Considerations and Comments on the Broadsign Ayuda Agreement
The Future of Broadsign & Ayuda
Broadsign Acquires Ayuda.
The announcement came yesterday at 8:30 AM.
See OOH Today’s post here⇒Broadsign Acquiring Ayuda.
Broadsign has taken the lead in statements as one would expect from the ‘buyer.’ Here are a few of Broadsign’s and CEO Burr Smith’s comments regarding the transaction.
“The power of a unified Broadsign and Ayuda will enable out-of-home media owners to manage, sell, and deliver all of their advertising content from one single solutions provider. Together we can better serve our customers, deliver more exciting projects, and build a future on our combined foundations. United we are stronger. United we shine.” The previous was from the Broadsign press release.
Considerations and comments.
Smith says, OOH consists of a mesh of operating systems that simply “don’t know how to talk to each other, and lacking automation. He goes on to say, from the sale side perspective, OOH is still planned and executed via spreadsheets. Smith’s defines the acquisition as an effort to streamline and modernize the workflow for marketers and their OOH Ads.
Smith sees the cloud-based Ayuda platform as the opportunity to move the #OOH industry to automation, utilizing Ayuda’s engineering team’s in Montreal, Germany, and Australia.
The Ayuda OOH Today has known for the last 12 years has Out of Home automation as a central mission at the top of their list since day one. They have as good of platform as anyone in the Industry, arguable the best. Ayuda certainly has been working on it longer than most and apparently with great success.
Does Smith and Broadsign have a formula for greater OOH stakeholders adoption? One of the primary issues from the past has been perceived differentiation of platforms vendors feel compelled to provide as a hedge against competitors. They want their own and white labeling isn’t enough.
Secondarily, pricing has been an issue. Making Ayuda software affordable to second and third tier OOH owners has been a challenge.
We’ll be watching to what ends Broadsign will impact the OOH industry to adopt more automation.
OOH Today’s first blush is lower pricing could possible move the needle. The question is, has that ship already sailed? Many competitive products have come to the marketplace in the last few years. The ‘cost of business’ has gone up. Maybe Francis and Andreas came to similar conclusion. Timing can be everything.
The deal is projected to close by Q2 of this year. We wish everyone great success.
Check out the recent article from ADWEEK.