2021 Outdoor Advertising Spending Trends
Outdoor or out-of-home advertising (OOH) has a long history, dating back to circus posters and horse-drawn streetcar advertising in the mid-nineteenth century. Outdoor advertising has had a successful run since those early days, thanks to its relentless evolution to adapt to new markets, new formats, new technologies, and new opportunities. Over the last five years, OOH advertising has used creativity in all aspects of its business to help advertisers get their message out to a wider audience. Today’s OOH media is a diverse mix of mobile billboards, yard signs, digital displays, transit, and location-based media that surrounds consumers during the 70% of the day they spend away from home.
OOH advertising has resisted the downward trend in traditional advertising revenue for years. Over the last decade, OOH advertising revenue has increased by more than 23% to $6.4 billion. It is now on the verge of reaching a goal that would have seemed impossible years ago. According to GroupM, a media buying agency, OOH spending will surpass the cumulative total for newspapers and magazines by 2024, with annual growth ranging from 2.5% to 4%. Advertisers will spend more money on billboards, ground signs, bus shelter advertising, and other forms of outdoor advertising in three years than they will on the entire print industry.
The Growth of Outdoor Advertisements
The media economy in the United States is the largest in the world, and what happens in our country affects the rest of the world. So, it’s no wonder that outdoor ad revenues have been high for years. The Outdoor Advertising Association of America claims that spending on out-of-home advertising has increased for nine years in a row. It reached a record high of $8 billion in 2018, and final figures for 2019 are projected to be higher. For more than three dozen consecutive quarters, outdoor advertising has increased year over year.
Why is Outdoor Advertising Succeeding in Comparison to Traditional Media?
This trend has been fueled by a variety of factors, including:
- Improved Measurement: Advertisers want guarantees that their advertisements will be viewed by their target audience, just as they do with digital, where ad fraud is a major concern. OOH can provide that assurance.
- No Audience Decline: The outdoor audience has not dwindled. Your need to commute to work or go on road trips is unaffected by technological advancements.
- Affordability: In advertising, OOH has the most cost-effective reach at the lowest CPMs. The only channel that comes near is radio, which costs $3.38 to $8.65 per thousand impressions nationally.
- Creativity: OOH allows you to flex your imaginative side while also getting your message through to customers, which is a perfect combination.
Outlook for OOH Advertising
The outlook is excellent, as expected. One of the top three fastest-growing advertising media is OOH. The medium has shown its ability to adapt to the modern age, demonstrating a level of resiliency not seen in other conventional media industries, and its long-term viability is assured. Billboards are the oldest form of advertising, with a history dating back over 5,000 years. They appear to be thriving for the foreseeable future.
If you are looking for a company that prioritizes your marketing needs, Frontline Media Solutions is one you can trust. Mobile billboards, yard signs, sign walkers, ground signs, and other outdoor advertising services are available through Frontline Media Solutions. Our marketing strategies will capture your target market’s attention and provide them with a memorable experience that they will always associate with your brand.
