The outdoor billboard business is growing stronger by the day showing the power of this version of Out of Home advertising. While the traditional static billboards are nearly flat in sales for the past several years, the amount spent on digital billboards is growing.
The growth of outdoor billboards in 2017 was at 2.7%. In this same year digital advertising took the top spot from TV ads. The total amount spent annually on advertising worldwide was $31 billion. 7.6 billion of that was spent in the US. The market share of outdoor billboards in the advertising world is about 13% of most companies advertising budget.
It is true that the mobile then internet is now the preferred places for companies to advertise, but in third are outdoor billboards in terms of growth last year. They are ahead of advertising in theaters, TV, magazines and news papers, but more money is still spent on TV ads.
What makes outdoor billboards relevant is the number of daily views they receive each and every day. Unlike magazines and news papers that have to be purchased for people to see the ads, outdoor billboards are free to view, up and operating 24 hours a day.
With more thought going into just what ads should be in specific locations, the mass media approach of using outdoor billboards is changing. The fastest growing section is the digital outdoor billboard. With the ability to change the ads on average every 8 seconds, the target audience can change instantly attracting more attention by those passing by.
The determining factor into who should advertise where is by just who is passing by. The digital world advertises on billboards close to schools and shopping centers. Restaurants advertise near one of their locations on highways while car manufactures are everywhere on the freeways.
For the outdoor billboard owners, they rent on average 73% of their space to local business with 18% to promote national brands. 9% of the advertisements are for public service messages with a small percentage donated for causes determined by the billboard owners. By knowing this the placement of the billboards is easier so the target audiences can be attracted.
The posting of social messages are also growing in popularity. Just like the 4 Billboards of Wichita and the 3 billboards in the New York area. These are generally only short term like the ones in NY, but the income for that month for the billboard owner was $14,000. This is higher than the national average.
Starting out in the Out of Home advertising business sector all begins with the purchase of just one outdoor billboard. This type of business is almost assured to provide a steady stream of income now and into the future.
The power of the outdoor billboard business is still thriving in the digital era and does not look to be slowing down anytime soon. No matter how much the digital world expands, it will never replace the real world. Humans need the real world to live, eat, breathe and sleep.