Gas Station Interactive Advertising
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Gas Station Interactive Advertisement


Content

  1. Overview
  2. History
  3. Advantages
  4. Costs
  5. Reach & Frequency
  6. Scheduling
  7. Impact & Responsiveness
  8. Audience
  9. Interesting Qualities
  10. Successful Advertisers
  11. Partners
  12. References




Overview

Gas station interactive advertisements consist of a series of advertisements that are broadcast on digital video screens sitting atop gasoline station fuel pumps. Motorists can watch an array of news, entertainment, weather, traffic information and advertising played in a loop as they are essentially tied to the screen by an eight-foot rubber hose for about 5 minutes while filling up their vehicles (McClellan, 2007). Advertisers hold a one-on-one communication platform without ad filtering, skipping, or channel surfing. The use of these contemporary digital video screens at the pump has newly emerged as a more effective approach and powerful medium to reaching on-the-go consumers in comparison to traditional static displays.

History


Digital signage at the pump is a reasonably new approach to advertising. In 2005, VST International was the first company to execute a digital out-of-home signage solution atop gas station pumps. VST introduced its first gas station network in Beijing, and soon after followed Toronto and Los Angeles. After converting under the name Fuelcast, the company merged with a separate out-of-home enterprise to form Outcast in 2008. In 2009, Outcast and PumpTop TV joined forces to create a combined advertising network. Today, advertising at the gas pump has taken off by way of six main network providers. Among these include three nationwide networks: Destination Media’s Gas Station TV (GSTV), Outcast’s Fuelcast Network, and AdtekMedia’s PumpTop TVand four regional-based networks: Motion Media Network’s Fuel Net, PumpMedia, PetroTV, and Retail Media Company (Tepper, 2009).

Advantages

Gas station interactive advertising is an effective and unique medium for reaching people at the pump and on the go. This type of out-of-home advertising offers many distinct advantages and strengths including:

Provides Frequency and Repetition
On average, a consumer visits a gas station around five times per month for approximately three to five minutes at a time (Tepper, 2009). This outdoor advertising medium is a display for a captive audience who is forced to stand at the gas pump for a short amount of time while they fill their vehicles up. The ads which are on display 24/7 cannot be turned off or thrown away. There are no channels to change and no pages to turn. People almost have no choice but to tune in and pay attention to the screen. Advertisements at the gas pump are seen frequently and regularly by commuters driving to work, school, vacation, stores and wherever else they may be headed (Azzaro, 2008, p. 106).


Targets Specific Groups
Gas station interactive advertisements can be targeted to reach a very selective and specific demographic or geographic area. Advertisers can position their message right where their audience lives and works. They can be placed locally, regionally and nationally, situated in various defined neighborhoods delivering to an array of diverse, cultural and specialized markets (Azzaro, 2008, p. 106). Gas station advertising allows for extensive coverage of markets with distinct needs, behaviors, habits and characteristics.

Offers Dynamic Media
Given that gas station advertising reaches consumers at some stage of their daily lives while they are driving on the road, people may be more prone to make purchasing decisions as they are nearer to accessing retail stores. Consumers are more likely to react to advertisements that spark their interest while they are on-the-go as opposed to at home when they are reposed.

High Traffic and Reach
Almost everyone who lives in the United States drives at least one vehicle. Therefore, a significant amount of people have a need to visit a gas station to fill up their vehicle. A typical gasoline service station receives over 27,000 visits each month from customers (Tepper, 2009).

High Recall Rate
A study conducted by Nielsen Media Research found that 70 percent of participants recalled advertising shown on the Gas Station TV network. Results from the study also showed that an exceedingly high 50 percent of respondents recalled one or more brands (“Gas Station TV boasts advertising brand recall,” 2008).





This is a montage of Gas Station TV's creative services and capabilities. Advertisers can reach engaged viewers with informative and entertaining segments based on geographic location and time of day.

Costs

Advertisers can fuel their dollar with gas station advertising since its cost is relatively inexpensive. The CPM (cost per thousand) is less pricey compared to other types of traditional and outdoor advertising (Tepper, 2009). The expense varies based on the network provider. On average, advertising rates fluctuate from about $17 to $20 CPM (Childers, 2008).

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Adtek Media's PumpTop TV Video Screen


Reach & Frequency

An average gasoline service station will take in greater than 27,000 monthly visits with most people stopping by roughly five times per month (Tepper, 2009). For that reason, gas station advertising offers both excellent reach and frequency, making this medium so valuable. Gas station advertising offers a constant presence generating significant impressions to reach a high multitude of consumers. It can extend to many people in different regions, cities and towns where people pass through, live and work. It has the ability to reach targets with varied demographics such as age, gender, family, income and education. In addition, this alternative media touches people with different thoughts, feelings, behavior and attitudes. Gas station advertising is also a high-frequency medium. It serves as a steady reminder to consumers as they are seen repeatedly by commuters filling up their vehicles on their way to work, school or the store (Azzaro, 2008, p. 106).

Scheduling

This emerging media also offers advertisers flexibility in scheduling as the advertiser can choose to display and change advertisements hourly, monthly, weekly and daily to target specific markets.

Impact & Responsiveness

Gas station advertising has a profound impact on consumer behavior and responsiveness. David Leider, CEO of Destination Media, parent of GSTV (Gas Station TV) found that, "When we market products at the pump, we see sales increases at the convenience stores. We believe the overall conversion of clients from the pump to the stores will exponentially rise." (Bachman, 2008). Gas station advertising delivers a powerful visual message and impact as it dominates the viewer’s attention at eye level while they refuel. This media captures people’s interest and concentration with vivid color, images and detail on television screens while they have nothing better to do waiting until their vehicle is filled up.

Audience

A large portion of our society drives a vehicle and therefore must stop at a gas station often to purchase the fuel to operate that vehicle. Gas station digital media networks deliver a fixed audience of millions of consumers at the pump each week by a captivating, engaging and interactive mix of network and broadcast television, informational and entertaining content, user generated content and advertising. According to Nielsen Media Research’s data, 76% of Gas Station TV spectators fall into the 18-49 age group (Tepper, 2009). Typically, customers spend 4.5 to 5 minutes at the pump per visit and frequent the gas station an average of 1.3 times per week. A considerable 95% of those people actually notice the televisions attached to the pump. Nielsen’s data also found that 36% have post-secondary education and 67.7% are principle grocery shoppers (GSTV, 2010).

Interesting Qualities

Gas station advertising was ranked the “third hottest medium” by AAAA (American Association of Advertising Agencies) (Conley). Also, GSTV (Gas Station TV) now offers the capability to influence consumers by featuring “action tags,” which direct consumers to nearby retail sites through mobile devices to take advantage of unique offers. Best Buy, AOL Autos and Ford have all made use of “action tags” (McClellan, 2007).

A new report conducted by Nielsen Media Research found that out-of-home advertisements displayed on video screens in places such as gas stations, health clubs and elevators can potentially reach more people than advertisements on prime-time television. The report mentioned that, "Nielsen is calling it the "fourth screen" after television, the computer and mobile." They researched 10 screen networks from different companies such as NCM Media Networks and Screenvision, which run ads in movie theaters, to Gas Station TV. Paul Lindstrom, Senior Vice President of the Nielsen Company, said that, "If you took the 10 networks that we measured and put a spot on each of the 10" for a month, 'you'd draw more exposures than having a spot on every one of the top 20 programs in prime time' in a given week" (Clifford, 2010).

Successful Advertisers

Several advertisers have chosen to use gas station interactive advertisements as a media outlet for their brand.

Gas Station TV (GSTV) successfully advertises for the following brands/companies:

    • ESPN Sports
    • NBC News & Entertainment Segments
    • AccuWeather

Outcast successfuly advertises for the following brands/companies:
    • BBC
    • TV Land
    • DIY Network
    • CBS
    • HGTV
    • Condé Nast

PumpTop TV successfully advertises for the following brands/companies:
    • Adobe
    • Audi
    • Bank of America
    • Best Buy
    • Buick
    • California State Lottery
    • Carl's Jr.
    • Chevrolet
    • Claritin
    • Delta
    • FSN
    • Jack in the Box
    • Pontiac
    • Red Bull
    • Rolaids
    • Saturn
    • Subway
    • Texas Lottery
    • Verizon
    • VH1
    • American Express
    • CVS Pharmacy
    • Dunkin Donuts
    • Gatorade
    • MTA
    • Sony Pictures
    • TMZ
    • Mobil 1
    • Great Clips
    • Pulte Homes
    • Twin Pine Casino & Hotel
    • EZ Lube

Partners

Among the leading digital media companies reaching consumers at the gas pump are Destination Media’s Gas Station TV (GSTV), Outcast’s Fuelcast Network, and AdtekMedia’s PumpTop TV, Motion Media Network’s Fuel Net, PumpMedia, PetroTV, and Retail Media Company. They have partnered with several fuel retailers in cities nationwide including:
    • Shell
    • Exxon
    • CITGO
    • 76
    • Mobil
    • Chevron
    • BP
    • Phillips 66
    • Arco
    • Holiday
    • Lukoil

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Gas Station Interactive Advertisements at Exxon


References

Azzaro, M. (2008) Strategic Media Decisions. 2nd ed. Copy Workshop. Chicago.

Bachman, K. (2008). GSTV's C-Store TV Fuels Hot 00H Digital Net Market. MediaWeek, 18(28), 6-8. Retrieved from Business Source Premier database.

Childers, L. (2008). CAN'T-ESCAPE TV. Fast Company, (127), 46. Retrieved from Business Source Premier database.

Clifford, S. (2010, April 11). The Incidental Video Screen Is Seen by More Viewers Than Prime Time. The New York Times. Retrieved April 11, 2010 from http://www.gstv.com/press/the-incidental-video-screen-is-seen-by-more-viewers-than-prime-time.php

Conley, W. Gas Pump Toppers Billboards [Slide show presentation]. AllOver Media. Retrieved April 8, 2010 from http://www.slideshare.net/AOMGreensboro/gas-pump-toppers-billboards#text-version

GSTV. (2010). Advertisers: Our Audience. Destination Media. Retrieved April 8, 2010 from http://www.gstv.com/advertisers.php.

McClellan, S. (2007). Pump TV: Selling to A Briefly Captive Crowd. Adweek, 48(21), 10. Retrieved from Business Source Premier database.

Tepper, L. (2009, February 12). Fueling Your Marketing Pipeline With Digital Out-of-Home Media. Digital Signage Universe. Retrieved April 8, 2010 from http://www.gstv.com/press/digital-signage--marketing-at-the-pump.php

(2008). Gas Station TV boasts advertising brand recall. National Petroleum News, 100(3), 10. Retrieved from Business Source Premier database.