Digital billboards are the latest high-tech trend in advertising, but it begs a much more provocative question: is it worth it? First, let’s look at this from a straightforward angle. Billboard advertising has been around for almost a century now, and modern companies continue to invest in them. Digital billboards are relatively new, and the issue with these is that they’ve opened up businesses that rent the billboard space to an added stream of revenue by cycling through a set number of billboard ads over a period. In other words, if there are four ads on a single billboard, and the timer cycles through them at an equal rate giving the same amount of time to each ad, then these billboard advertisements are 25% as effective as the original paper billboards.
Yes, But They Cost Less
It’s true. It costs a lot less money, regarding designing and printing a massive sign, than it would cost only to design a digital version of the sign to be displayed on a billboard. But that’s just about where the savings end. Depending on where your company is, the billboard companies are charging you by the number of potential drivers they expect to be driving past your sign on a daily basis. That means larger markets cost more, and in large cities, you can expect to pay somewhere around $800,000 to get the kind of outreach they’re trying to sell. Now, this all makes a ton of sense for the folks that are selling the billboard space. But what about you?
It is Effective, But There Are Caveats
One of the major draws of a digital billboard is that you can change ads without reprinting an entirely new sign. That works for you as an ad space buyer. You want to be sure that you have exclusivity since you’re sharing space with potentially seven other companies. If you sell shoes, you want to be the only shoe store on the billboard. You want to be sure that’s in your contract. You may find it difficult to find a digital billboard within proximity of your store. On the other hand, it may make sense to target competitors’ districts, so that’s something to keep in mind. In the end, you don’t want to dump your entire marketing budget into digital billboards, but it can broaden your customer base if employed effectively.
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