Indoor advertising companies Newad and Zoom Media have swapped advertising networks, with the former acquiring Zoom’s restobar, campus, fashion, business, media and golf networks in exchange for Newad’s fitness establishments. Financial terms of the deal were not disclosed.
The two companies have been in discussions since spring, with both companies stating they are committed to facilitating the “optimal integration” of Zoom Media’s employees in Newad’s Toronto, Montreal, Vancouver, Calgary and Edmonton offices. Newad plans to maintain Zoom’s office in Quebec City.
The deal gives Newad the largest number of indoor ad faces in the country, with a total of 45,000 digital and static boards across 5,000 locations. The boards deliver more than 280 million monthly impressions.
Zoom CEO François de Gaspé Beaubien said the transaction bolsters his company’s leadership position in the fitness space. Zoom now operates 5,500 digital and static boards in more than 750 gyms, delivering 25 million monthly impressions.
Newad CEO Michael Reha called the transaction an “important step” in the evolution of the indoor advertising industry, saying it solidifies the missions of two companies that have shared common networks for 20 years.
“The transaction is materializing because we believe, now more than ever, that indoor advertising solutions, especially when it comes to new technologies and digital developments, constitute one of the most relevant and high-performing marketing tools [in] Canada’s advertising industry,” he said in a release.
Beaubien said advertisers have been looking to simplify their ad investments and purchasing processes for several years, and promised that ad campaigns across the respective networks will now have “more impact, enjoy greater coverage, and benefit from improved operational performance.”
The companies also plan to continue investing in digital advertising at an “accelerated pace” over the next few years. Newad currently operates nearly 2,000 digital screens, while Zoom delivers more than 15 million monthly impressions via 1,500 digital screens.
