Why Millennials Gravitate towards OOH Advertising

Why Millennials gravitate towards OOH advertising

 

Despite making up such a large part of the population, Millennials and Gen Z consumers are increasingly becoming harder to engage with. This is easy to understand when considering the current digital climate that includes ad blocks, radio streaming and cord-cutting.

In the US, half of the Millennial and Gen Z population are likely to actively use ad blocks. In 2019, around 33% of television viewers cancelled their paid TV subscriptions, and about 90% of the population in the US alone uses radio streaming services. The evident point of all this is that it is becoming increasingly more difficult to appeal to Gen Z and Millennial consumers with TV, radio and print media.

The sheer types and creative variety of OOH media, along with the aesthetic quality it adds to modern cityscapes has noticeably garnered a mass appeal among younger audiences. There is also no ‘ad block’ for the OOH format.

Here are some reasons why OOH advertising has swiftly become the best means of engaging with Millennials and Gen Z.

1. OOH content resonates

It’s generally agreed upon amongst Millennials that they don’t enjoy being marketed to. 89% of Gen Y (millennials) are prone to respond to simple straight forward ads, and around 90% are drawn to brands whose actions match their message.

According to a global study conducted by Kantar Millward Brown, OOH advertising was found to be the most preferred form of media among Millennials and Gen Z.

Despite a deep love for content, both Gen Z and Gen Y do not care much for interruptive ads. This is causing marketers to further employ OOH media to establish brand messages, and create relevancy among younger consumers.

2. Short attention spans and digital ad saturation

Attention spans are just no longer what they used to be, with Gen Z sporting an average attention span of 8 seconds; shorter than that of Millennials that max out at 12 seconds.

Gen Y and Gen Z both share similar media consumption habits too, both preferring to opt for video on demand. In fact, about 25% of Gen Z watch live TV on mobile with an even higher percentage making use of video streaming services.

There is also an over saturation of advertisements on social media. With platforms like Facebook bombarding news feeds with branded content, it’s become harder than ever for brands to get noticed.

Due to these current trends, companies are having to spend more on outdoor media, fashioning authentic content relevant to the lives of younger consumers.

3. Last Touch opportunity

With the development of social and digital platforms, the way people interact with markets has shifted completely. People need not leave the comforts of their cosy chairs, and can simply makes purchases with the click of a button. And though eCommerce brands can benefit from this greatly, it is important to consider that not every product out there is meant to be sold online. Certain industries like that of grocery shopping and tourism still require garnering their audience’s attention in the real world.

OOH advertising provides mass awareness with relatively low cost per mile, or CPM. At the same time, OOH also supplies a last touch opportunity before consumers arrive at their destination.

According to a Billup attribution study, factors affecting consumer behaviour via OOH advertising are location, frequency and context. Retail store visits are directly impacted by the frequency with which consumers are exposed to OOH ads. These figures steadily increase when more ads are displayed along consumer’s daily commutes. Essentially, brands that are creative with their OOH ads in terms of location, time, context and frequency tend to win over Millennials and Gen Z.

Even though we now exist in a digitally saturated world, consumers tend to spend 70% of their time outside. Coupled with this, there is less tolerance for digital ads. Brands that are more invested in OOH media, and find effective means of engaging with Millennial and Gen Z consumers are expected to see better return on investment in years to come.