The US out of home advertising industry revenue was flat during the first nine months of 2008.
Total revenue for the nine months was accounting for $5.45 billion in advertising revenue and performing better than many other media segments. In the third quarter of the year, out of home fell six percent, accounting for $1.62 billion in total advertising expenditures.
“The out of home industry rests on a fundamentally sound foundation”, said Stephen Freitas, Chief Marketing Officer for the Outdoor Advertising Association of America. “During a recession, advertisers are looking for value and out of home advertising provides outstanding ‘bang for the buck’ in the media industry.”
American mobility habits continue to change. Consumers are in the out of home space more often and are more exposed to out of home advertising than in-home media options. Advertisers are recognising this trend, as shown by out of home’s performance outpacing that of the ad industry as a whole.
There are reasons for optimism in the out of home industry’s third quarter revenue performance. The restaurants category grew 17.5 percent driven primarily by fast food chains which have continued to invest heavily in out of home media. The Government, Politics & Organisations category increased 13.8 percent due to continued advertising among state lotteries and advertising leading up to the November election. The Media and Advertising category rose 10.8 percent due in large part to the fall television premiere season.
Revenue estimates include billboard, street furniture, transit, and alternative out of home media spending.
Outdoor Advertising Association of America
www.oaaa.org
