pDOOH The Impression Multiplier

Members of IAB New Zealand’s Programmatic DOOH Steering Committee have this week agreed on an industry benchmark Impression Multiplier formula for New Zealand based DOOH suppliers activating inventory programmatically.

The agreement follows last year’s announcement of the IAB Programmatic Steering committee, an initiative from the IAB to accelerate the adoption and revenue growth of programmatic digital out of home in New Zealand, through a program of thought leadership, education, inspiration and awareness.

‘For a market in its formative period, this is a significant achievement’, says LUMO’s Jack Plowright, who leads the committee’s Measurement workstream. ‘What we identified early on was a desire amongst members to find consistencies where practical for our respective networks. Having one recipe we can all follow.’

In online advertising, it is widely understood that one impression represents one user's opportunity to see an ad. By contrast, DOOH is accepted as a One-to-Many medium, meaning it is common that the serving of an ad on a DOOH screen can deliver multiple impressions.

The Impression Multiplier is commonly referred to as the value of impressions delivered by a single ad play, appropriate to the hour of the day, day of the week and the screen on which the ad is served. Arriving at this value requires the application of an Impression Multiplier formula.

The agreed formula consists of several variables. The cumulative, hourly audience exposed at a screen level, the ad play duration and dwell time in front of each screen (used to determine a probable number of ad play exposures) and lastly, the number of ad plays within the hour on the screen being measured. Hourly audience volume and dwell time lengths are determined by each supplier’s respective measurement methodologies.

Kurt Malcolm, committee member and Trading & Innovations Director at JCDecaux New Zealand, notes the desire for industry standardisation when it comes to determining impressions across all channels. 'This piece of work was only possible because we acknowledged our responsibility as an industry body to provide clarity in an emerging marketplace. A robust and representative Impression Multiplier formula is a leap towards that.'

‘One-to-Many is a new concept in digital media buying. This document enables advertisers and agencies to understand the pricing for pDOOH and to buy with confidence’, says Richard Pook, Steering Committee Chair.

If you’re an IAB New Zealand Member, you can download the IAB NZ pDOOH: Impression Multiplier Formula here.

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IAB New Zealand Releases ‘The State of the Union: New Zealand’s pDOOH Supplier Ecosystem’