Programmatic DOOH is now available across the entirety of New York’s mass-transit system.
OUTFRONT and the Metropolitan Transit Authority (MTA) announced Tuesday that 3,800 digital out-of-home (DOOH) screens across the MTA’s network are now enabled for programmatic open auction.
These screens are installed on train platforms in 484 stations throughout the New York City subway, as well as Long Island Railroad and Metro North stations. The inventory joins the DOOH displays installed at the entrances to MTA stations, which OUTFRONT began making available for programmatic activation in December 2022.
Before OUTFRONT opened the displays for programmatic demand, ad placements on its MTA network had to be purchased through direct insertion order.
Now, advertisers have more flexible access to the MTA’s four million daily riders while they’re inside the stations, waiting for their trains. (Plus the 1,000 NYPD officers and 1,000 state police and National Guard members deployed to the system this year.)
“Out-of-home (OOH) is one of the only mediums that allows you to reach lots of people very quickly in a high-impact and consistent way, and the New York transit network is a great example of that,” said Jonathan Conway, Chief Operating Officer, Americas, at Talon Outdoor, an OOH media company that sells MTA inventory through an in-house DSP.
Making programmatic DOOH happen
Now that the MTA’s DOOH network transacts programmatically, advertisers don’t have to commit to multi-week direct buys, but can “activate on the hours, days and moments that matter to your audience,” Conway said.
And it allows brands to use the audience graphs and targeting strategies from their digital campaigns in a real-world environment, he said.
Marketers need these incentives to spur increased spending on programmatic DOOH campaigns. Programmatic advertisers have been slow to catch on in the DOOH market, which is historically dominated by direct deals.
For example, programmatic DOOH is still a small part of OUTFRONT’s overall business, although it grew by a double-digit percentage between 2022 and 2023, according to the company.
Programmatic DOOH accounted for less than 10% of Talon’s business last year, Conway said.
“[Traditionally,] advertisers have perceived that out-of-home is difficult to target, difficult to measure and difficult to customize messaging and media tactics to your particular campaign goals,” he said.
There is also just the matter of supply. Most OOH inventory remains print billboards and display. And of the digital supply, not even a fifth was served programmatically in 2023.
Attribution advancements
But advancements in DOOH audience and media quality measurement, location-based attribution and dynamic creative optimization have placated many marketers, Conway said.
Plus media sellers are doing more to integrate data, including OUTFRONT’s partnerships with location-tracking providers like Reveal Mobile. This audience data helps marketers build a richer understanding of how people move around cities and – in the MTA’s case – transit networks, he said.
Third-party mobile location data for attribution lets advertisers track how their DOOH ad impressions drive site visits, app downloads and foot traffic to real-world stores, said Neil Shapiro, VP of Programmatic at OUTFRONT Media. It all starts with proving that a user passed by a DOOH display when an ad was running, then interpreting how that consumer responds to the ad by tracking on-device signals.
However, third-party mobile location data sales have been heavily restricted by Apple and Google’s data privacy changes – and have come under fire in the FTC’s recent suits regarding allegedly sensitive mobile location.
But there is data coming in, and other ways to attribute business metrics to mobile devices.
OUTFRONT also works with mobile research company MFour – which conducts panel-based surveys on DOOH ad exposure – to attribute based on brand awareness, purchase intent and conversions. And Geopath measures the audience reach of its DOOH network.
Standardization and flexibility
Standardized DOOH formats and displays were installed throughout the MTA’s network, which Shapiro said should allow advertisers to easily adapt their existing creative assets to programmatic.
Today’s announcement applies to all of OUTFRONT’s Liveboard displays – its term for the vertical video kiosks installed on station platforms throughout the MTA’s system. These displays come in a standard 1080×1920 portrait format and are compatible with 15-second full-motion video.
OUTFRONT previously ran programmatic campaigns on its Urban Panels, which are the 1920×1080 landscape-oriented displays installed at station entrances.
Next on the roadmap is to bring programmatic to digital displays inside train cars, Shapiro said. However, that’s a long-term goal, as most trains aren’t equipped with digital displays yet.
OUTFRONT has also integrated dynamic creative optimization into the MTA system. That allows advertisers to tailor campaigns to a specific stations, for instance, or other factors like the weather and time of day.
Creative flexibility should help brands build awareness and purchase intent through repeated exposures without burning out audiences, Shapiro said.
Monetizing public space
Although all of the MTA station inventory is now available programmatically, OUTFRONT expects to still sell most of its supply in direct deals – especially premium placements that are in high demand.
For example, campaigns that run during major sporting events tend to be struck well in advance, leaving limited inventory for auction buys, Shapiro said. So, if you’re a brand hoping to reach tennis fans in 7 Train stations on their way to Arthur Ashe Stadium during the US Open, you’re going to have to go direct or get way more creative.
But MTA stations have remnant inventory, too.
In that sense, the MTA – which gets a cut of all of OUTFRONT’s revenue from ads sold in its system – is approaching programmatic like many premium publishers do: as a back-fill option when supply outmatches direct demand.
But rather than just using it to fill unsold inventory, OUTFRONT also wants to grow programmatic’s share of revenue by enticing new advertisers that want a more flexible DOOH buying experience without major commitments, Shapiro said.
So, in addition to NYC subway riders seeing more uniformed personnel on their routes this year, they might also see fewer house ads from NYC government orgs and more ads from brands.
But, that being said … don’t expect fares to drop anytime soon.
