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The Small Business Development Center of Hampton Roads, Inc. is the service provider of first choice for the region’s small business community. By offering free, confidential one-on-one business counseling, low-cost training, research through SBDCNet and referrals to top-flight service providers, we assist in maintaining and growing this vitally important segment of the region’s economy.

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Outdoor

The need to communicate a message in a split second to a viewer zooming by on the highway not only sharply limits the level of detail an outdoor ad can convey, but also results in relatively poor recall among viewers. Moreover, many consumers feel that billboards are ugly.

In an age of ever-increasing specialization, with media focusing on smaller and smaller slices of the population, outdoor advertising-particularly billboards – remains the champion of the generic and the all-inclusive. Far from a tightly targeted medium, outdoor is positioned as a way to reach large, undifferentiated audiences. And the industry is successful; the Outdoor Advertising Association of America reports estimated 1998 billboard revenues at over $2.33 billion, the sixth consecutive year of revenue growth.1

And the humble billboard itself has undergone a metamorphosis of sorts in the last several years. Advancements in billboard technology – including vinyl & computerized painting, three-dimensional effects, backlighting, digital & LED technology, computerized lighting and more-boost billboards’ ability to capture viewers’ attention. Movable message signs allow three different images or messages to show in succession on a single sign, greatly increasing potential revenue per sign.

Many think only of billboards when thinking of outdoor advertising. However, the category contains far more than just billboards. Other types of out-of-home advertising include signage on transit and bus shelters, airport and train stations, bus exterior ads, street furniture such as public benches, moving billboards, and more.

Of course, outdoor advertising has its drawbacks. The need to communicate a message in a split second to a viewer zooming by on the highway not only sharply limits the level of detail an outdoor ad can convey, but also results in relatively poor recall among viewers. Moreover, many consumers feel that billboards are ugly and only a few feel the signs are entertaining, according to research.

Another worrisome development for outdoor advertisers is the steady retreat of the tobacco industry, a former outdoor stalwart. How-ever, a huge explosion in so-called “dot-corn” advertising from Internet and e-com-merce firms has more than offset the losses.

Advantages Disadvantages
  1. Brevity: Outdoor advertising is effective for communicating short messages and simple ideas or concepts.
  2. Strategic Placement: Billboards can be placed at high-traffic areas or other strategic locations, while transit signs can be affixed to the backs and sides of buses, in bus stops, and in rail stations.
  3. Attention Grabbing: The combination of size, color, and illumination attracts attention.
  4. Low Cost: Outdoor’s cost-per-thou-sand is significantly lower than that of any other advertising medium – in some cases by a factor of ten or even twenty.
  5. Full-time Audience: Outdoor’s message appears year-round, 24 hours a day.
  6. Directional: Billboards can be used as directionals, pointing out the locations of a given business.
  1. Brevity: The very nature of outdoor advertising demands that the commercial message be brief and relatively simple. Therefore, it is difficult to communicate product details, competitive advantagtes, and specific consumer benefits.
  2. Limited Availability: Prime outdoor locations (in high-traffic areas) often are controlled by large, long-term advertisers. Construction of new billboards is restricted by costs, space availability, and rigid municipal codes and environmental regulations.
  3. Lack of Effective Measuring Tools:Unlike other advertising media, outdoor advertising has no truly reliable method to measure its effectiveness. There are a few studies extant, but they mostly apply to limited geographical areas and employ widely varying methodologies.
  4. Low Recall: Commuters behind the wheel and other potential customers are exposed very briefly to outdoor messages, minimizing message retention. Such adverse conditions as heavy traffic or bad weather also can limit message impact and recall.
  5. Ugly Image: Because of growing environmental concerns, many communities have either eliminated, reduced, or limited the volume and placement of outdoor advertising.
  6. Inflexible: Once your message is up, it generally stays up through the duration of the contract. Ads must be purchased an average of 28 days prior to showing to allow time for production and placement, which prohibits any corrections or additions that may result from changing business conditions.

 

hampton roads chamber of commerce thomas nelson community college small business association george mason university