The investing into an outdoor billboard business is easier than most might think it is. For some they go in partners on the purchase of a billboard while other goes it alone. Either way this move will place an investor in the longest continuous advertising business sector where passive income has be continuously generated.
When thinking about outdoor billboards most get an image of the large advertisements they see on the side of the highways across America. In standard nomenclature for Out-of-Home advertising this is a bulletin billboard.
The bulletin billboard is the main source or backbone to many outdoor billboard businesses, but they are not the only source of income. There are also advertising on public transportation and taxis along with a category called street furniture. Other branches of revenue potential for an outdoor billboard business can also include mobile advertising and guerrilla tactics.
The purchasing or leasing of the first bulletin billboard is the initial step into this business sector. The cost of the billboard will be determined by its type and most importantly its location. The higher the traffic numbers passing by the billboard, the more it will costs. In a rural setting a billboard can be purchased for as little as $5,000 while on Sunset Strip in California it is over $1 million.
Working with the City
What most investors do not realize is that outdoor billboard businesses must have some sort of working relationship with the local municipality. This all begins with the purchasing of permits, but can lead to advertising at bus stops on the shelters and benches or even on the busses and light rail trains.
The renting of public land as a source of income for the municipality can also be beneficial to the billboard business with the posting of posters or bulletin boards. Best of all with this type of location the business owner will never have any issues with the permit because the city is making a profit and they will want it to continue.
A branch of advertising that is growing in popularity is the mobile ad. This makes it possible for the target audience to be reached no matter where they are located. The ad can be mounted on a truck bed, on a trailer that is towed by a truck or even a small trailer fitted to a bicycle.
This makes it possible to go to a venue like a ball park or even the beach if the target audience is located there for who desires to send them a message. Another use of this type of advertising is for sales at department stores or other types of merchants that wish to draw in a crowd.
The use of outdoor billboards effectively is accomplished by getting the attention of the public in a manner that is not insulting or disturbing so the effect will be positive. This will make your business popular with the local merchants.
By investing in an outdoor billboard business you will establish a passive revenue stream that will continue to grow as you put in more effort and resources into it.