New win by RMS Outdoor illustrates the fast change of pace in the KSA market.
Rotana Media Services announced recently that it has won the tender for the exclusive rights to sell out-of-home opportunities and retail spaces in Jeddah Sea Front for the coming ten years, starting January 1, 2022. RMS President Nezar Nagro tells us more.
Why did RMS participate in the Jeddah Sea Front tender?
Jeddah Seafront is a unique project that encompasses what RMS Outdoor does as a core business and expands its offering to cover short- and long-term retail renting, event, and exhibition spaces. RMS as a Saudi company is always interested in projects that not only grow its business but also enhance and promote Saudi Arabia as a destination.
How is the OOH market evolving in KSA?
OOH is evolving like all other aspects of social and business nature in general, and media in particular. The introduction of digital OOH led to increased investments in smarter, faster, and more technological systems. The momentum is not slowing down and RMS Outdoor will always be at the forefront of change with the aim to stay in line with Saudi Arabia’s Vision 2030.
How does RMS position itself there in terms of service and offering? What innovation are you planning to bring to this market?
Our OOH offering is very unique in the sense that we cover the audience in what we call “destinations” rather than on the move. For example, we have the Hajj terminal, a destination, and now Jeddah Seafront, which is another destination. Our presence is in areas where people gather and mingle, and stay for longer periods of time, rather than drive by.
What other opportunities does the KSA OOH market offer?
The OOH scene is very dynamic and the progression from static to digital to video is going on. In-mall, supermarkets, airports, and touristic areas also offer a wide variety of possibilities. We believe that OOH is on the right track and will evolve even more. At Jeddah Sea Front, we will be adding to the standard formats monuments and 3D-shaped branding opportunities.
The agreement includes retail spaces selling rights, which is beyond the scope of services offered by RMS so far. How will you approach this new activity and what does it mean for RMS in terms of internal development?
Long-term retail might be new to RMS, but not space retail. In our destination locations like the Hajj terminal, we already have short-term space renting. The difference here is that we will be dealing with long-term rent and with specific industries rather than the short-term-all-industries approach. The basics are the same. We are very excited about the opportunities that this will provide us. Also, we will be selling naming rights and sponsorships for the different areas of the project; these are two new ways of increasing the brands' interaction with the consumer. Naming rights cover brands buying specific places to be named after them; sponsorships are for events and exhibitions.
What is RMS's strategy to approach this changing environment and its own digital transformation?
Think long term; stay ahead; and always innovate. We have few new projects that will demonstrate this in the near future.
What does this project say about the transformation currently happening in KSA?
That the transformation is happening. Plans are already in motion and the Vision 2030 is set to be achieved. This project is unique today but, eventually, it will be the first of many.