Out-of-home advertising slowed in first quarter, rising only 3 percent to $1.6 billion, according to figures released Thursday (June 12) by the Outdoor Advertising Association of America.
The gain is the lowest growth rate since the late 90s when the business began its seemingly unstoppable upward climb.
Still, the medium is holding up in the soft economy a lot better than many traditional media, especially newspapers and radio, which continue to decline.
Insurance and real estate, falling from the medium’s second largest category to the third, slashed spending in first quarter by 11.5 percent to $161.8 million. Other categories cutting ad spending included media and advertising (-0.5 percent), communications (-1.8 percent) and auto dealers and services (-4.1 percent).
Offsetting the declines public transportation, hotels and resorts increased spending by 6 percent, restaurants by 5.9 percent, retail by 5.7 percent and automotive, auto accessories and equipment by 1.6 percent.
The OAAA’s estimates cover billboard, street furniture, transit and alternative outdoor media spending and are based on a number sources including accountants Miller Kaplan, TNS Media Intelligence, member company affidavits and other syndicated data sources.