• by John Gaffney , June 6, 2003

For Steven Freitas it's outdoor advertising season. His Outdoor Advertising Association of America has just put out first quarter revenue results and this week opens its annual convention in Washington D.C. Chief marketing officer Freitas says his business is ready to shake the doldrums that have hit the entire ad industry.

"We had a decent Q1 but what we're hearing from the bigger companies is that we're starting to see a real turnaround in the business," he says. "The Viacoms and Clear Channels are looking at good numbers for Q2 and Q3. And we're also starting to see a lot better growth on a national level. Locally, we've always been fine. But nationally, we're seeing a big bounce."

The "decent Q1" Freitas refers to reflected in the most recent quarterly revenue report which shows significant gains in the categories of Local Services & Amusement, Financial, and Automotive. First quarter netted out at $1.2 billion, up 2.3% versus first quarter 2002.

Outdoor media performance fluctuated across the top ten advertising categories with Local Services & Amusements, the number one spender, remaining strong with 10.1% growth. The biggest gain came in the automotive category which registered an impressive 58.7% rise compared to the previous year. Financial also posted a large increase up 19.3%. Insurance & Real Estate (7.4%), Automotive Accessories (6.1%), and Media & Advertising (6.0%) all reported strong gains.

The largest decline continued in the Telecommunications category, which dropped 10.4%. Restaurants, Retail, and Public Transportation, Hotels & Resorts were all down approximately 4%.

The biggest issue facing the industry continues to be measurement. It will be a big issue at this week's annual convention. Both Nielsen and Arbitron will present results from tests they have been conducting in several major markets to more closely measure outdoor ads and their affect on consumers. Also, the Traffic Audit Bureau will present information about expanding its services to show more proof of performance for outdoor ads.

However, the best card the OAAA may have to play this year could come from McDonald's. The fast food giant, according to Freitas, is in the midst of the biggest outdoor campaign ever. It's goal was 100% reach and placed billboards in every US DMA. The campaign was launched for the restaurant's new Happy Meal, and Freitas is currently working with McDonald's to release results.