Billboard Advertising: Strengths and Weaknesses

Topics: Advertising, Billboard, Out-of-home advertising Pages: 2 (636 words) Published: April 29, 2013
Question 1. Discuss the strengths and weaknesses of billboard advertising and make recommendations for the types of products and situations in which outdoor advertising should be used. STRENGTH:
Broad reach and high frequency levels - Billboards are effective in reaching virtually all segments of the population. The number of exposures is especially high when signs are strategically located in heavy traffic areas. Automobile advertisers are heavy users of outdoor media because they can reach huge numbers of potential purchasers with high frequency. The same can be said for telecommunications companies (such as AT&T, Verizon, and Cingular) and fast-food restaurants; Geographic flexibility - Outdoor advertising can be strategically positioned to supplement other advertising(e.g., TV, radio, and newspaper ads) in select geographic areas where advertising support is most needed. Low cost per thousand - The cost-per-thousand metric(abbreviated as CPM, where M is Roman numeral for 1,000) is literally the cost, on average, of exposing 1,000 people to an advertisement. Outdoor advertising is the least expensive advertising medium on a CPM basis. Brand identification is substantial - Because billboard ads are literally bigger than life. The ability to use large representations offers marketers excellent opportunities for brand and package identification. Also, billboard companies are becoming quite ingenious in designing billboards that attract viewers’ attention through the use of creative techniques and eye-catching visuals. Consider also a creative billboard ad for promoting Adidas soccer products in Japan. Outdoor media play a more prominent role in Japan than in countries such as the United States because the average resident in a city such as Tokyo has a 70-minute commute to work, which makes billboards and other outdoor media an attractive an relatively inexpensive way of reaching them. Last reminder before purchasing - This explains why restaurants and products...
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