News & Events

News & Events

Outdoor Revenues Rise in 2013

By Erik Sass, MediaDailyNews

Total out-of-home advertising revenue increased in the fourth quarter of 2013, as well as the full year, according to the latest figures from the Outdoor Advertising Association of America. In the fourth quarter, revenues were up 3.5% compared to the same period in 2013, while full-year revenues increased 4.2% to $6.9 billion.

Digital Billboard

This marks the 15th straight quarter of year-over-year growth for out-of-home revenues.
The biggest categories in terms of percent growth last year were restaurants, up 11%; insurance and real estate, up 9%; schools, camps and seminars, up 8%; miscellaneous services and amusements, up 6%; and retail, up 5%. Turning to individual companies, the biggest advertisers last year were, in order: McDonald’s, Apple, Verizon, AT&T, Warner Bros Pictures, Chase, Samsung, MetroPCS, Microsoft, and Citi.
One of the main factors contributing to out-of-home revenue growth is digital out-of-home video. 

Stephen Freitas, OAAA chief marketing officer, stated: “The continuous expansion of digital platforms across OOH formats further enhances the ways in which OOH efficiently delivers the advertisers’ message to the consumer in today’s increasingly fragmented media environment.”

Separately, a recent study from PQ Media found that global consumer exposure to digital out-of-home media increased 75% from eight minutes per week in 2007 to 14 minutes per week in 2013. According to PQ Media, key drivers of DOOH growth included consumers spending more time with media away from home; increased engagement with DOOH screens linked to wireless devices, longer work commutes, and more time devoted to leisure and shopping.

Turning to the future, PQ Media forecast that DOOH exposure is projected to increase at a compound annual growth rate of 8.6% in coming years, reaching 20 minutes per week in 2017, which, in turn, should fuel a 14.2% cumulative annual growth rate in DOOH revenues over the same period.

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