oOh!media sees more interest from advertisers

Chris Pash
By Chris Pash | 4 June 2020

Outdoor media specialist oOh!media says it's starting to get more interest from advertisers looking at the third quarter.

Of those advertisers pulling bookings in April-May, about 85% had deferred campaigns to the second half of the year (EDS: clarifies earlier).

Out-of-home has been impacted more than other media because of the rules restricting movement during the coronavirus crisis.

Cook says this has been pronounced in specific areas such as airports, resulting in a significant impact to oOh!media's fly and rail segments.

"Combined with a slowdown in advertising generally, this has resulted in a challenging Q2 for the business," he says

"We are starting to see a significant uplift in client briefing activity for late Q2/Q3 as advertisers begin looking for opportunities as movement restrictions are eased further.

"Indeed, we already seeing increases in road and retail foot traffic in metropolitan and regional areas.

"Our inventories have a strong suburban skew which provides more advertiser options as they return to spending. With our Quantium data, this allows us to see the buying location behaviour and schedule campaigns to where the audience is."

Agencies planning for increased activity. 

The company has been cutting costs, including asking staff to reduce their hours.

In a trading update today, the company says its has saved more than $20 million in rent. 

Operational savings, forecast previously from $10 million to $15 million, will be at the higher end of the estimate.

And the federal government's jobkeeper stimulus package will deliver $7 million a quarter.

"We have implemented a company-wide response to COVID-19 and ... our number one priority remains on the health and safety of our people at oOh!," he says.

"I want to pay particular tribute to our people – all of whom have stood up to meet this challenge head on.

"We have had to make some difficult decisions, including asking our people to volunteer to work a four-day week for a three  month period. "

 

 

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