Why We’re Backing the Next Generation of OOH Advertising
Welcoming Place Exchange to the Revolution Ventures Portfolio
Today, Revolution Ventures is thrilled to announce an investment in Place Exchange, the leading platform for programmatic out-of-home (OOH) advertising. OOH advertising is any visual media found outside of the home such as billboards, bus stops, gym TVs, street furniture, and so much more.
While nearly all categories of advertising have automated media buying, only 2 percent of OOH spend is currently programmatic. Place Exchange is working to change that. Its tech provides a central, transparent platform between publishers and advertisers that delivers real-time bidding through open auctions and private deals. By automating media buys, agencies and advertisers can update their OOH creative in real-time and adjust the pace of their investment based on performance. In a world of 24-hour news and heightened social awareness, this is a critical consideration for brands.
CEO and founder Ari Buchalter has more than two decades of leadership experience building successful data-driven marketing businesses. He previously served as CEO of Intersection, a smart cities technology, and OOH advertising company, where Place Exchange was initially incubated. Prior to that, he was President and COO of MediaMath, a leading programmatic ad-tech platform. Ari understands how to transform the experience of public spaces and enable brands to reach consumers more efficiently and effectively. We’re co-leading Place Exchange’s $20M Series A with Ted Maidenberg at Tribe Capital. Ted and I have con-invested together for nearly two decades.
So, what exactly is Out-of-Home Advertising? It used to look something like this:
But the industry has come a long way from paper and paste. Today, OOH advertising takes on many different forms. It’s a life-size medium experienced in the real world. Place Exchange is reinventing the category with powerful, engaging consumer experiences. See below for some examples of what OOH can look like today:
Last year, the OOH advertising sector suffered due to lockdowns and shifting ad spend to other digital channels. Despite the category overall taking a hit, Place Exchange saw its monthly revenue grow over 12X in 2020. The startup partnered with the Centers for Disease Control and Prevention on critical campaigns to get in front of essential workers and medics who were still walking city blocks, driving highways, and taking public transportation. Many local and state governments, brands, and even individuals leveraged the medium for powerful reminders of how to stay safe.
Now, after more than a year of isolation, people are ready to be back out with a vengeance. We’ve grown tired of staring at tiny screens and communicating with people through a device. Coming out of the pandemic, OOH is projected to be the fastest-growing advertising channel.
Place Exchange has already built an impressive ecosystem of OOH media partners (publishers) that agencies and advertisers can access through Place Exchange’s integrated demand-side platform partners. See below for leading premium publishers available through Place Exchange, with more on the way. The company will use this next round of funding to broaden its product offerings, expand into international markets, and make new hires. With 70 percent of people’s time spent outside of their homes, we can’t wait to partner with Ari and the team to see where OOH advertising can go next.
Click here for a list of all Place Exchange partners
