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PepsiCo Tries DOOH

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In a first for PepsiCo, the food and beverage giant is expanding its marketing mix to include digital out-of-home media, signing a multi-year, multibrand agreement with Gas Station TV.

PepsiCo plans to promote several of its beverage brands at the gas pump including Pepsi, AMP Energy Drink, AMP Energy Juice and Brisk, as well as its recently launched Pepsi Refresh Project to award $20 million to ideas that will "refresh the world."

For Pepsi, the today's agreement with GSTV is part of the marketer's evolving strategy to expand its media mix to include alternative and new media, such as YouTube and Hulu.

GSTV, which reaches 21.3 million monthly motorists in 100 markets, per Nielsen, allows PepsiCo to better target consumers at the point of purchase.

"GSTV is a great example of a partner who is playing a vital role in helping us connect with our consumers in meaningful ways when they are most receptive to our messages," said Seth Kaufmann, director of media strategy and investment for PepsiCo North America Beverages. "It's an added bonus that they are closest to the moment of truth in a key strategic retail channel for us, ensuring our consumer connections translate into sales."

The pact with PepsiCo signals growing advertiser interest in place-based video ad networks, which are forecast to grow 8.8 percent this year to $1.6 billion, per PQ Media.

"With the definition of TV evolving, more effective options such as GSTV answer the inherent issues facing traditional at-home TV, such as DVR penetration and audience fragmentation," said David Leider, CEO of GSTV.

See also: "Q&A: Pepsi's Ana Maria Irazabal on 'Refresh Project' and More"