"Although primarily fueled by advertising revenue, PrivateAd was developed to encompass multiple venues, most notably the health care industry," Pierzga said.

In less than three months, Private Ad has established a base of more than 50 customers, though restaurants and gyms are the primary end users.

A scrolling marquee on the bottom of the screen informs customers of dinner specials, upcoming entertainment, promotional events, happy hours and essentially anything the business wants to input from a modified computer.

"One day about nine years ago I was standing in the bathroom at the Cat's Meow thinking about absolutely nothing when it hit me," Pierzga said.

"If there was a way to put a television in restrooms and other places where people are just standing around, why couldn't I find a way to direct messages to them?"

Pierzga met last week with Diane Bomberger, Community Hospital's director of community relations, to explore how the device could be used to help patients, doctors and medical students.

Pierzga said he is close to making a deal to install PrivateAd in waiting rooms throughout the new Community Hospital of Lititz.

"They feel this is a progressive way to keep the medical staff's identities out in public," Pierzga said. "It's a perfect fit for doctors, who wouldn't normally feel comfortable advertising, and patients seeking specific medical treatment."

The relatively simplistic device personalizes television through a link with a Boston Web site. PrivateAd allows end users to morph virtually anything from the Net with local messages around regular TV programming.

The patent-pending process, developed by Pierzga and Michael Fry, the dean of computer science at Lebanon Valley College, took three years to design and link to the Internet.

The prototype system allowed users to advertise on a television screen using the Internet but required incredible computer processing speed. Bulky monitors also made the product impractical in the most desirable locations, Pierzga said.

"That all changed when LCD monitors dropped from $3,000 to about $400 and computer processing speeds multiplied," he said.

The process requires a computer with a two-gigabyte hard drive and a high-end video card, but it works with analog, digital, cable, high definition and satellite signals.

Since it is linked to a Web-hosting service in Boston, the computer must be dedicated to the process and cannot be used for other applications.

To stimulate interest, Pierzga gave the first 10 end-users the product for free -- initial users including D&S Brasserie, Roadhouse Cafe, Symposium, Scooters and The Cat's Meow.

Customers, such as the Brasserie and Roadhouse Cafe, have PrivateAd monitors around the bar and in the bathrooms, which bombard captive audiences with messages from the scrolling marquee.

"The bathroom monitor is the best bang for the buck," Pierzga said. "The novelty of having a television in the bathroom alone is impressive. But people there are a blank slate, and since they can't go anywhere, they're going to get the message."

While many may find the technology intrusive and even creepy, it is growing quickly. Electronic advertisers attempt to curry favor in elevators, taxis, stores, movie theaters and restrooms. For instance, Captive Network Inc., Westford, Mass., has placed 4,200 flat screen monitors showing ads in 400 office building in the U.S. and Canada.

Brasserie owner Steve Kirkessner said the product has outperformed other promotional devices he has used.

"We've used bulletin boards, flyers and calendars on the tables to promote specials and events, but they have limited effectiveness," Kirkessner said. "This single device can connect to a room full of people at the same time and at the right time."

Pierzga, the former owner PDG Group Inc. of Lititz, is selective about where he places the device. Businesses must be in operation for at least two years, have annual revenues of at least $250,000 per year and have 3,000 patrons per week.

Besides the marquee, PrivateAd divides the television screen's right side into three sections; regular television programming is reduced to 70 percent of its normal size.

"The process does not violate FCC rules because it doesn't manipulate the screen. It remains the same ratio, and we do not distort the sound," Pierzga said.

Frank Haveman, PrivateAd's sales manager, left a lucrative position to join PrivateAD, as will vice president of operations Ed Ferderbar, currently an executive with an international corporation.

"I got on board because it's brand new and no one else is doing it," Ferderbar said. "Everyone we talk to loves it; it is a tremendous opportunity for a business."

Haveman said PrivateAd faces the challenge of educating customers about "white space."

"White space is any area in a retail facility where people have to wait patiently for a product or service," Haveman said. "Some people call this concept "downtime.' Industry advertising professionals see it as a pot of gold."

Pierzga said utilizing white space is successful because it engages willing targets.

"It's that 45-minute wait at your favorite eatery; you have no other option but to wait your turn," Pierzga said. "It's standing in an elevator with nothing else to do but stare straight ahead. It's in the bathroom -- from a male's perspective -- staring straight ahead at a blank wall while doing your business."

PrivateAd, which rejects liquor, tobacco and vulgar advertisements, inked its first national account in May, signing the Fuddruckers restaurants in Lancaster and Hershey.

Pierzga's lofty goals include expanding to the Harrisburg, Reading and York markets this summer .

"We expect to be national in two years and hopefully go public within four."

blog comments powered by Disqus