Outdoor boosts the bottom line for retailers
Outdoor advertising gives retailers a return on investment (ROI) comparable to TV’s and superior to that of online, according to new research in Britain.
A study by BrandScience for the Outdoor Advertising Association found that when a notional £1 is spent on outdoor advertising, a retailer can expect sales to increase by £3.57 – the same figure as for TV.
The equivalent investment in online would create uplift of only £2.23, and spending the pound on direct marketing would bring in an even smaller sum, although print remains the strongest of all media for retailers, with £1 of advertising expenditure increasing sales by £6.23.
BrandScience added that once production costs are taken into account, outdoor actually performs better than TV. However, it is likely that the difference would be less marked in the case of digital outdoor.
The firm analysed 400 case studies and extrapolated its figures on the bottom-line effect of advertising in different media from information on spend and sales uplift provided by media owners.
It also found that an outdoor element to a campaign appears to enhance the effectiveness of other media too. ROI on print advertising increased 34 percent when outdoor was added to the mix, and ROI on direct marketing grew 61 percent.
Categories particularly suited to the medium are telecom and travel advertising, said BrandScience, with outdoor beating both TV and overall top performer print in those areas.
Pictured is an outdoor ad for British retailer Marks & Spencer, on a JCDecaux site in London.
brandsciencenetwork.com
www.jcdecaux.co.uk
www.oaa.org.uk
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