Article

Commentary: DSA ROI calculator a useful DOOH planning tool

A leading consultant offers his take on the Digital Screenmedia Association's new ROI calculator.

July 26, 2011

by Lyle Bunn

BUNN Co.

Hats off to the Digital Screenmedia Association and its committee that generated the "ROI Calculator."

The Excel workbook comprised of several worksheets and inter-rated formulas is an excellent framework for an essential element of dynamic place-based media and digital out-of-home network planning.

By addressing the key building blocks in the analysis of "return" and "investment," then presenting these line items with roll up in summary tables and charts, the calculator speaks the language of project planners and investors.

The DSA ROI Calculator is a useful tool that will help assure that necessary conversations are part of network planning.

Clarifying communications goals and the value expected from the investment is the essential element of project planning. Without this definition of "value" including tangible returns on investment (ROI) and less tangible return on objectives (ROO), capital and operating costs can be a shock. The structure of the ROI Calculator recognizes that defining communications value leads to "content" strategy that defines the technology infrastructure required to deliver the media that assures business value.

Every dynamic media deployment is customized based on specific business goals and the viewer experience at the display locations. Experienced industry consultants, operators and suppliers will offer useful input to the business value aspects of this DSA ROI Calculator, including realistic return expectations and noting where value beyond what is reflected in the calculator could be expected.

The tangible measures of value such as ad revenues, sales lift, print cost replacement, etc. make the current version of the tool suited in particular to ad-based or in-house promotional networks. DSA Executive Director David Drain and ROI Task Force Chair Matt Schmitt of Reflect Systems said that "future modifications will address other points of network value and investment."

It will better internalize project planning and increase the value of experienced project and investment counsel. This calculator offers value to Digital Screenmedia Association members, to which the ROI Calculator is exclusively being provided at this time.

Lyle Bunn, a long-standing member of DSA and other industry associations is a highly regarded place-based media industry analyst, advisor and educator. He can be reached at Lyle@LyleBunn.com