Out-of-home advertising is one of the most effective ways to promote your product or service. By using OOH advertising, it is possible to increase brand awareness, sales, and loyalty.
There are several types of OOH advertising, with billboards being the most common. Despite this, some people worry about choosing this format because they believe it is too expensive. Occasionally, this might not be the case.
So, with this in mind, let’s discuss the cost of billboard advertising and what factors affect it.
How Much Does a Billboard Ad Cost?
There are several factors that affect the cost of billboard advertising, including location and whether it is a physical board or a digital one.
There is no doubt that paper billboards are generally more affordable than digital billboards, with prices ranging from $750 per month to $14,000 or more, depending on the market. The monthly cost of digital billboards ranges from $1,200 to over $15,000.
Additional Billboard Ad Costs to Consider
Displaying or placing a billboard ad will not be the only expense you’ll have to pay. A professional design, a copy, as well as materials will be necessary for the ad.
Below is a brief summary and overview of the other costs you may incur with billboard advertising:
Design
An eye-catching and attention-grabbing design is what will make your ad stand out. This means that it needs to be high quality and professional. So, if you don’t have the right skills or an in-house designer, you might have to hire one, which will cost you anywhere from $150 to $500 per hour, depending on whether you choose a freelancer or a billboard design agency.
Copy
It may also be necessary to provide a persuasive copy as part of the billboard advertisement in order to allow the audience to understand what you want to convey and persuade them to take certain actions. While it may seem like a simple task, it requires a lot of experience and research. This is why you might need to hire an advertising copywriter, whose rates range from $35 to $150 per hour.
Material
If you plan to show your ad on a paper billboard, you’ll also need to pay for the material. Specifically, Vinyl is the standard material used for physical billboard ads, and it costs about $1 to $1.50 per square foot.
Cost-Determining Factors for Billboard Ads
Billboard ads are rated according to three key factors:
Circulation
It is the amount of traffic passing by the billboard, derived from transportation authorities. Circulation does not consider whether passersby see your ad.
Demographics
A billboard’s demographics are a breakdown by age, gender, and income level of people who pass by the billboard. For instance, advertising to people with higher income levels will cost more.
Impressions
Impressions refer to the likelihood that an advertisement will be seen by a significant number of people. This figure is affected by factors like billboard size, visibility, and the speed at which people pass by the advertisement.
Billboard ads may or may not affect your finances depending on your availability. If you combine the right mix of factors aligning them with your budget, you can certainly take advantage of this type of advertising.
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