How much does a digital billboard ad cost?

Advertising helps to keep the consumers informed about whatever products or services are available. It helps to spread awareness about products or services that are of use to the consumer and potential buyers. The main aim of advertising is to sell.

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What is Digital Advertising?

Advertising which uses the internet as a medium is termed Digital Advertising. Digital marketing can be categorised into Display Ads, Social Media Ads, Video Ads, Email Marketing etc. Nowadays, instead of using the conventional billboard to display an ad, the industry is moving towards digital billboards which are computer-controlled electronic displays with technological capabilities that are taking out-of-home advertising to a new level. 

Why Digital Advertising?

  • Digital advertising drives sales and brands experience a return of investment.
  • It is key to driving premium perception and motivate the customers to purchase the goods that are being displayed.
  • Digital advertising acts as a persuasion channel, and it is highly likely that people will recommend a particular product which was advertised digitally.
  • Digital advertising is the most efficient means of reaching an audience.
  • People nowadays spend most of the time watching TV or going online; hence digital marketing is essential to reaching an audience either through the tube or the internet.

Costs associated with Digital Advertising.

There are many different types of advertising models online, but most fall under the following three categories. Any advertisement that we see online today was paid for using one of these three;

1. Cost per Action: In this model, the advertiser only pays the publisher if someone clicks and completes a transaction. Here, all the risk falls on the publisher of the ad.

2. Pay Per Click: Here, the advertiser pays when someone clicks on the ad. It doesn’t matter whether this person who clicked on the ad purchases it or not. This is the most common type of online advertising. In this model, target keywords are essential.

3. Cost per Mile: Also known as Cost per thousand, where the advertiser pays depending upon the number of visitors to the website and the number of times an ad was seen on that website. If a site gets two million visitors per day, and the ad is viewed on 50% of those pages, then a CPM of $2 would be equal to $2000.

Digital Billboards


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A digital billboard is a billboard that displays digital content, be it images or video, that can be changed by a computer every few seconds. A digital billboard looks more like a computer screen, so people tend to see it. The screens are bright and slow motion, and you can have multiple things on the screen at once. Also, it is cheaper and better than print for environmental reasons.

There is one other reason as to why marketers use digital over traditional advertising, and the reason is that it is easier to make changes to the product and services that are being displayed. It also shows that the company is moving with the times. Digital billboards are very versatile, and you can put a variety of information onto them, including:

  • Text and Graphics.
  • Video and Flash with audio.
  • Event Schedules.
  • Interactive Directories.
  • Weather, news and Stock Updates.
  • Polls, Surveys and contests.

How much does a digital billboard cost?

The cost of a digital billboard depends on the display size. For example, if the size is 2’x8’, then the price is around $4,400, and if the size is 14’x48’, then it’s around $154,000. Cost of a digital billboard is calculated based on its location and the number of people that are going to see it. For instance, a billboard in Times Square costs between $1.1 million and $4 million a year. 

 How much does it cost to advertise on a digital billboard?

The cost of a digital billboard ad can range between $2,000 – $7,000 a week. The exact amount varies from digital billboard to digital billboard and is based on several factors, the most common of which being: Location – How many people will see the digital billboard every day?

The average cost per thousand for a regular billboard is $2.05 and $37.42 for an LED billboard. Billboards with LED’s are rented by minutes, and each ad is shown for 8 seconds. Some ads can cost as much as $50,000.00 for 2520 minutes (1.75 days) and as little as $1,200.00 for 648 minutes (0.45 days).

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  • THOMAS Deblois says:

    i would like to know more about selling ad space on a digital billboard

  • tracy matthews says:

    I want to know everything about billboard advertising

  • Kristie Ward says:

    I am looking at starting a billboard company

  • Jillian Baker says:

    CPM doesn’t stand for cost per mile. M is the roman numeral for 1000 and it means cost per thousand impressions.

  • Arish Rivers says:

    Hi Kristie, I’m curious about what type of capacity you’d like to operate in for your billboard company.

  • Arish Rivers says:

    Hi Thomas, if nobody has filled you in yet, I’d be happy to fill you in about selling ad space on a digital billboard

  • Sergio L says:

    I would like to know as much as possible as about running a billboard business.

  • Mark Choi says:

    It’s “Cost per Mille”

  • Daniel Okoronkwo says:

    How much will cost to buy a billboard and start up a billboard business

  • Oswald Mughongora says:

    I would like to know as much as possible as about running a billboard business. I am looking at starting a billboard company

  • James Hegwood says:

    we are renovating a retail building in a small town of 8800 people. it is on the busiest intersection in town which our states survey says averages over 14000 cars per day. for that reason i want to put in a video ad board, one facing each direction. i have a price on two 5′ x 9′ boards for about $30000. the closest video board i found was one an hour away in another town and when i called they said they get $20.00 per day for a 6 second ad that runs all day or $500.00 to rent one spot for the whole month. keeping there same pricing it seems like i could make up to $6000.00 a month in additional income. that seems like a great return. am i missing something? even at 50% capacity it seems like a great deal. and $20.00 a day seems like a great price. can you give me any insight or advice that might make me reconsider this approach.

  • Wesly Juerakhan says:

    I would like to know how i can price out indoor digital billboards. They will be set up in public accessible businesses with about 3000 foot traffic per day and about 10,000 on weekends. displays will be anywhere between 200″ and up. the content is of any digital form and can be submitted and updated remotely. I really need help on how to structure the pricing. I am just a technology guy. I have never been in sales. Thanks a bunch in advanced.

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