OOH posts ninth consecutive quarter of growth
Out-of-home advertising posted a year-on-year increase of 4%for the first quarter of 2012, making it the ninth consecutive quarter of growth for the sector, according to the Outdoor Media Association (OMA).
The January to March quarter for 2012 increased to $117.3 million, up from $112.9 million for the same period in 2011. However, although year-on-year growth was up, the results represent a decrease on the previous quarter, with $152 million in revenue taken between October and December 2011.
This decrease is natural for the first quarter of the year, says CEO of OMA, Charmaine Moldrich, as it is traditionally the smallest and follows the big summer and Christmas period of the last quarter of the year.
Based on year-on-year results, all categories across the sector performed well, according to the OMA. ‘Roadside billboards’ accounted for the largest portion of revenue, with $43.8 million, followed by ‘roadside – other’ at $43.0 million, transport at $19.3 million and retail at $11.1 million.
Moldrich believes OOH is in a good position, with growth being driven by new technology in OOH installations and the fact that it provides an always on alternative in a fragmented media market.
“We are in the enviable position of being on 24/7, delivering messages to mass audiences. This is making OOH increasingly relevant in today’s market where media channels are becoming more fragmented,” Moldrich says.
The industry ended 2011 with overall growth of 3.5% on 2010, to gross $494 million. Of the categories, ‘roadside – other’ was the highest grossing for the year, raking in 182.6 million, followed by ‘roadside – billboard’ at $170.3 million, transport at $75.3 million and retail at $65.4 million.
Pick up a copy of May’s Marketing magazine to see our feature on the out-of-home industry.