Out of home (OOH) advertising industry revenue jumped 3.6% in Q2 2010 when compared with the same period in 2009, according to figures released by the Outdoor Advertising Association of America (OAAA).
June Performance Boosts Quarter
Q2 2010 OOH ad revenues in the US totaled $1.88 billion. The 3.6% improvement from Q2 2009 marks the industry’s largest year-over-year gain since 2008. Particularly strong June 2010 performance (up 7.1% from June 2009) helped drive the increase for the entire quarter and may serve a positive sign for Q3 2010 results.
Misc. Services Leading Category
The miscellaneous services/amusements category produced $310.6 million of revenue in Q2 2010, up 4.9% from $296.2 million in Q2 2009. It led all categories with 16.8% of total OOH ad revenue.
Miscellaneous services/amusements produced close to double the revenues of both public transportation, resorts and hotels, and restaurants, which tied for second with $161.9 million in revenue (8.6% of total). Transportation revenue actually declined 2.1% from $161.3 million a year earlier, while restaurant revenue grew 0.1% from $161.7 million.
Media and advertising, ranked fourth overall, had the highest year-over-year revenue increase (19.2%), growing from $132.6 million to $158.1 million. Media and advertising accounted for 8.4% of revenue.
Insurance/Real Estate Posts Biggest Decline
The biggest decrease was registered by the insurance and real estate category, which dropped 16.5%, from $121.7 million to $101.6 million in quarterly revenue. It accounted for 5.4% of total revenue and placed eighth among categories.
There was little change in the ranking of categories, with the top three remaining the same. No category fell more than two spots or climbed more than one spot, and no category in the 2010 top 10 revenue list was a new entrant from the previous year.
First Half Results Similar
Overall, results from the first half of 2010 compared to the first half of 2009 trended similar to Q2 2010 results compared to Q2 2009. Total OOH ad revenues grew 1.8% to $3.2 billion. Miscellaneous services/amusements ranked first with %540.8 million in revenue, 16.9% of the total and up 3.6% year-over-year.
Public transportation/hotels/restaurants represented a slightly higher percentage of total revenue (9.2%), but retail took third place with $275.2 million in revenue, 8.6% of the total and up 4.2% from the first half of 2009. Restaurants came in fifth place with 8.2% of total revenue. Once again, insurance and real estate had the highest rate of year-over-year revenue decline (14.9%). All first half categories were identical to Q2 categories, with generally similar place rankings.
OOH Spending Fails to Slide in Q1
Out-of-home spending remained essentially flat in Q1 2010, according to previous data from Kantar Media and the Outdoor Advertising Association of America.
