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Billboard & Outdoor Advertising in the US Industry Market Research Report from IBISWorld Has Been Updated(PR Web Via Acquire Media NewsEdge) New York, NY (PRWEB) April 15, 2014 Over the five years to 2014, revenue for the Billboard and Outdoor Advertising industry is expected to rise at an average annual rate of 3.1% to $10.5 billion. Industry revenue is generated by the sale of advertisements on display faces, including billboards, public transit and street furniture. Demand ultimately stems from trends in consumer spending, making the industry sensitive to fluctuations in disposable income and retail sales. These factors help strengthen corporate profit, which influences demand for all forms of advertising. Therefore, the five-year rise is largely the result of key client industries increasing marketing budgets following the recession. As a result, revenue is expected to increase 4.6% in 2014. According to IBISWorld Industry Analyst Omar Khedr, "The industry faces competition from various advertising media." Billboards remain an attractive form of advertising, however, because of their ability to reach a mass market, a feat that is becoming more difficult to do as consumer markets fragment. Clients are increasingly requesting the measurement of impression, which estimates how wide of an audience a given advertisement will reach. This service is provided through the development of interactive displays. Other developments include digital displays, which will continue to increase revenue by improving visibility, occupancy and making target markets easier to reach. Lawmakers have attempted to limit the spread of digital displays and new billboard sites by restricting the size, location and content of display advertisements. "On the other hand, local governments also facilitate the sale of display sites through the tendering process, in which operators bid for the rights to advertise on transit vehicles and other public structures in return for a portion of advertising revenue or rent," says Khedr. In addition, many states are beginning to privatize their state logo signs services. These signs are placed at highway exits to direct traffic to food, lodging, and other services. As a result of a rise in advertising expenditure, rate increases and higher occupancy levels of available display, industry revenue is expected to rise at an average annual rate of 4.5% to $13.1 billion in the five years to 2019. Firms are anticipated to see a rise in demand as businesses increase their advertising efforts. Profitability is also expected to improve as firms increase rates and reap the benefits of high-margin digital displays. For more information, visit IBISWorld's Billboard & Outdoor Advertising in the US industry report page. Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189 IBISWorld industry Report Key Topics Billboard & Outdoor Advertising industry is composed of companies that create and design advertising materials for public display, including printed, painted or electronic displays. Operators may place the displays on billboards or panels as well as on or within transit vehicles, shopping malls, retail stores and other display structures or sites. Industry Performance Executive Summary Key External Drivers Current Performance Industry Outlook Industry Life Cycle Products & Markets Supply Chain Products & Services Major Markets Globalization & Trade Business Locations Competitive Landscape Market Share Concentration Key Success Factors Cost Structure Benchmarks Barriers to Entry Major Companies Operating Conditions Capital Intensity Key Statistics Industry Data Annual Change Key Ratios About IBISWorld Inc. Recognized as the nation's most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772. Read the full story at http://www.prweb.com/releases/2014/04/prweb11765010.htm (c) 2014 PRWEB.COM Newswire |