Clear Channel Outdoor Boss Says 2016 Will be a Digital 'tipping point' for Outdoor Advertising
Clear Channel is set to surpass a digital milestone in the UK this year according to forecasts which predict that it will generate more revenue from electronic advertising displays than traditional billboards and posters.
The outdoor advertising giant’s UK operations will generate more than 50 per cent of its revenues from digital displays this year, the first time that digital has surpassed other OOH advertising means.
The figure illustrates the huge leap which the company has made with its digital billboards. In 2015 its digital displays generated 30 per cent of its UK revenues and in 2009 this figure was just 2 per cent.
William Eccleshare, chief executive of Clear Channel’s operations outside of North America, described the shift as a “digital tipping point” and added that “It’s transformational in how we think about the business”.
The news is unsurprising given the rapid decline in the cost of electronic screens which outdoor media groups have been quick to capitalise on. According to Eccleshare a two square metre screen cost around $25,000 five years ago, however that number has dropped to just $5000.
Clear Channel’s rivals including JCDecaux and Exterion Media have shifted much of their OOH operations to digital which explains why digital screens have outperformed other traditional media such as newspapers and radio in recent years.
Clear Channel, which buys its digital displays from Amscreen, the company owned by British entrepreneur Lord Alan Sugar, has more than 7600 across 19 international markets and plans to install thousands more in the coming years
For the full story please visit http://www.thedrum.com/news/2016/05/16/clear-channel-outdoor-boss-says-2016-will-be-digital-tipping-point-outdoor