Out-of-home advertising revenue in the US rose 4.6% in 2015 compared to the previous year, accounting for $7.3 billion, based on figures released today by the Outdoor Advertising Association of America [1], based in Washington, DC.
OOH spend was up 5.8% in the fourth quarter, compared to 2014. The revenue total marks an all-time high for OOH with 23 consecutive quarters of growth since the recession. 2015 revenue tops the previous historical high set in 2007.
“The new record-high revenue OOH achieved in 2015 proves advertisers recognize the medium’s value,“ says Nancy Fletcher, OAAA President & CEO. “OOH is the only form of traditional media, other than cable TV, posting continuous growth in a fragmented advertising market.”
Among the top revenue categories, those with the greatest growth increase in 2015 included: Miscellaneous Local Services & Amusements +9%; Retail +8 percent; Government, Politics and Organizations +6%; Automotive Dealers & Services +6%; and Financial +4%.
Of the top 100 OOH advertisers in 2015, 53 had increases in OOH spend equal or greater to the industry increase of 4.6%. Ranked in order of OOH spending, the top 10 advertisers in 2015 were: McDonalds, Apple, Verizon, Warner Bros Pictures, Metro PCS, Coca-Cola, Geico, Universal Pictures, Chase, and Samsung. McDonalds and Apple retained the top two positions for the third consecutive year.
The top 20 parent company advertisers included six from the technology sector: Apple, Deutsche Telekom AG, Verizon, AT&T, Google and Samsung. Among the top 100 OOH advertisers with the greatest spend increase for 2015 were: Amazon, Beats Store, Boost Mobile, Draft Kings, Epson, Ford, IBM, Lyft, Microsoft, Netflix, Planet Fitness, Sprint, T-Mobile, Verizon, and Yahoo. New to the top 100 list were Draft Kings, Epson, Lyft, and Yahoo.
“OOH’s ability to augment mobile, online, and social media efforts is one of the many reasons the industry posted strong growth with both local and national advertisers in 2015,” says Stephen Freitas, OAAA chief marketing officer. “The expansion of digital OOH formats provides advertisers with broader opportunities to engage with today’s mobile consumers. These factors are the foundation for the positive outlook media analysts are projecting for OOH over the next few years.”
OAAA issues full industry pro forma revenue estimates that include, but are not limited to, Miller Kaplan [2] and Kantar Media [3] (which is not adjusted to reflect changes in data sources), and member company affidavits. Revenue estimates include digital and static billboard, street furniture, transit, and alternative OOH (which includes digital place-based video and cinema.
OAAA is the national trade association for the OOH advertising industry. Founded in 1891, the association represents more than 90% of the US OOH industry based on revenues. OAAA is dedicated to leading and uniting a responsible OOH industry committed to serving advertisers, consumers, and communities. The OOH industry generates more than $7 billion annually in ad revenues and donates more than $450 million in space each year.