Billboards are Back: How DOOH LED Displays Are Changing Everything

First: an anecdote. Did you know that Samsung designed and built the first outdoor LED billboard in the country? Yep, that was us, way back when we were still called YESCO Electronics. And now, almost 20 years later, digital billboards are making the comeback no one saw coming.

Just when the marketplace had all but written off billboards as outdated and irrelevant, they burst back to life with the explosion of digital. Now, as print, radio, and TV ads steadily fall, billboards are expected to grow into a $33B industry by 2021!

Companies are now wondering how to future-proof their out-of-home assets in the smartest way possible, asking questions like Which displays are proven to increase awareness? Enhance the customer experience? Drive revenue? Well, look no further, because next-generation LED displays are the future. Let me tell you why.

1. Reliability

Reliability has become the number one concern in the digital billboard industry, and with good reason. Because ultimately, every minute a display is down, its owners lose out on potential revenue. To increase reliability, manufacturers are introducing higher quality materials to build LED cabinets that can withstand both extended use and harsh elements. Cutting-edge cabinets feature aluminum construction with tight tolerances, precise alignment, and minimal gaps. 

But maximizing reliability isn’t only about introducing next-gen materials and superior manufacturing. It’s also about finding smart ways to minimize downtime when service may be necessary. For instance, Samsung provides on-board swappable individual LED components that can be quickly replaced and repaired more efficiently and cost-effectively than overly-sealed traditional modules. Can your digital display do that?

2.    Efficiency

As advertisers spend more, the pressure to maximize their return on investment is increasing, too. Across billboards, street furniture, and other urban fixture displays, developments in LED signage offer advertisers more efficiency than ever before. 

For one thing, buyers are drawn to the fact that, according to the US Small Business Administration, LED signage costs less than 10 percent per thousand impressions compared to ANY other advertising medium. Not to mention billboard companies benefit from the inherent technical efficiencies of LEDs—because the light emitted from diodes shines in a single direction, none of it is wasted. What’s more, is that LEDs lose virtually zero energy to heat. 

3. Programmatic Ad Buying

Not only are the technical capabilities of newer OOH displays themselves advancing in leaps and bounds, but the ad buying process that powers their content is, too. Over the past few years, programmatic ad buying has become an industry-standard because it eliminates much of the busywork of buying ad slots. 

Media owners make ad space inventory available in an auction-based marketplace at the individual impression level. Buyers can then use something called a Demand Side Platform (DSP) to automatically evaluate and bid on inventory in real-time, based on criteria like audience, price, and more. Long story short, it’s working. In 2018, the Digital Place Based Advertising Association (DPAA) estimated that the programmatic digital out of home spend was about $75 million. 

Ultimately, the digitization of billboards transforms an age-old communication medium into yet another modern-day screen — equipped with all the audience-building opportunities that marketers and advertisers use on platforms like Facebook and Instagram. 

This second generation of LED displays is leading the revolution. The first LED billboards were installed in the early 2000s, and many are ready to be replaced with new technology. We’re now seeing a wave of companies replacing their first LED boards, plus a growing number of first-time installs. And in terms of digital displays, LED technology is leading the way. 

To learn more about how a digital billboard can transform your advertising revenue, be sure to download our free guide on trends in LED billboards. You can also reach out to me personally or email [email protected] to speak with one of our experts.