Posted by gwessels on 19 SEPTEMBER 2008 at
19 September 2008: One Digital Media’s CEO, Mike Bosman, previously Group CEO of TBWA\South Africa, is causing quite a stir in township taverns. The Loxion Network is ODMs latest brainchild, delivering advertising content directly to high resolution flat screen monitors installed in the top taverns nationwide. The network is capable of downloading different content to each screen, or to a defined group of screens, in real time, via satellite, the Internet and GPRS.
The name “Loxion” was coined from the trendy slang for “location”, used in and around metro areas. “What we are finding, and this is in alignment with results from overseas, is that digital advertising networks tend to cause a sharp, sustainable lift in sales and brand awareness, which is exactly what brands and retailers want,” says Bosman, who, together with his colleagues, have pioneered in-store digital POS media advertising in South Africa.
By the end of November 2008, the top 500 taverns in South Africa will all be linked by digital screens with a playlist ranging from entertainment (“lifestyle” highlights including cars, fashion, funnies, celebrity trivia, sports) to localised content and adverts, with the content feed controlled from the ODM control centre in Stellenbosch.
Research shows that the emerging black market’s spend equates to 28% (R180 billion) of the entire South African spend. The Loxion offering therefore provides excellent opportunities for advertisers, since national, regional or local content can be flighted with a focus on holidays or sporting events, for example, coupled with special promotions.
Modern township taverns find their roots in the “shebeens” of many years ago, and still play a pivotal role in the township social scene, where young men gather to experience a sense of identity and community. Consumers have shown a very positive response interacting with quizzes, in particular, and edutainment is proving to be a platform that intensifies the brand awareness buzz.
Yet the overall content mix has to be “spot on” to engage clientele sufficiently to watch the screens. Since many consumers frequent the same outlets on a regular basis, ODM makes sure that that the content is changed regularly in order to spike the entertainment pitch and sustain viewer interest. The winning formula for content nevertheless is the “lifestyle” approach, because the tavern is seen as the melting pot of aspirational ideas.
Only the top outlets that satisfy rigorous criteria are signed up. The most important selection criterion being that the outlet has to be a friendly, energetic environment conducive to conversation, interaction and discussion. Secondly, the environment must be safe so that consumers are completely at ease, while the tavern ambience needs to reflect positively on the brands being advertised on-screen.
A potential Loxion network outlet also needs to satisfy the requirements of trading seven days a week and having a high footfall, to ensure maximum viewers, which is usually also a function of the size of the premises. ODM looks particularly for outlets that have a broad mix of brands and do not specialise in mainstream brands. The “make or break” factor in the selection process, however, is the consumer profile of the potential applicant.
ODM explains that “The type of content that plays on the screen sets the mood of the network. That’s the beauty of the digital age as opposed to static posters. The townships of today are a far cry from what they used to be. These areas now bustle with the latest technology, cell phones and vehicles. So we feel that our sexy, custom-built LCD screens (and content) fit right in and add value to the vibe.” Savvy brand managers are jumping onto the digital bandwagon to access a consumer audience on tap.
