The Billboard Insider Podcast

Dave Westburg - Billboard Insider
  • 4.5 (6)
  • BUSINESS NEWS

Everything you need to know to thrive in the out of home advertising industry.

  1. Anna Bager: We need to go to market with a simple crisp message

    02/14/2024

    Anna Bager: We need to go to market with a simple crisp message

    On today's Billboard Insider podcast, OAAA President and CEO Anna Bager highlights the out of home stories to watch in 2024 and what brands are saying about out of home. What are some important stories to watch in 2024 2024 is an election year that's going to be huge and will be very interesting to follow.  It's not only a presidential election year in the US, it's an election year globally.  Next year over half of the world's population will be voting which means that messaging is going to be incredibly important.  It's a huge opportunity for our industry especially I think in the US as...signage that we can put out there for the elections will be incredibly important....It's an Olympic year next year.  The Olympics typically drive a lot more ad dollars so that's something for us to watch... OAAA President Anna Bager What brands and agencies are saying about out of home.   They still feel that our medium is a little hard to understand...we talk about airports, we talk about place-based, we talk about roadside, we talk about transit. We're all out of home...there's no need to increase fragmentation - to make ourselves look more complicated.  We need to make ourselves look more simpler and go to market with a very simple crisp message and that's something we hear from brands a lot...We are making ourselves a little hard to understand and we're not talking maybe enough about what we can do for them but rather who we are... I think that something else that stands out is - lead with creativity... we have some incredible creative tools and canvases in our industry and...brands think that we should push more... ...More brands want to buy out of home programmatically...programmatic is on the rise and if that's how brands and agencies want to buy us we should make sure that we that we're up for that... Measurement is still a very big factor.  How do we simplify our measurement?  What are the metrics that matter and how do we bring those forward to brands?  How do we make them feel that our the medium is not just measurable but also comparable to other platforms they're buying... MRC accreditation that will be happening...probably early March of this year so in about a month from when this is being recorded...that's a good first step...but you know we still have a lot of work to do. The April 2024 out of home conference We're going to be in an absolutely amazing place beautiful resort in Carlsbad outside of San Diego and in the end of April... a nice place to both network learn more about the industry hopefully do a lot of business and relax and have fun...we're in the midst of programming right now we're still very open to new ideas...this year we're going to have more brands than we've ever had...we'll also have a lot more folks from the agency side The OAAA Independent Media Company Advisory Group The independent billboard operators are hugely important part of the OAAA they're a big part of our member base...It's led by Diana Stevenson from Grace Outdoor...it's 20 or some companies that meet fairly regularly and talk about what's happening in the different markets what would they like to see from the OAAA what are concerns, what are things they're excited about, how are the different types of verticals responding to out of home..Just kind of getting together to talk about the market.  It's super helpful for us at the OAAA...If there's somebody listening who feels that they really want to be a part of it please ping me and let me know.  The members are listed on our website. To receive a free morning newsletter with each day's Billboard insider articles email info@billboardinsider.com with the word "Subscribe" in the title.  Our newsletter is free and we don't sell our subscriber list Paid Advertisement

    20 min
  2. Kevin Gephart says Out of Home cold calling isn’t dead.

    08/09/2023

    Kevin Gephart says Out of Home cold calling isn’t dead.

    On today's Billboard Insider podcast, out of some sales expert Kevin Gephart answers reader questions on cold calls, sales compensation, finding a job after a layoff and how best to coach out of home sales reps. Some of the highlights. Is cold calling dead? No. If you want to sell sales training in books and seminars, advertise that cold calling is dead and you'll get tons of people that sign up and want to hear what you have to say because we all want cold calling to be dead.  Cold calling isn't dead. I don't have any business purpose for calling you is dead...My boss is making me make this call is dead...I don't have any thoughts about your business is dead.   So intelligent cold calling is alive and well and it's one of the tools in the toolbox....You've got referrals you've got networking you've got e-mail marketing social media you've got affinity group marketing. Those are all tools but cold calling is the one that really relies on your initiative...My father used to say do something even if it's wrong. So pick up the phone call somebody. Make an intelligent call and have a well-planned, well-targeted message to that person and you'll cut through. What's a good compensation plan for out of home sales reps? Companies want to use straight Commission.  Straight Commission is also permission to not sell. You want to create a salary plus bonus based on activity. You want to create a a salary that is 80% of the livable wage in your market area. You need to know what the livable wage is in your market area and you also need to know what are the average incomes of the media people within your marketplace. When you know that then you can develop a compensation plan. Now the other 20% of the compensation plan should be based on achieving KPI's and they're very important: the number of self-generated cold calls, the number of meetings weekly that you have with a qualified client...the number of qualified proposals and then your sales numbers... 20% is bonus based on achieving those KPI's...  Should a sales manager call with sales reps. Absolutely, but when you're on a call with a sales Rep do not salvage the call yourself as the sales manager. I've been on sales calls which are going south fast so I dive in and save the call. No sales call is worth the price of sacrificing your sales person's experience and education. They're going to leave that call knowing that they failed.  You can coach them on why they failed...They're never again going to make that mistake. Another thing that a sales manager brings is importance.  If I own a I own five hardware stores in town and all of a sudden a sales rep is coming out to call on me and they bringing their manager if conveys that I am important. You convey an importance and a just an overall importance that is hard to get any other way so you should absolutely go on sales calls. The best sales managers I know of do it on a regular basis they have a regular rotation and the sales reps know they're going to be taking the manager.  It's just a part of the culture. Why it's important to ask out of home sales reps "what's the biggest objection you hear?" Ask your sales reps individually what is the biggest objection they hear.  They're going to tell you something that may not be what they hear most often.  They will tell you the objection that they have the hardest time dealing with. Give them training and strategies to answer that objection and then you're preparing them for their next sales call. An OOH sales training program for $74.95 per rep! Leading OOH sales organizations have adopted “The Ultimate Out of Home Sales Guide” as a 35+ segment sales training regime: Comprehensive, sequential sales training chapters Designed for regular sales training/meetings in 30+ minutes each Proven, actionable sales strategies and ideas; providing a huge return on training investment No travel cost/minimal sales time lost Q&A access/support with Kevin Gephart throughout the training to clarify/expand on the teachings OOH sales organizations find huge value in learning from an OOH sales pro who has “been there, done that.”  See Kevin Gephart's credentials at OOHSalesFaster.com.   To receive a free morning newsletter with each day’s Billboard insider articles email info@billboardinsider.com with the word “Subscribe” in the title.  Our newsletter is free and we don’t sell our subscriber list. Paid Advertisement

    23 min
  3. John James on How to Improve Your Out of Home Marketing

    05/17/2023

    John James on How to Improve Your Out of Home Marketing

    On today's Billboard Insider podcast, SignBird founder John James talks about how drones can help you market your out of home company more effectively. John give us an overview of SignBird and what you and your team do. John James, SignBird We capture out of home on camera: drone in the sky; camera mounted on a car; or boots on the ground.  SignBird's job is to improve the way out of home is captured on camera. What's new at SignBird over the past year? Last September we were acquired by Outdoorlink.  It's been a fantastic transition.  We're grown our team.  We've added new clients...All SignBird employees are remote or here in Tuscaloosa. Can you take pictures nationwide? We're an Alabama based company...We've been able to recruit some of the nations top drone pilot photographers.  30 states and counting.  Someone asked me the other day how many pilots I have in my network...we have hundreds. How can drones help an out of home company? When we take that drone up in the sky we're showing different types of value around a billboard location.  We can see the long drive times.  We can see the Walmart, the Chic-fil-A, the gas station, the grocery store that a traditional approach shot can't capture.   We can see all the commercial and residential development happening around a billboard location...When a media buyer approaches a billboard company they ask for two things when a campaign goes live...an approach shot and a glamour shot.  I think we're approaching a time when an additional drone shot is going to be requested by the media buyers... Drone footage of digital billboard filmed by SignBird Not everyone can fly a drone There is a safety issue flying a drone.  There is an insurance issue.  You've got to be licensed...When you fly a commercial drone you're entering...a new legal hoop... Are there places you can't fly a drone? Absolutely.  Any time you go to an airport.  If a US president is in a given market you can't put a drone in the sky.  We've had that happen several times in Atlanta. What's the key to taking good digital billboard pictures. It's all about controlling the brightness of the screen.  The way we combat that is using filters that darken the shot... Advice on photos and videos I have a free guide you can download on our website: 5 Tips To Improve Your Billboard Photos. Invest in good equipment.  The iPhone can come a long way but I think there is no substitute for quality equipment...Hire an intern...someone to get good with that camera. You're spending six figures on a structure and LED yet you don't want to spend $500 on a good camera?   To receive a free morning newsletter with each day’s Billboard insider articles email info@billboardinsider.com with the word “Subscribe” in the title.  Our newsletter is free and we don’t sell our subscriber list. Paid Advertisement

    20 min
  4. Anna Bager’s Out of Home Issues to Watch in 2023

    01/04/2023

    Anna Bager’s Out of Home Issues to Watch in 2023

    On today's podcast OAAA President and CEO Anna Bager talks about the top stories of 2022, issues to watch in 2023 and new initiatives for independent out of home companies. What are some out of home stories to watch in 2023? Anna Bager, President and CEO, OAAA Keeping an eye on the economy...I have a strong sense that we're going to be fine... Signal loss, cookies going away, changing to IOS 14 and now changes in Android will happen...mobile ID's are going away...this is an issue...You are seeing the results of that signal loss...in particular on the digital side. On the privacy end there is...a likelihood that there will be the start of some attempt to create federal regulation...which will be good because privacy laws today are very different in every state...I think this is a big opportunity for out of home because we are not suffering from some of the same problems that traditional media does...We need to be aware of how we are using data and how we are talking about it so we are not putting ourselves in a bad light. P&G's Mark Pritchard gave a speech where he talked about reaching underserved and underprivledged audiences where they are.  People that don't have access to a computer or access to the internet...Out of home is a big part of being able to reach those communities. The category that I'm excited for next year is Pharma...It's a bit tricky with Pharma with all the disclosures but I still think it's a big opportunity for out of home. Accreditation and Measurement That's a huge storyline and a huge step forward...The MRC has leaned in to create better standards for out of home...There will probably be a standard in Q1 of next year...if everything goes to plan...That does not mean that they are creating measurement.  They are creating a process that's expected for advertisers and agencies to have faith in our medium...So getting that standard in place is a huge win for the industry...A lot of advertisers don't want to transact unless there's MRC accredited measurement so it opens up a whole new pool of advertising for us...I think we're making huge strides when it comes to measurement...all the exciting work that Geopath has been doing... What's your message to independent out of home companies? We need you.  Out of home is about scale, it's about reach and it's about location and we need companies that are everywhere in every little nook and cranny of the country because that's how we're going to be successful.  It's about 70% of the spend in out of home.  Local is a big part...and independent out of home companies are a big part of this industry. We're your trade association.  We want you to be involved.  Give us feedback and help us drive the industry forward.  There's often a misconception that we're only for the big 3 or the big 5 or big 6.  We're not.  We're for the whole industry. There's no other trade organization that can do what we do...protecting the industry...maintaining the Highway Beautification Act, lobbying on things that matter to real estate and first amendment issues, infrastructure.  We are also very focused on taxation both on a state as well as the federal level...and then obviously privacy is an area that we are increasing our focus on... We've talked about conference and events.  It's a nice place to mingle and talk to colleagues and exchange ideas and we want to create more opportunity for independents to do that in the coming year.  We are actually putting together an advisory board for independent billboard operators that will help us guide the output that we are putting out for webinars, sales training and research...   [wpforms id="9787"] Paid Advertisement

    21 min
  5. Jim Johnsen: The Pool of Buyers is Better Than I’ve Ever Seen

    11/02/2022

    Jim Johnsen: The Pool of Buyers is Better Than I’ve Ever Seen

    Today's podcast guest is Jim Johnsen, a managing director at the out of home investment banking firm Johnsen Fretty talks about out of home valuations and the out of home debt and equity markets. Here are the highlights. A healthy out of home transactions market. The market is healthy with lots of buyers and sellers at the moment.  On a scale of 1 to 10 it's somewhere between an 8.5 and a 9. Jim Johnsen, Managing Director, Johnsen Fretty Where are billboard cashflow multiples Somewhere between 10-13 times is where we are seeing things go off... An active pool of buyers The pool of buyers is better than I've ever seen it.  For example JCDecaux stepped up for its first acquisition in the US...They were in a joint venture with Interstate and Interstate put their half on the market and they ran it through a process and I heard it was a very close competition...Clear Channel has been active as of late.  They've been on a long hiatus...it's good to see them back in the market.  OUTFRONT has been selectively buying and of course Lamar has always been the perennial acquirer...And beyond that you've got guys like New Tradition with their purchase of Regency and some follow-on transactions that they did with us recently.  We closed a deal with Vector recently.  Branded Cities is buying.  Trailhead, MH, Keystone, McWhorter, Big Outdoor, Link, Adams, Lindmark, Las Vegas Billboards, Orange Barrel, Azalea, Tier One, Creative and a whole host of others. Private equity is interested in out of home but has trouble scaling I can't count a week that we don't get 3-4 calls from private equity firms saying "hey, we've done a white paper on the out of home business...or we bought some Lamar stock and that worked out well so how do we get in in a deeper way."  So the interest is really, really, strong.  The dilemma for the private equity business is how do they get scale.  Getting scale in the out of home business is hard...there's only so many Adams out there...The size of companies drops off pretty quickly.  Most of the private equity firms want to write a $50 million check, a $100 million check and upwards...They need a pretty sizable company...We have seen several groups come down market.  Instead of requiring $10 million of EBIDTA they are doing $1-2 million of EBIDTA. Lamar I believe Ross Reilly is being groomed to be the next CEO of Lamar.  My interactions with him have all been super favorable.  He's a business friendly guy.  He likes to think outside the box.  Smart, affable, well liked... OUTFRONT I love them.  From a forward thinking sales and marketing organization I think they get it...they are not selling space...they are selling a product with lots of sex appeal...The MTA product looks phenomenal.  I'm in New York city riding subways often...one thing they do right is station domination.  Generally they're trying to sell the entire environment to one advertiser at a time and making a gigantic splash... Clear Channel Outdoor They are the Tiffany collection of assets...the asset is good.  They've had so many challenges for so long...their capital constraints have been deleterious...when they spun off certain markets in 2018 when you talk to Jim at Ashby Street or some of the Lamar guys who bought the assets they were in shock with how good the assets were and how much lift there was on the assets by applying some more capital and hard work. What about Clear Channel Europe? I'd sell it at whatever the clearing price was, but I'm sure the lenders have something to say about that...my sense is that out of home advertising in other parts of the world is different...it's more agency than asset...it's lower margin...if you're trying to run an out of home company in Europe like you're trying to run an out of home company in the US it's a bit of a mistake... Link Media They're being selective as to what they go after...Scott Lafoy has done a dynamite job...I think they've thought that during this feverish period of acquisitions where Lamar and OUTFRONT and others are swinging pretty hard at things they may not have the ability to compete at the same level...it's a slow and steady wins the race philosophy Adams I love Adams.  I love Kevin Gleason.  I had the good fortune to meet Steve Adams back in the day...They would go off at a super premium price if they were ever to go to market.  I don't think they will go to market any time soon.  Great company. What out of home firms are people not paying attention to that they should... Number one on the list is Orange Barrel.  Orange Barrel is a phenomenal company that was hand built from scratch and people would be shocked if they knew how big it is now.  Super quality assets.  Their reputation in the marketplace is stellar. New Tradition.  A New York city culture as opposed to a Columbus Ohio culture but still a great company.  They way they were able to sneak in there at the last minute and construct a dynamite deal on a lot of the Regency assets was phenomenal.   [wpforms id="9787"] Paid Advertisement

    32 min
  6. DJ Jennings and John James on OutdoorLink’s Purchase of SignBird

    09/22/2022

    DJ Jennings and John James on OutdoorLink’s Purchase of SignBird

    On today's Billboard Insider podcast we talk with DJ Jennings and John James about OutdoorLink's recent purchase of SignBird. Here are the highlights. DJ Jennings, Chief Revenue Officer, OutdoorLink DJ Jennings on OutdoorLink's history OutdoorLink was created by my father Dwight to service the billboard industry to help operators with the day to day pains they have managing inventory - things like managing lights, making sure their clients are happy with illumination issues, rising utility costs... Billboard Insider: Our out of home plant in Minnesota and Indiana uses your product.  It adjusts all our lights automatically based on sunrise and sunset.  We don't have to reset timers.  It pings our manager every time we have an outage.  And we can turn off signs remotely if we have a vacancy so we don't have to pay for utilities. That was why OutdoorLink was started and created.  My father was an independent operator for years and years and when he sold his plant he wanted to get back into the business and decided he was going to solve some of the issues he faced every day. Managing digital billboards The SmartLink is basically a smart control device that allows users to customize inputs...From time to time digital billboards have issues.  That may be freezing up.  The ad copy not displaying properly.  A security threat.  A board hack.  It gives you a quick failsafe method of rebooting or shutting down the face without having to roll a truck. Why OutdoorLink bought SignBird. John James is what stood out for me.  SignBird has a great product, a great service.  That is undeniable.  From the time John and I first spoke we just connected.  I found somebody who was passionate about this industry and who was just as dedicated to his clients as I am.     What does the SignBird acquisition mean for Outdoorlink clients. Where Outdoorlink has historically been operations focused, insuring lights are on.  Reducing utility costs.  Focusing on the bottom line expense.  This allows us to aid clients with their top line.  New revenue.  Pitch to proof.  Helping with the sales pitch. John James, Founder and CEO, SignBird John James on SignBird's history. The journey for SignBird has always started inside of a billboard company.  I worked as an account executive for a large billboard company.  There needed to be an improvement on the way out of home is being marketed to advertisers.  We were pitching inventory on a four week flight on a digital...for $3,500/slot...but we were using a 15 year old photo to market the premier digital location in out DMA...That is the origin story of SignBird.  SignBird is in 27 states and counting...I'm excited to plan out the future with a phenomenal partner like OutdoorLink. SignBird and independent out of home companies. The small to mid-sized independents are one man or one women armies.  They are the real estate person.  They are the sales person.  They are the billing person.  They are doing all of these things...Marketing tends to be on the back burner.  SignBird has positioned itself to be the marketing engine for a billboard company to take advantage of... Will SignBird remain an independent brand? SignBird stays the same.  The name's not changing.  I'm not leaving...We just have a fantastic parent company to help us develop new products and services. [wpforms id="9787"] Paid Advertisement

    14 min
  7. Dr. Rick Wilson on Attribution and What Advertisers Should Do in a Recession

    09/07/2022

    Dr. Rick Wilson on Attribution and What Advertisers Should Do in a Recession

    Today's podcast guest is Dr. Rick Wilson, Associate Professor at Texas State University San Marcos, has written extensively about the impact and effectiveness of out of home advertising. Here are some highlights. Rick Wilson, Associate Professor of Marketing, Texas State University How did you get involved in studying out of home advertising? The short answer is that my dissertation to get my doctorate degree...was on out of home advertising...I've always been fascinated by out of home.  I love the physicality of it, they way for it to reference the activity you are doing, the way for it to...break through the clutter. You did a 2019 attribution study for the OAAA.  What did you do and what did you learn? They asked me to review a number of case studies where the media partners that they used looked at various promotions to see which types of out of home advertising was able to drive sales or recognition or recall and compare that to a control group that was not exposed to the same out of home advertising.  Across the 45 different case studies...there was a dramatic increase in whatever variable that they were measuring to judge effectiveness and in some cases the most popular variable looked at was store visits and that increased by 89% compared to the control group...There were a number of difference outcomes they looked at beyond store visits.  For example, recall of the brand...they saw a 39% lift...and then also purchase intent...that saw a 23% increase compared to the control group. Creativity does not to increase ad effectiveness unless out of home is placed properly. The industry frequently...uses as a selling point that out of home is a creative medium and can really break through clutter and get noticed and while that is the case some of the research that I reviewed...suggested that...creativity by itself isn't going to break through the clutter unless the ad is situated in an environment where it is more prominent.  Whether that means the size of the ad or billboard...it's in the line of sight...and it's not in an environment where it is visually complex...It's one thing to develop an ad that's creative.  But it's another thing to make sure that the ad is placed somewhere where it has a greater likelihood of being seen...Advertisers and media planners need to take a stronger role in selecting media locations for ads...It's not enough to just buy a bunch of billboards in a market to get coverage.  I think you need to think a little bit deeper. Advertising in a recession. When we see a recession, it's not the time to reduce your advertising budget.  It's the time to think differently about your advertising budget, because what are consumers doing.  They're doing things differently.  Their behavior is changing.  They are looking for ways to save money.  They are still spending but just spending differently...Think about the message that you are delivering...They are thinking about value as opposed to some of the functions and features which they have been thinking about in the past...Think about how the activities are changing.  We saw this during the covid epidemic.  People were driving less or they were driving differently. [wpforms id="9787"] Paid Advertisement

    26 min
  8. Nick Gonzales is Bullish on Out of Home Lending

    08/24/2022

    Nick Gonzales is Bullish on Out of Home Lending

    On today's Billboard Insider podcast out of home banker Nick Gonzales talks about the out of home debt markets.  Nick's bank seeks $1-20 million out of home loans. Here are the highlights. On July 1 Metro Phoenix Bank was acquired by Alerus Financial Corporation. What does the acquisition mean for out of home borrowers? Nick Gonzales, Alerus Financial Corporation We're really well positioned to reach a much larger swath of the out of home industry...It's going to give us the capital...to reach some of these bigger operators...A little bit about Alerus.  They are out of Grand Forks, North Dakota.  They've been around since 1879.  They started as Bank of Grand Forks...We expect our conversion, branding, everything...to be formalized in late September.  This acquisition takes Alerus to about $4 billion in total assets. How does the acquisition change your legal lending limit? It essentially doubles it overnight.  Whereas at Metro Phoenix Bank we were scraping to get to $10 million loan size...it really gives us a lot of independence on how we structure deals. As a bank lender how do you view the strengths of the out of home advertising industry? We feel bullish about the industry...the reasons why are...cashflow number one, value creation, market demand, overall profitability...those are the strengths. What about cyclicality? We understand that in a recession ad rates can soften, particularly if you don't have a good sales team.  At the end of the day we think that risk is small and mitigated by the fact that if you have an advertiser that's been in a location for many years they're not going to give up that prime location for a bad quarter or two... What sorts of out of home loans are you seeking? We're most comfortable with traditional out of home - static, digital billboards...we'll take a look at any deal which makes sense...We're going to look at cashflow, collateral value, advance rate, strength of guarantors...We are going to heavily weight our underwriting to focus on the operational experience of...the management team...If we don't have historic cashflow and it is a true proforma deal but this operator has lead sales for a different operator...we can lean on that strength. Interest rates Our pricing is going to be based on the wall street journal prime rate.  We're going to have a spread usually between 1 and 2.5 percent based on risk profile. Fees We're going to have an origination fee.  We're going to have a documentation fee.  We're going to have a collateral inspection fee...Typically we're going to be around 2%... Do you require an appraisal? We do...not for approval...We do that after approval and as a condition of close...We can go up to 65%.  Our preference is to be in the 50-55% range... What borrower information do you want? First and foremost we want to see what industry experience you have and it doesn't necessarily have to be operational experience.  Maybe you've had sales experience.  Maybe you were an installer...We're going to want to see financial statements, tax returns, an inventory package.  Sales sheets are always good, they have pictures, they have addresses, they have coordinates...We want to see leases.  We want to see permits.  A personal financial statement if we have a personal guarantor. [wpforms id="9787"] Paid Advertisement

    19 min
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About

Everything you need to know to thrive in the out of home advertising industry.

Information

  • Creator
    Dave Westburg - Billboard Insider
  • Years Active
    2019 - 2024
  • Episodes
    77
  • Rating
    Clean
  • Copyright
    © 2018 Billboard Insider, LLC
  • Show Website
    The Billboard Insider Podcast