Outdoor advertising in the states is outpacing all other media, with new figures from the Outdoor Advertising Association of America (OAAA) for Q2 2005 showing the medium to have reached revenues of $1.8 billion, an increase of 10.2% year on year.
According to the figures, industry revenue reached $3.2 billion for the first half of this year, enjoying a 7% increase from January to June.
However, the strong performance in outdoor adspend has come at the detriment of other media, with ad demand for magazines, radio and television declining.
The increasing popularity of online adspend has also taken away from traditional media spend, with research from online magazine, Direct finding that marketers are allotting 41% of marketing budgets to online channels this year, taking money away from traditional direct marketing channels. The survey found that marketers allocated 75% for the old channels last year, compared to just 59% this year (see Marketers Move Adspend Online).
Commenting on the OAAA’s figures, Derek White, executive vice president with Alloy Media + Marketing, an agency specialising in non-traditional media and marketing services said: “The first two quarters of the year were extremely strong, and the second half of the year is shaping up nicely as well.”
He continued: “That paired with the micro-segmentation of the market tends to be a good combination for us. I think the trend is going to continue for some time, and there’s a lot of room still to grow.”
Earlier this year, research from Mediaedge:cia predicted that OOH advertising would enjoy strong growth compared to online and broadcast rivals this year.
Mediaedge:cia revealed that out-of-home (OOH) media saw total advertising expenditure of $5.5 billion in the US during 2004, a massive increase of 91% over this last decade, forecasting the medium to continue the upward trend over the coming years (see Outdoor Advertising One Of The Fastest Growing Media).
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