24 Hour Fitness: 24 Hour Fitness: Out-of-Home Advertising and Mobile Work Better Together — Mobile Amplification Campaign

 
Campaign Summary

24 Hour Fitness worked with an out-of-home advertising agency to promote its boutique-like programs to its members and members of boutique gyms. The campaign included geo-fencing around its clubs and mobile technology that worked in conjunction with billboards to track campaign exposure.

Strategy

Objective and Context:

24 Hour Fitness developed an out-of-home (OOH) strategy to increase lead generation and new member sales in its Los Angeles and San Francisco clubs. With the introduction of boutique gyms, such as Orange Theory, and low-cost, no-frills gyms like Planet Fitness expanding into U.S. markets, 24 Hour Fitness faced stiff competition and possible membership decline. To reinforce the idea that it provides high-quality amenities and a wide range of fitness options at a competitive monthly fee, marketers planned to cultivate awareness with members of boutique gyms while also reinforcing its boutique-like programs with existing members. OOH and mobile were combined to target gym-goers with geo-fencing around 24 Hour Fitness clubs. This was in addition to a campaign that targeted people at competitive gyms with mobile ad delivery.

Target Audience:

24 Hour Fitness targeted women between the ages 25 and 54 and, secondarily, men between the ages of 25 and 54.

Creative Strategy:

24 Hour Fitness encourages members to “sweat it out together.” The campaign’s OOH art included the message “Do More,” while the targeted mobile ads used the message “Join Now.” These taglines tapped into the current trend of playful copywriting evident in class names like “Barbells to Barre Class” and delivered relevant messaging to the target audience. OOH and mobile were perfect advertising platforms for reaching active, on-the-go consumers.

Execution

Overall Campaign Execution:

Viewers were identified using mobile data. Then, 24 Hour Fitness measured club visits, and lift was calculated by comparing those who were exposed to the messaging with those who weren’t. A state-of-the art planning tool matched inventory to the audience using mobile data to profile billboards based on their likelihood of reaching this specific behavioral audience.

Mobile Execution:

Mobile technology was used in three ways:

  1. Planning. Mobile data was used to target audiences and drive membership. Mobile behavioral data allowed the company to profile billboards based on which inventory was more likely to reach the target audience. In this case, 24 Hour Fitness focused on the gym-going audience segment that was available through a planning tool. OOH inventory was ranked with specific scores indicating how likely the desired target was to pass one of the billboards. This was combined with other planning parameters, such as the goal of reaching specific age groups within five miles of 24 Hour Fitness gym locations. This data offered unique location-based insights to the overall campaign that other marketing channels missed.
  2. Retargeting. This campaign was sophisticated in its use of mobile data. It utilized audience planning and mobile amplification to gather location-based insights from mobile data pattern technology. This led to the selection of OOH advertising locations that over-indexed against 24 Hour Fitness’ intended audience. Additionally, a brand intelligence platform integrated with an ad-serving technology delivered targeted mobile impressions using geo-fencing around new club locations and competitor gyms. This technology retargeted the key demographic with mobile ads, driving the message “Do More.”
  3. Attribution. The research team partnered with a mobile data company for a 30-day study to determine which mobile devices were exposed to the campaign. The research company worked with 24 Hour Fitness’ OOH agency to overlay the location data of its mobile device panel with the latitude, longitude, and direction of all billboards to determine which devices were exposed to the campaign.

A control group consisting of consumers whose devices were not exposed to the ad was also built. Geographic distribution, visitation behavior, and device OS ownership compositions were matched to make sure both groups were essentially similar with the exception of the ad exposure. This ensured that any differences between the two groups were due to exposure to the campaign. Next, visitation rates to 24 Hour Fitness locations were tracked among both groups to determine if those exposed to the campaign had a higher visitation rate than those who were not exposed to the campaign.

Results (including context, evaluation, and market impact)

24 Hour Fitness integrated multiple technologies using mobile data as part of its OOH strategy to drive club visits. Mobile data identified people who were exposed to the campaign, and all OOH units were located within a five-mile radius of 24 Hour Fitness Clubs. Many of the units over-indexed for women between the ages of 25 and 54. The results of the study showed an increase of over 200 percent in visitation rates to 24 Hour Fitness clubs in both L.A. and San Francisco.

Once the mobile retargeting strategy was introduced in conjunction with the OOH targeting, it helped power hyper-local, club-specific marketing. The mobile campaign metrics gathered at the client level revealed that combining mobile retargeting with the OOH campaign was a highly effective marketing strategy. Click-through rates that were generated were double the industry standard and performed better than other digital channels. The success of the initial campaign led to the extension of mobile campaigns in additional markets that had no OOH presence.


Categories: | Industries: | Objectives: Location-Based Services or Targeting | Awards: Bronze Winner