Adweek: Why CES Has Become a Must-Do for Marketers and Agencies

GSTV's Sean McCaffrey on what to expect at CES 2020

By: Sara Jerde | Adweek

The schedule at this year’s Consumer Electronics Show (CES) is full of sessions related to OTT and connected TV, new tech in the travel industry and even a surprise speaker in Ivanka Trump (who is expected to talk about the administration’s policies regarding technology education for workers).

We chatted with Sean McCaffrey, CEO and president of video network GSTV, about what he’s expecting at CES 2020 and how the event has changed.

This conversation has been condensed and edited for clarity.

What are you looking to get out of CES this year?
It’s a great place to rocket into the new year, where everybody comes back from the holidays and crash lands into this massive show. A huge percentage of people who go to the show probably don’t even hit the convention center, because there’s the whole other tribe of marketers and publishers that take over conference rooms and hotel rooms to talk about the latest innovation. A new phone might be a great consumer device, but it disrupts advertising models, it changes content distribution.

As a unique video platform, we’re there to talk to partners that know us already, like brands and agencies. We’re there to talk to partners that can help our business and add value to those brands and agencies like data partners, video platform partners and so on. Companies we already work with—publisher partners, content creators and makers—a lot of them are there. It’s a place where a high level of folks across the industry come together.

How have you watched it change?
This is my seventh year. Even in that short time, I’ve seen it change from really just a core tech show into a place that marketers, brands and agencies feel like they have to be because technology innovation can have really massive impact on advertising models and consumer connection. For us as a smaller publisher, competing in a sea of giants, it’s a place where top-to-top conversations come together to start the year.

Everyone is so overscheduled that everyone has tried to coordinate and consolidate conversations and content. People have gotten smarter about how they use their time there. People have also gotten realistic about what they expect from the show.

I think some of the overinvestment has faded. People are smart; how they spend their money, for their brand and their company, as well as the kind of conversations they schedule. One of the things I used to barely hear that I’ve heard from at least a dozen people this year: ‘If I can see you in New York, I’m not going to see you at CES.’ And I think that’s smart. People want to use their time wisely.

How does CES compare to the types of conversations you have with potential brand partners at other conferences, like Cannes?
They’re different from a calendar standpoint. CES starts the year, and the show is supposed to be built around innovation, but now it’s the place most publishers talk about what they’re doing differently in the year ahead. It’s a unique combination of marketers, brands, content creators and makers, technology companies, ad tech companies and investors.

Converse to Cannes. Cannes is a more global show and it comes from an ethos originally of creativity. It brings a different type of attendee.

As the ad-tech marina is to Cannes, so too is the private hotel suite in a Vegas hotel high rise. It’s a place where those sorts of people are both looking to make deals, but the overall ethos of the show is different. For Cannes, it’s after the upfronts and NewFronts. It’s later in the year, after a number of big media investment decisions have already been made, it’s not necessarily as much about what’s going to happen in the year. It’s also a reflection backwards on the first half and ahead to the second half.

What trends from the media industry do you see dominating the conversation this year?
The changes in data privacy, how will that impact marketing plans? And how will it impact platforms? Everyone is talking about it, everyone’s planning for it, but it’s finally becoming real as the laws go into effect. So, the confluence of ad tech, martech, brand, agencies and so on, people are really trying to understand what that will mean on a go-forward basis.

The OTT/connected TV space is a really interesting one where that’s going to dominate the discussion this year, because it’s consumer technology.

Any advice for a CES first-timer?
Wear very comfortable shoes. Eat when you see food because you might not know when you’ll be eating next; you’re going to be talking so much. You’re told to bring all sorts of SPF to Cannes. And despite it being Vegas, you need to bring a winter coat.

Adweek: What McDonald’s Acquisition of Dynamic Yield Means for DOOH and Personalization

Brands are able to target their consumers are every touchpoint feasible

By Sean McCaffrey | Adweek

Last month, McDonald’s announced its largest acquisition in 20 years. Yet the $300 million purchase of Dynamic Yield was notable for another reason: It legitimizes outdoor as a two-way medium for ad messages and delivers personalization at scale.

Simply put, McDonald’s, long a leader in outdoor advertising, has signaled that the space will be used for creating a dialogue between consumers and brands. The purchase lets McDonald’s vary its electronic display of items and DOOH network for walk-up or drive-thru customers based on the weather or consumer demand. For any franchisee who has ever mused that a product or service would be a perfect day for certain promotions then this purchase gives hope that they might be able to switch to promoting ice cold drinks when the temperature rises or hot chocolate on inclement days. But more importantly, it also connects that in-the-moment message to all other data-driven consumer engagements in both paid media and in-store messaging.

Too often we miss the true value of innovation in the moment and only grasp more foundational shifts in hindsight. It’s those brands and agencies that execute on such tectonic shifts that can accelerate their growth and gain share even in mature markets. With this acquisition, we’re seeing that singularity, the moment that will most matter in years to come, right now with DOOH and its impact on marketing strategy and investment outcomes.

The evolution of DOOH is clearly more than signs becoming screens. The marketer’s goal of presenting the right message to the right person at the right time is now in reach. DOOH networks have broadcast-level scale and bring added benefits of location-based context, dynamic creative and sequential messaging on the literal consumer journey. Such an objective has long been elusive for the $8 billion U.S. out-of-home market but now appears to be imminent. As with previous advertising innovations, marketers who embrace the technology first will reap the rewards.

It’s time to consider the truly available digital audience nature of the classic OOH channel.

Such promise is one reason why digital out-of-home spending has continued to outpace all other buying methods and is a bright spot in the menu of advertising options. This is bigger than dynamic screens; it’s the birth of digitally-enabled communication between brands and shoppers. It’s time to consider the truly available digital audience nature of the classic OOH channel.

But let’s face it: OOH has traditionally suffered from the one-way nature of its communications. A billboard can’t hear or recognize you, so the consumer has a natural advantage over it. Or, alternatively, it’s been judged only by physical placement. But what if OOH is now considered more broadly as every consumer touchpoint outside the home including in-restaurant placements? The location and physical context still matters that’s OOH’s most core value.

Current state-of-the-art technology can already vary messaging based on the time of day or the weather, but now, connected audience data drives true convergence of mobile, location-based and addressable audience marketing inclusive of DOOH.

Such sentient displays inject consumer intelligence into even routine interactions so a store rep can suggest a new or offbeat menu item that a shopper might like because it’s based on knowledge of their buying patterns. Suggesting the right offer, news, entertainment or insight to a targeted group of consumers in real-time drives results.

Imagine how such technology would work if adapted to pretty much every consumer. It would know better than to promote a new drink to someone who never varies from his standard purchase but could reap incremental sales from someone who’s open to such a suggestion. That’s the promise of cognizant out-of-home: It’s an intelligent system that knows both the store’s selection and the frame of mind of the visitors at moments in time.

Of course, such types of listening can be abused, but ideally it augments a human staffer who merely sizes up a consumer based on their age, sex and other signs of purchase intent to make a well-thought-out recommendation.

The best marketers have always understood the power of OOH. It offers massive canvases, broadcast scale, location-based targeting, unavoidable messaging and truly special creative opportunity. The past several years of Cannes Lions OOH winners have shown the new promise of the medium such as Google, Twitter and others. But many have also ignored the medium due to perceived limitations like targeting, measurement, attribution and true integration with overall media and creative strategy in the digital age.

The potential magic in this acquisition is the realization that all consumer touchpoints are an opportunity to personalize at scale.

Such is the evolution of DOOH, which can bridge the gap between out-of-home brand communication and a consumer’s personal profile. In the process, OOH is meeting consumers in the digital audience age.