Elena Weiss (EW): Thank you for joining us today, Benjamin. As the founder and CEO of Adtrac, can you start by sharing what inspired you to develop a DOOH monetization software?
Benjamin Wey (BW): Absolutely, Elena. The inspiration came from observing the significant potential of Digital Out-of-Home (DOOH) advertising and recognizing the unique challenges it faces. Traditional programmatic solutions worked well for online advertising but fell short in addressing the complexities of DOOH. We saw an opportunity to create a platform that not only automates but also intelligently manages DOOH campaigns, optimizing both inventory and revenue for media vendors.
EW: DOOH certainly has its own set of challenges compared to online advertising. Can you elaborate on some of these specific challenges and how Adtrac addresses them?
BW: Certainly. One of the main challenges in DOOH is the physical limitation of screen inventory. Scaling a DOOH network involves significant costs such as purchasing new screens, setting up software, and negotiating site contracts. Unlike online ads, where inventory can be scaled effortlessly, DOOH requires substantial investment. Additionally, DOOH is a one-to-many medium where a single ad can reach a large and varied audience, making traditional impression metrics less effective.
Adtrac addresses these challenges by offering a comprehensive monetization platform that incorporates dynamic pricing and advanced data analytics. Our software enables media vendors to efficiently manage and scale their inventory by providing tools for dynamic contract management, multi-format support, and real-time creative adjustments. Moreover, we emphasize the importance of robust data standards to ensure transparency and trust in the automated marketplace.
EW: You mentioned dynamic pricing and data analytics. How do these features enhance the monetization process for DOOH?
BW: Dynamic pricing allows media vendors to adjust their ad rates based on real-time demand, audience movement, and other variables. This flexibility helps maximize revenue by ensuring that high-demand slots are priced appropriately while avoiding the race-to-the-bottom pricing issues seen in online programmatic markets.
Our advanced data analytics provide deeper insights into audience behavior and inventory performance. By leveraging live sensor data and AI-driven forecasts, Adtrac enables vendors to make informed decisions about inventory allocation and campaign targeting. This results in more efficient use of screen time and higher returns on advertising investments.
EW: Data transparency seems to be a critical issue in DOOH. How does Adtrac ensure the reliability and accuracy of the data used in your platform?
BW: Data accuracy and transparency are indeed paramount. At Adtrac, we integrate with multiple data providers to ensure that the information we use is verified and real-time. Unlike many platforms that rely on anecdotal or self-reported data, our system prioritizes live sensor data and third-party verification to maintain high standards of trustworthiness. This approach not only enhances the reliability of our metrics but also builds confidence among advertisers and media vendors alike.
EW: Programmatic advertising has been a hot topic, but you’ve mentioned that it’s not the sole solution for DOOH. Can you explain how programmatic fits into the broader monetization strategy?
BW: Programmatic advertising is a powerful tool within the DOOH ecosystem, offering flexibility and efficiency for managing smaller, dynamic campaigns. However, it shouldn’t be the only strategy. For larger, high-stakes campaigns, direct sales and guaranteed deals are still essential to ensure consistent revenue and inventory utilization. Adtrac’s platform supports a hybrid approach, allowing media vendors to seamlessly integrate programmatic with direct sales, dynamic pricing, and other booking options. This diversification helps maximize yield and maintain stability in revenue streams.
EW: Looking ahead, what do you see as the future of DOOH monetization, and how is Adtrac preparing to lead in this space?
BW: The future of DOOH monetization lies in the integration of AI and predictive analytics to create a more intelligent and responsive advertising ecosystem. We anticipate a shift towards more personalized and contextually relevant ads, driven by real-time data and machine learning algorithms. Adtrac is at the forefront of this evolution, continuously enhancing our platform with cutting-edge technologies to support these advancements.
Additionally, we are focused on expanding our partnerships with data providers and media vendors to create a more interconnected and efficient marketplace. By fostering collaboration and innovation, we aim to set new standards for transparency, efficiency, and effectiveness in DOOH advertising.
EW: That sounds exciting. Finally, what advice would you give to media vendors looking to optimize their DOOH monetization strategies?
BW: My advice would be to embrace a multi-faceted approach. Utilize programmatic advertising for its flexibility and efficiency, but also invest in direct sales and dynamic pricing to secure stable revenue streams. Focus on leveraging high-quality, real-time data to inform your decisions and ensure transparency with your advertisers. Lastly, stay adaptable and open to new technologies that can enhance your monetization capabilities. Platforms like Adtrac are designed to support these strategies, helping you navigate the complexities of DOOH and achieve sustainable growth.
EW: Thank you, Benjamin, for sharing these valuable insights. It’s clear that Adtrac is playing a pivotal role in shaping the future of DOOH monetization.
BW: Thank you, Elena. It was a pleasure discussing these important topics with you.