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LTA wraps up consolidated ad contract, first of a kind for entity

LTA wraps up consolidated ad contract, first of a kind for entity

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The Land Transport Authority (LTA) has appointed Stellar Experience, a subsidiary of SMRT Corporation, to manage and operate the advertising spaces owned by LTA, with an option to extend this appointment along with the contract. 

Through this, the agency is awarded a road assets Advertising Operator tender (AO) contract, and it covers the advertising spaces for LTA-owned bus and taxi shelters and approximately 120 pedestrian overhead bridges, pedestrian underpasses and covered linkways. Stellar Experience also oversees the commercial business for SMRT Corporation. 

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This appointment was awarded after a proposal pitch amongst four tenderers, which contributed seven proposals in total for evaluation. “Stellar experience submitted the strongest proposal overall, with a competitive bid of about SG$270m in concession fees,” said LTA in a statement. Proposals were evaluated on quality, ability to maintain the spaces based on the requirements set by LTA and the possibility of generating non-fare revenue from the spaces. 

The consolidated contract is the first that LTA has put together, and also covers the improvements, installation and upkeep of bus stop poles. Prior to this, the advertising spaces for bus and taxi shelters were part of separate AO contracts. 

According to LTA, the decision to combine both advertising concessions was done in sight to help the appointed AO to sell across multiple platforms with greater scale. LTA also projected that this decision will help boost revenue from its advertising and concession fees in the future. 

Prior to this, Clear Channel Singapore and JC Decaux Singapore were awarded the two separate advertising concession contracts, which are set to expire in December 2023 and March 2025 respectively.  Both AOs currently manage advertising and maintenance of around 4,000 bus shelters and 50 taxi shelters in Singapore.

Last year, LTA also closed its hunt for a social media agency, appointing Wild Advertising and Marketing to handle its social media duties. The appointment is said to be for 12 months, with the option to extend for another year. 

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