Legalized sports betting has boomed across the United States in the past few years. While betting sites spend millions on television ads, experts believe the medium isn’t as effective as OOH and digital-out-of-home promotions.
Sports betting companies are beginning to turn to OOH to attract more players to a booming industry. Photo: i-Stock
Legalized sports betting has boomed across the United States in the past few years and the phenomenon continues to spread across the country.
As more states give the green light to sports betting, and sports books keep popping up in casinos, betting platforms are looking for new avenues to attract players. Sports wagering heavyweights such as DraftKings and FanDuel are turning to out-of-home advertising to promote deals and grab curious sports fans thinking about dropping a little (or a lot of) dough on the big game.
While betting sites spend millions on television ads, the medium isn’t as effective as OOH and digital-out-of-home promotions. OOH can target hyper-specific audiences in strategically placed locations. Unlike TV or radio ads, which can be ignored, OOH placements are difficult to dismiss. They usually get a passerby to stop and look.
 |
| Rosen |
Intersection, an OOH media and technology company, has been helping sports betting brands get noticed. The company’s most recent campaign, with BetMGM, has offered the platform needed exposure in a competitive marketplace.
«Currently, 30 states and Washington, D.C. offer some form of legal sports betting, and that number is only expected to grow,» Michael Rosen, chief revenue officer, Intersection, said in an email interview. «Similarly, revenue generated from legal sports betting is expected to reach nearly $6 billion by 2023, up from the $1.5 billion that was generated in 2020.»
It’s all about location
The ability to reach potential players where they live is a major reason betting companies are turning to OOH.
«Through multiple touchpoints along their journey, whether driving to work or walking to the store, OOH provides sports betting companies with the ability to reach diverse and larger audiences,» Rosen said. «With placement close to stadiums and arenas, OOH can bring sports betting brands of all sizes into the game day journey for fans.»
Whether it’s a digital ad on an interactive kiosk, a wrap-around splashed across a city bus, or a large display outside an arena, betting platforms are getting creative to attract players.
«We’ve also seen that location plays a huge role when opening the door into new markets,» Rosen said. «In some cases, brands are choosing to activate in stations that are in close proximity to major sports stadiums and arenas.»
A spokesperson from BetMGM said there are tactics the company uses to make sure the right OOH goes into the right location.
«Targeting comes into play, whether it’s choosing placements near sports stadiums/arenas and sports bars, or dayparting to run during times when people are more likely to place a bet,» BetMGM said in an email to Digital Signage Today. «There is value in finding a captive audience. For example, someone waiting at a train station for a few minutes may be more likely to notice ads around them than someone else passing a billboard while rushing to a late appointment.»
While location and timing are vital, choosing the ideal OOH company is also important. Inventory is key. Generally, when choosing an OOH provider, BetMGM looks for a combination of location, competitive pricing, impressions, and quality of the placement.
«We also factor in partnership,» BetMGM said. «Vendors, such as Intersection, who have been good partners to us in the past will continue to be considered for future buys.»
For advertising, BetMGM prefers to use a mix of OOH, TV, online and social media promotions. The company said it’s difficult to determine which medium is most profitable, but OOH shines best in raising brand awareness. It’s the only media people can’t avoid. It doesn’t have a fast forward button or ad blocker to prevent people from seeing it.
BetMGM would not specify how much the company spends on OOH promotion, saying it has spent a «significant amount.»
Full steam ahead
Rosen doesn’t see sports gambling slowing down anytime soon. That’s good news for OOH companies tapping into a booming industry.
«OOH will continue to allow brands to reach their audiences at scale through digital and traditional media,» Rosen said. «Brands are no longer limited to broadcast or radio to tap into players. Instead, they’re reaching them where they live and work, and in-context during game day.»
Going forward, OOH could play a significant role in getting more sports fans to give betting a try.
«We also expect everyday consumers to become more familiar with sports betting as it becomes more mainstream,» BetMGM said.