A Whole New Kind of Outdoor Advertising

OK, so it’s not really outdoor advertising, but the big six legacy airlines have begun to slap ads onto their paper tickets and boarding passes.

The new ads will include geographically relevant promotions for destination businesses like hotels, restaurants, theme parks and golf courses. They started showing up this week on Delta flights to Las Vegas, and they’ll be rolled out to other flights and carriers over the next few weeks (see demo here).

Omaha based Sojern has launched the effort by signing five-year deals to serve ads for American, Continental, Delta, Northwest, United and US Airways. The start-up recently launched with $16 million in VC funding and a majority ownership by these airlines, which will also take a rev share.

Airlines are clearly getting squeezed in all kinds of ways, including fuel prices and recession-driven travel reductions. This is one way to offset losses. Though some initial reactions involve distaste, it kind of makes sense. And it sure beats fare hikes.

Mike Boland

Mike Boland is an analyst with the Kelsey Group.

This Post Has 3 Comments

  1. Rick Zwetsch

    It does make sense and is definitely better than fare hikes.

    Not sure what the world needs right now is MORE ads. And just like all new ad mediums, advertisers will get suckered to try out the latest and greatest “makes sense” ad opportunity. Then they won’t get the results to justify the expense and it’s be back to square one.

    Fortunately, there’s no shortage of new ad opps so the lunacy will continue. Unfortunately, consumers are becoming or are already mostly numb to advertising…especially if there’s no “what’s in it for ME!”

    It is a good attempt to offset losses. Pretty certain this model won’t save the airline industry…

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    In my views the airlines doing this kind of marketing from many years. And the thing is that the marketing way of this type is so successful. Many companies and specially the hotels are paying the largest amount of advertising cost to promote their businesses through air ticketing. or boarding passes etc.

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    In my views the airlines doing this kind of marketing from many years. car wrapAnd the thing is that the marketing way of this type is so successful. Many companies and specially the hotels are paying the largest amount of advertising cost to promote their businesses through air ticketing.car wraps or boarding passes etc.

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