Out-of-home advertising revenues grew by 2% year-over-year in Q1 2018 to reach $1.68 billion, reports the Outdoor Advertising Association of America (OAAA). The latest rise, while modest, represents the largest hike since Q4 2016, and marks 8 consecutive years of growth.
Large tech companies were among the top advertisers in out-of-home last year, and these brands retained strong influence during the first quarter.
For example, Apple ranked as the second-largest out-of-home advertiser for the quarter, behind only McDonald’s. The two brands led in overall 2017 spending, too.
Netflix, meanwhile, surged into the #4 spot as it doubled its out-of-home spend on a year-over-year basis. It was one of more than a quarter of the top 100 advertisers in out-of-home to double their spend from the year-earlier period. That list of advertisers includes LinkedIn, LogMeIn, and Zelle – each of which spent more in the first quarter than in any of the previous 5 years – and YouTube, among others.
These brands are capitalizing on out-of-home’s reach and effectiveness, per the OAAA report. It also doesn’t hurt that out-of-home advertising continues to be one of the ad types to which consumers are most receptive.
Meanwhile, certain categories grew their investments in out-of-home at a much faster rate than the overall average. Those included:
- Government, Politics & Organizations: +9.9%;
- Miscellaneous Local Services & Amusements: +8.8%;
- Insurance & Real Estate: +8.4%; and
- Financial: +8.3%.
About the Data: OAAA notes that it “issues full industry pro forma revenue estimates that include, but are not limited to, Miller Kaplan and Kantar Media (which is not adjusted to reflect changes in data sources), and member company affidavits. Revenue estimates include digital and static billboard, street furniture, transit, place-based, and cinema advertising.”