation Y. This means they’re embracing changing preferences to offer more sustainability, affordability, and flexibility in their products and services. They’re also embracing new technology and the unprecedented discoverability and customer connections it allows.

In this report from CBInsights, they dive into twelve of the industries that they predict could benefit the most from the rise of GenY. Check them out and feel free to add your own in the comments.

Activities & Hobbies

1. Camping
2. Fitness
3. Travel

Consumer goods

4. Fast casual dining
5. Coffee
6. Frozen foods
7. Seltzer
8. Houseplants
9. Skincare

Transportation

10. Automotive
11. Micromobility

Finance

12. Personal finance

Study: Most location-based ad spending is wasted on bad targeting

Analysis completed by Location Sciences found that up to $65K of every $100K spent on location advertising fell outside of the targeted area or is based on signals of insufficient quality to deliver targeting requirements. According to the report, 29% percent of location-based media spending went to delivering ad impressions outside of the geotargeted area, while 36% was wasted because of a lack of quality location signals.

Reaching consumers with location-based ads is considered one of the most powerful promotional strategies, underpinning the increased spending on mobile, out-of-home (OOH) and experiential marketing. The ability to connect with on-the-go customers when they're ready to shop, or to direct them to nearby stores, restaurants and entertainment venues is a key advantage for mobile platforms. However, those capabilities are undermined when location-based ads are misdirected because of poor-quality data or signals. Read more here in this short article in Mobile Marketer:  https://www.mobilemarketer.com/news/study-most-location-based-ad-spending-is-wasted-on-bad-targeting/561908/

Out-of-Home Advertising - Isn't that sooo Yesterday?

Outdoor advertising has been around for hundreds of years because it’s a proven method of reaching a wide audience. Even in today’s digital world, outdoor advertising is gaining new momentum. According to Nielsen, one in four Americans has posted an image of a billboard ad on Instagram, delivering double exposure for the businesses involved. In the past decade technological advancements that have incorporated digital technology has helped OOH advertising become more versatile than ever before. Digital Billboards can change the ads they show based on the time of day, the weather or just about any data set that you like. This has dramatically improved their ability to have greater relevancy and be more engaging.

What are the benefits of Out of Home Advertising?

At this stage you’re probably thinking that Out of Home sounds interesting, but why should you choose it above any other form of advertising? How will it ensure that your business gets the best bang for your buck?

Good question. If you haven’t run a campaign before (or even if you have!), the world of Out of Home Advertising can be very overwhelming, and no one wants to jump into a marketing platform that you don’t understand and might not suit you. However, there is a reason (several) OOH has remained relevant and is the only legacy ad medium that is still growing….

Here are the main ones:

People see them!

We’re always on the move. So, one of the biggest advantages of Out of Home Advertising is that more audiences will see them when they’re out and about. Billboards and other forms of OOH ads have also become a natural and accepted part of most landscapes; they can’t be avoided with ad blockers!

 It is cost effective

Although OOH is used a lot by big B2C brands, the increased flexibility of ad placements and the reduced cost of putting them up due to the invention of digital billboards has lowered the barriers of entry meaning lower costs and more effectiveness.

It can create a lasting impression

Billboards create a lasting impression on those that see them. From brand awareness to response marketing OOH works on both the conscious and subconscious levels. Their huge reach also makes them the perfect tool for mass marketing.

This is perhaps best explained by Bob, who is a Marketer and the Writer of the D Connector Blog. In a piece published on the Future of Outdoor Advertising, he writes: “There is a piece of research that has always stayed with me. In focus groups, people will remember seeing a brand’s new television ad, even though no such ad has been on air. It turns out that what people are recalling is the billboards they pass each and every day. People don’t forget billboards. Although they sometimes mislabel them.”

How digital has changed Out of Home Advertising

As statistics show, Out of Home Advertising is only going to get bigger and better. According to Magna, Out of Home holds around 6% of global ad spend (which totals a not-too-shabby $500 billion), and its market share has remained stable for the past 5 years. However, its growth is being propelled by the emergence of Digital Out of Home (DOOH).

Why DOOH is an affordable form of advertising

Although OOH has always brought many benefits to advertisers & brands in terms of raising awareness, these have only been amplified by digitalization. This is one of the key reasons for its continued growth and dominance. Previously, Out of Home was costly, competitive, and difficult to do. However, DOOH is solving many of these problems.

Firstly, let’s look at cost. DOOH is far more flexible in terms of placement than traditional OOH. They do not require installation, there is greater flexibility on the minimum periods assisting marketers in delivering campaigns that are both contextually relevant and timely.

Production costs are significantly lower. Static bulletins & posters needs to be printed and distributed. Digital formats just need to be resized to a few variants.

Other advantages of DOOH include the fact that your creative can be live within hours, incorporate video as well as animation plus you can choose exactly when your campaign ends.

DOOH is encouraging user engagement

Advances in DOOH technology is helping it to have a bigger and longer lasting impact on consumers. After Porsche unveiled their first interactive billboard in 2015, many brands are now adding interactive elements to their ads by making them tappable and/or interactive. One example of how the former is being used is by Warner Bros. “The Dark Knight Rises" campaign. You can check it out here - https://youtu.be/2pnr_nP-Ek0

All’s good, but what’s in it for me?

This form of advertising has many benefits, and with the help of digital, it’s safe to say that it’s here to stay. Marketers are certainly noticing the opportunities it holds in terms of targeting audiences at various touch points throughout the day, ensuring they get the best results. With OOH becoming more flexible and affordable, it’s something that all businesses should be considering. And if your competitors aren’t using OOH, then you’ll have an edge on them if you do.

At 3sixtyReach, we’re making this even better by ensuring that our clients get the right exposure by leveraging the benefits of multiple advertising platforms. OOH/DOOH is one of the many ways we can help you with your business or brand’s Marketing Strategies. Please feel free to contact us to find out more…