This offering is unique in that it tackles a two-part problem: that of vacant storefronts as well as the difficulty of measuring the effectiveness of traditional advertising.

In the U.S. in the past few years, the number of vacant storefronts has truly exploded, even in large cities like NY and Boston. A survey conducted by Douglas Elliman found that about 20% of all retail space in Manhattan is currently vacant. In Boston, the popular Newbury Street stood at around 10% vacancy early this year.

All these numbers are significantly above the 5% industry average that is generally accepted for a healthy market. Because of all these empty retail spaces, in Q2 of 2018 alone, the U.S. retail sector suffered $3.8M in negative absorption – the worst quarter in nine years.

The rampant skyrocketing of vacant stores in urban shopping destinations is evident, implying that this is occurring all over the nation. Whether this problem is becoming more apparent because of rising rents or the shift towards e-retail, the fact remains that vacancies persist for several months and can cost the commercial real estate industry millions to billions in revenue annually.

The second part of this problem is the issue of measuring traditional media. Measuring the impact of print and OOH advertisements and identifying ways to improve ROI has never been easy, and there never really has been a specific way to monitor this kind of media. Diving deeper into the issue, there seem to be several limitations that have prevented this up until now.

For one, results typically lag, causing marketers to work in response to dated data instead of receiving up-to-date, minute-by-minute insights to make sure their campaigns are having maximum impact. Another limitation is that traditional marketing does not provide the opportunity to test and learn, especially in new channels where marketers have limited experience and want to measure the impact of smaller, experimental media spends.

VisuWall addresses this two part problem by utilizing marketplace technology that leverages vacant storefront windows for traditional and programmatic media.

 By suiting windows with devices that can capture foot traffic, demographics, and eye level metrics in real time, VisuWall provides a unique offering that solves both the issue of empty windows and the difficulty of measuring advertising ROI placed on storefronts.

 Unlike other traditional outdoor media and marketplaces that lack engagement metrics and often online access, VisuWall is a breakthrough for the industry, enabling quantifiable results for campaigns and experimental media buys.

 With a business model based in monetization, viability, and distribution, VisuWall takes advantage of an algorithm informed by location, visibility, size, and other attributes in order to determine pricing for each window – always looking to profit out of deploying rich, measurable advertising at eye level.

VisuWall’s proposition is perfectly timed, aligning with the closing of over 3,600 stores this year and an estimation that 20% to 25% of malls and other retail locations will close in the next five years, according to Credit Suisse. This gives VisuWall ample opportunity to enter the market with little to no competition.

 One other competitor that does exist in the business of utilizing empty spaces is Appear Here, vetting locations for pop up shops and claiming to be the world’s leading marketplace for retail space. While they do not offer marketing metrics like VisuWall, they could eventually compete to monetize these vacant window spaces since it is an adjacent business model.

1. Physical-to-Mobile – VisuWall is a physical-to-mobile ad platform that present vacant storefront windows to brands for in-window advertising in a simple, easy to use interface. Each VisuWall location provides brands with real time analytics on foot traffic and 1:1 mobile connectivity with consumers – something that truly has not been offered before.

2. Not only are metrics available to media buyers in easy formats, but their platform allows advertisers to reach out to consumers in unprecedented ways. Advertisers can place a static image in a window and through geofencing and branded app integration, can send a digital ad to mobile devices in the zone of the window.

3. The possibilities seem to be endless with VisuWall and the constant enhancement of their technology will open new doors in the merging of AI and traditional advertising.

4. Prominent Clients and Success Thus Far – VisuWall began generating revenue in 2017, with brands and advertisers paying for media campaigns, including the window license, costs for creative to be installed, and traffic reports.

With their setup, landlords pay next to nothing to earn incremental revenue – leading to a huge win for advertisers who can now take advantage of dormant locations as well as a win for VisuWall, earning quite the reputation by working with brands like Apple, Samsung, Google, Burberry, Harry’s, and more.

5. VisuWall is already active in NY and LA and is on the fast track to grow to 4 markets by the end of 2019, launching a new and improved version 2 based on feedback from their previous tech model.
6. Resilience of OOH – Contrary to popular assumption, even though there is a significant rise in digital advertising, traditional OOH still remains incredibly impactful and significant. According to Magna, net advertising sales have grown by 6.9% this year, with OOH actually growing 3%.

In fact, OOH advertising has had 8 consecutive years of quarterly year-over-year ad spending increases, predicted to grow from $9.65 billion to $11.5 billion in 2022, with a CAGR of 3.6%. Not only does OOH continue to experience steady growth, but the medium as a whole seems to be somewhat immune to consumption declines experienced by other mediums, leading in consumer receptivity at 46%, second only to cinema advertisement.

Kobi Wu, founder and CEO, has over 18 years of marketing and advertising experience – beginning in the music industry and working with brands to create meaningful connections with consumers, she has the skill set to promote a platform like VisuWall, designed to connect more consumers to campaigns while providing analytical insights into the effectiveness of a campaign at the same time.

Not only has she produced several consumer experience and content and media plans for brands like Nike, Spotify, and JetBlue, but she was also named the SVP of Strategy and Creative for Combs Enterprises.

Wu claims that the idea for VisuWall was informed by the experiences she has a had as a marketer, working with iconic and culturally important brands and cultivating the desire to help them effectively reach more consumers.’

Wu is not alone in her venture, helped by her co-founder and partner Kevin Tyng who is an angel investor and partner at Interplay. His operational insight is of great value in VisuWall’s growth and success.