Outdoor Facts & Figures
In 2005, advertisers spent $6.3 billion (up 8%) on outdoor advertising.
The definition of outdoor has changed dramatically as the industry has developed new outdoor media formats in response to the needs of advertisers.
Four Major Product Categories
Historical Outdoor Expenditures (PDF)
Number of Outdoor Displays/Vehicles
Top 10 Outdoor Advertising Categories
Top 20 Outdoor Brands
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Outdoor (Top 50 Markets) |
Men 18+
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Women 18+
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Adults
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8-Sheet Poster 350 Weekly GRPs |
$1.77
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$2.19
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$0.98
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30-Sheet Poster 350 Weekly GRPs |
$2.61
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$3.28
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$1.45
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Rotary Bulletin 70 Weekly GRPs |
$6.72
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$8.51
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$3.76
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Transit Shelter 350 Weekly GRPs |
$2.07
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$2.60
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$1.15
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Perm. Bulletin 70 Weekly GRPs |
$7.88
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$9.91
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$4.39
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Radio
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:30 network
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$8.75
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$7.75
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——–
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:30 spot
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$10.45
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$9.65
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——–
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Magazines
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Newsweeklies (4-color page) |
$10.30
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——–
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——–
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Newspapers
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Dailies (1/3 page black & white) |
$22.05
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$21.15
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——–
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TV
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:30 prime-time network
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$22.55
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$18.10
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——–
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:30 prime-time spot
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$30.80
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$24.31
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——–
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Source: Media Dynamics, Inc. - TV Dimensions 2003 (Courtesy of O.A.A.A.) |
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Thinking of Radio, Magazines, Newspapers, or TV/Cable? Pull out the wallet…
WHY OUTDOOR WORKS:
Outdoor can create high awareness levels among primary audiences.
TOTAL REACH – Outdoor is the most
universal of all advertising media, exposed
to virtually everyone who goes out of the
house to work, shop or play. Outdoor provides
broad, fast market reach.
HIGH FREQUENCY – Because of its
continuous presence, outdoor is capable of
producing frequency levels unmatched by
any other medium.
CONSTANT EXPOSURE – Outdoor delivers
your message over and over, every day of the month.
FLEXIBILITY – You can replace your outdoor
advertising in locations reaching everyone
coming into or leaving your specific market
area. You can pinpoint your prime marketing
areas exactly.
LOW COST PER THOUSAND – No other
advertising medium reaches as many people, as
often .
IMPACT – Outdoor advertising’s large
physical characteristics create greater visual
impact on your audience. Outdoor is big,
bold and colorful.
THE LAST WORD – Outdoor advertising is
the final reminder of your product or service;
it’s the point of sell before the point-of-sale.
Outdoor advertising bridges the gap between
the in-home message and the out-of-home
purchase. And the advantage of the “last
word” is never more evident than when it
comes to last-minute, impulse buying.
Outdoors’ audience advantages are more
than reach and frequency. They also
include a qualitative audience that is more
desirable to most advertisers.
The more automobiles people have and the
more they drive them, the more upscale their
demographic situations.
Therefore, people who see a lot of outdoor
advertising tend to be younger, wealthier
and better educated than those who don’t.
The younger and more affluent a person is,
the less likely he or she is to view much
television .
This fact is also brought out by S M R B .
While a typical #100 GRP showing reaches
an average of 88 percent of all adults, it
reaches still higher percentages of upscale
prospects .
89% OF ADULTS 18 TO 34 YEARS OLD
90% OF ADULTS WHO ATTEND COLLEGE
93% OF ADULTS IN PROFESSIONAL OCCUPAT I O N S
Outdoors’ cost efficiency is similarly
unrivaled. Outdoor costs less per thousand
viewers, or per GRP, than any other medium.
And this is true for every market , large
and small.
As a broad example of media cost comparisons,
outdoor delivers :
Approximately 3.3 times as many prospect
impressions per dollar than radio.
More than 3 times as many prospect
impressions per dollar than television.
More than 6.6 times as many prospect
impressions per dollar than newspapers.
More than 5.5 times as many prospect
impressions per dollar than magazines.
And 10.3 times more impressions than the
cost of direct mail.
S O U RCE: OAAA Marketing 1997
BULLETINS / WALLS/ DIGITAL VIDEO BOARDS
BENEFITS
1. Provide a larger-than-life message.
2. Creativity makes them dramatic.
3. Deliver high impact and allow an
affordable long-term presence in a market .
4. Enhance image and generate
top-of-mind awareness for the client.
UNIT-OF-SALE
The unit-of-sale for the 14′ x 48′ or 10’ 6”
x 36′ bulletin is normally one or more units.
Rotary units are moved to different locations
every two months to assure coverage in a
market. Permanent bulletins remain stationary.
CONTRACT PERIOD
Customarily sold on a 4-8-12-month
basis. Flash bulletins are available at a premium .
DISTRIBUTION
Bulletins are situated at highly visible,
high-traffic locations, such as near primary eateries,
major intersections and shopping centers.
REACH
Moved from one heavily traveled area
to another, bulletins attain high reach for
an advertiser.
FREQUENCY
Rotary bulletins remain in one location for
at least two months at a time, thus delivering
high frequency in that area. As the bulletin is
rotated throughout the market, frequency
builds for the entire population.
PRODUCTION
Bulletins, depending on quantity
desired, can be computer painted, screened ,
lithographed or hand painted.
Mechanical art work, scaled to one-half inch,
should be provided at least 45 days in advance .
Printed or computer-painted bulletins should be
supplied by the advertiser/client at least 15 days
in advance .
Outdoor advertising signs are everywhere. Is the use of outdoor advertising, interstate outdoor advertising and outdoor billboard advertising really effective? The outdoor advertising companies wanted to know the same thing. In 1999 The Outdoor Advertising Association of America, Inc. commissioned a study to measure how consumers observe and react to outdoor advertising.
The goal of the study was to determine the attention given to outdoor media. A very unique method was used in this study. Special Shopper Visionä eyeglasses were used to document the ‘actual’ seeing experience of a passenger’s perspective. These tests were conducted in the Los Angeles and New York areas. In the year 2000 they conducted another test in the Minneapolis metro area. They found that after testing several hundred passengers that the results of each market shared striking similarities.
· 70% of boards within the passengers’ field of vision were examined.
· Of this group, 63% of outdoor billboards are likely to be read.
· Passengers age 18-34 were likely to take in more outdoor visuals
· Passengers age 35-49 were more likely to read outdoor advertising copy.
· 26% of respondents state that the outdoor advertising observed would influence their purchase decision.
· Women were more likely to read outdoor advertising but men were more likely to be influenced by the outdoor advertising they read.
· 66% of Hispanics examined the billboards.
· 58% of those billboards were likely to be read.
· 26% of Hispanics stated their purchases would be influenced by billboards.
Some of the primary reasons that billboards were remembered were:
· Bright/cheerful colors 30%
· Uniqueness (movement/extensions) 26%
· The color ‘yellow’ 18%
· Catchy/clever/cute/humorous 14%
· Personal relevance 14%
· Familiarity/repeat exposure 12%
· Product illustration 12%
To read the whole article please go to http://www.oaaa.org/images/upload/research/200324847362083611150.pdf
From this report it is clear that ¾ of those traveling in car will view and read Outdoor advertising signs. This will help you in determining how much of your advertising budget should be spent in the great outdoors.
Compelling Reasons To Use OOH Advertising:
1. Consumers are more difficult to reach
Your target is on the move…audiences are becoming increasingly more difficult to reach with other media. The targeted ability of Out of Home gives the advertising immediacy while customers travel to their destinations.
2. Clear focus and long visibility
Out of Home typically can’t function well trying to communicate too many messages, compared to print or radio. Therefore, you are able to target in on the most specific message for the situation…Next Exit, Over 100 Rooms, Best Show…to highlight your core appeal. Its 24 hour presence cannot be ignored.
3. Cost efficiency
In the industry there is a term, Vicious Circle of Advertising (VCA), which means: Radio, TV, Phone Book, Direct Mail, and Out of Home, all of which are within that circle of advertising that makes you unavoidable to your prospective customer. However, all these media come with a cost. That leads us to the third compelling reason to use OOH.
Cost Per Thousand (CPM)
Media Cost
CPM = —————————
Gross Impressions
To get your CPM, divide your gross impressions (total number of viewers) by 1000 (M) and then divide your total cost of advertising purchase by that number.
Any medium added to your media mix will help you create that VCA, or some would say your reach and frequency; however, OOH does so to a greater degree due to its low CPM or Cost Per Thousand…What is your cost per thousand of advertising exposure opportunities? You can calculate it using the above formula
and discover quickly that using outdoor is very efficient.
Example:
Highway Billboard
Average Daily Traffic Count = 18,500
Monthly rate: $1,500
Calculate CPM
18,500 x 30 = 555,000 viewings
Thus, $1500/555 = CPM of $2.70
After going through this calculation process, you might be saying to yourself, “What is the big deal, so it’s under $3.00 per thousand exposure opportunities!” It is a big deal when you compare that Highway Billboard CPM to the
National Advertising Market.
Average CPM - Adults 18+ Top 100 Markets
• Rotary Bulletins $3.90
• Radio :60 drive-time $5.92
• Magazine 4/C Page $9.14
• Television :30 prime-time network $18.90
• Newspaper 1/4 page b/w $11.03
•Sight: Communicates with
the dramatic impact of size
and color — big, bold and
hard to ignore.
• Targeting Ability: Able to
reach your entire target mar-
ket while eliminating waste
circulation.
• Reach: You can’t beat out-
door for the sheer size of the
audience.
• Editorial Environment: In
outdoor, the medium is the
message, encased in a beau-
tiful framework, wherever you
want it to be.
• Efficiency: With the lowest cost
per thousand of any media, out-
door has always been, and still
is, the best buy.
• Effectiveness: Outdoor sells
constantly and rapidly builds and
maintains brand awareness.
• Adaptability: With a variety of
format options, outdoor can be
customized to fit every adver-
tiser’s needs.
• Speed: It is quick and easy to
plan and place your billboard
ads.
• Ease of Access: The planning,
buying and tracking of your
campaign is now easier than
ever, thanks to recent technol-
ogy advances.
• Cost: Compared to other mar-
keting vehicles, billboards are a
relatively low-cost method of
advertising. Outdoor advertising
has the lowest CPM of all other
types of media offering more
bang for your buck.
Courtesy of Magic Media Inc.
