Billboards are a common sight along major highways the world over. Interestingly, all these are opportunities for companies to display what they have to offer to potential customers. According to Statista data, the use of billboard advertisements increased with the introduction of digital billboards. However, does the cost of this media measure up to the return on investment (ROI)?
Exploring Billboard Advertising Prices Across Various U.S. States
Billboard advertising remains one of the most powerful out-of-home (OOH) mediums for capturing a wide audience. However, the cost of billboard ads can vary significantly depending on location, influenced by factors like traffic flow, population density, and regional demand. In this blog, we’ll explore the differences in billboard advertising costs across various U.S. states, focusing on both high-cost and budget-friendly regions.
California: High Demand, High Prices
California is notorious for its steep advertising costs, particularly in bustling cities like Los Angeles and San Francisco. These areas are densely populated, and heavy traffic ensures prolonged exposure for billboards, making them highly coveted.
• Average Cost: In Los Angeles, prime billboard locations cost between $10,000 to $30,000 per month, while in smaller California cities, prices may range from $3,000 to $5,000 monthly.
• Why It’s Expensive: Heavy traffic, high footfall in iconic areas like Hollywood or Sunset Boulevard, and competition from big brands drive up costs in these high-demand spots.
New York: Premium Costs for Urban Exposure
New York, particularly New York City, stands as one of the priciest markets for billboard advertising. The famous Times Square, renowned for its high-visibility digital billboards, commands a premium for its unmatched exposure.
• Average Cost: In Times Square, billboards range from $30,000 to $50,000 per month, with digital displays potentially costing up to $1 million annually. By comparison, billboards in upstate New York or suburban areas like Long Island and Westchester cost between $5,000 and $10,000 per month.
• Why It’s Expensive: Times Square is one of the busiest pedestrian hubs in the world, with advertisers vying for the chance to showcase their messages to millions of residents and tourists daily.
Texas: Varied Pricing Based on City Size
Texas presents a broad spectrum of billboard advertising prices, depending on the city. Houston, Dallas, and Austin are major metro areas where billboard demand is strong.
• Average Cost: In Houston, billboard prices typically fall between $2,000 and $15,000 monthly, depending on the location. Smaller cities like San Antonio or El Paso tend to see rates closer to $1,500 to $5,000 per month.
• Why It’s Affordable in Some Areas: Texas’s vast size reduces competition in certain regions, while more densely populated cities like Dallas command higher prices due to traffic volume and local demand.
Florida: A Wide Range
Billboard costs in Florida vary significantly, with higher prices in cities like Miami, Orlando, and Tampa, while more affordable options exist in smaller cities or rural areas.
• Average Cost: In Miami, billboard prices range from $5,000 to $20,000 monthly, especially near tourist hotspots like South Beach. However, in smaller towns or along highways, costs can range from $1,500 to $4,000 per month.
• Why It’s Mixed: Tourist-heavy areas in Miami and Orlando inflate costs, while less densely populated regions along the I-95 corridor or near smaller towns offer more budget-conscious rates.
Billboard advertisements and visual pollution
In 2016, there were 368,239 billboards in the US. However, this number had fallen drastically by August 2019 to 342,306. Notably, there has been a steady decline in the number of billboards going up in the country since 2017. Ironically, the drop is happening at a period when billboard advertisers are touting the superior impressions generated by digital billboards. Impressions may not be the issue, but the issue is visual pollution.
In the US, incessantly flashing billboards crowding cities like New York and San Francisco are a visual blight. While the sight is mesmerizing to the eyeballs that they seek to excite, they are annoying and a bore. Interestingly, Americans are already working towards putting an end to the billboard menace in the country. Scenic America is a non-profit committed to eradicating the visual pollution coming from billboards. According to the organization’s tagline, it aims to protect and enhance the visual character of the US. Interestingly, the non-profit describes billboards as the “junk mail of the American highway.”
The anti-billboard movement is global. In 2007, the city of Sao Paulo passed the Clean City Law that banned erecting of billboards in the city. The law explicitly called out billboards (digital and traditional) as a form of visual pollution. Similarly, Chennai in India stopped companies from erecting billboards in the city. Similar moves are identifiable in Tehran, and some American states like Alaska, Hawaii, and Vermont.
Marketers Are Working With Alternative OOH Methods
In-hand-advertising has become a popular low-cost marketing strategy. Adzze is a leading in-hand-advertising media helping businesses to place their brand in the hand of the target consumer.
