FOR IMMEDIATE RELEASE
June 8, 2006

Outdoor Ad Revenue Continues Growth Trend

Washington, D.C. - Outdoor advertising industry revenue sustained last year’s strong growth trend with an 8% increase in the first three months of 2006, accounting for $1.4 billion in total spending.

“The industry’s 8% growth last year has continued into 2006 and is again much higher than total ad industry growth, which grew 5.2% in the 1st quarter of this year,” said Stephen Freitas, chief marketing officer for the Outdoor Advertising Association of America. “Indications are that the growth trend will continue into the 2nd quarter and through the summer months.”

Outdoor media performance was up in eight of the top 10 advertising categories for the first quarter of this year. As in 2005, the Communications Category again posted a 30% gain, with over 20 national brands increasing their out of home spending more than 50%. Many first-time advertisers also accounted for the category increase.

The Insurance and Real Estate Category grew substantially, with a 26% increase over the previous year, stimulated by insurance companies responding to press coverage following Hurricane Katrina and the other natural disasters that impacted the country last year. On a national level, the slowdown of the real estate marketplace, with new homes and resales taking considerably longer to sell, has stimulated more ad spending.

The greatest spending was in the Local Services and Amusements Category, which grew 15.2% in the first quarter. The Public Transportation, Hotels, and Resorts Category grew 12.5% while the Retail Category was up 10.2%. There were also increases in the Financial Category (7.7%), Restaurants Category (4.3%), and the Media and Advertising Category (0.5%).

The OAAA is the largest trade association representing the outdoor advertising industry. It is dedicated to leading and uniting a responsible outdoor advertising industry that is committed to serving the needs of consumers, advertisers and the public. The OAAA’s nearly 1,000 member companies generate more than $6.3 billion annually in ad revenues, representing more than 90% of industry income, and donate space to charitable organizations in excess of $350 million each year.

The OAAA issues full industry revenue estimates that include, but are not limited to, CMR’s data on billboards, member company affidavits, and media projections based on a mix of recognized national syndicated data sources.

OAAA (Outdoor Advertising Assoc. of America)
1850 M Street, NW
Washington, DC 20036
Phone: 202-833-5566
E-Mail: mhurt@oaaa.org
Website URL: www.oaaa.org