A business installing billboards in a city format can be a very successful idea. City format (roller skates) is a popular way of advertising on busy city streets. Such structures are also called billboards, but their dimensions are very modest - 1.2 x 1.8 m.
Due to the fact that billboards are installed in places with high traffic (as a rule, near bus stops), advertisers are willing to rent such places. The city-format design is quite durable. Its basis is a three-dimensional frame framed by a steel or aluminum profile. The front and back sides are covered with plexiglass or cast polycarbonate. A light source is installed between the posters to illuminate the advertisement at night. It is also not uncommon for a city format design to include a scrolling mechanism, which allows you to “broadcast” up to four advertising messages from different advertisers.
How much can you earn from billboards?
The cost of advertising space depends on the location of the billboard. On average, a month of placement costs the customer 20,000 rubles. Approximately 1,500 rub. it costs 7,000 rubles to print the poster. to develop the layout. The entrepreneur's income ranges from 30 to 50% of the proceeds. Costs are primarily related to land rent, labor costs, fuel and lubricants and taxes. From one billboard it costs from 7,000 to 10,000 rubles. Accordingly, from 15 shields the potential income is about 105,000 - 150,000 rubles. per month. Provided, of course, that all advertising spaces are occupied by regular advertisers.
What exactly are we talking about? What is outdoor advertising
The term “outdoor advertising” refers to any advertising information that is placed in open areas or on the surfaces (usually walls) of buildings and structures. Sometimes the types of outdoor advertising include not only street elements, but also banners and screens inside large shopping centers, but this point causes a lot of controversy.
The main advantages of the main types of outdoor advertising are:
- wide audience coverage;
- compatibility with other advertising media;
- comparative unobtrusiveness;
- low cost per contact for long-term campaigns.
The disadvantages of this type of marketing include very short communication time (no more than 7 seconds per person), as well as the overall high cost of services. The latter makes outdoor advertising unprofitable for short-term campaigns. But a lot depends on the type of accommodation chosen.
Step-by-step plan for starting a billboard business
The main difficulty when starting a business on billboards is to obtain permission to install a billboard in the location of interest. Depending on the type of property, you will have to contact either the private owner or the state. For example, if a city format is planned to be installed on the territory of a shopping center, then you should contact the administration of the shopping center to rent a space. If you plan to install the shield in a park, square or near a bus stop, then to conclude a lease agreement you must contact the city administration (KUGI).
Some nuances of billboard business
- Advertising areas. After monitoring the advertising market, we can identify segments that differ in cost of placement. In cities, especially megacities, you can see areas where citizens of different income levels live. It is necessary to take these features into account, especially when writing a business plan and placing billboards.
- Orientations in legislation are the basis of business. Due to rapidly changing legislation, the development of billboards requires constant consultation with qualified lawyers. Some types of goods are not allowed to be advertised in public places; there is a risk of making false or unethical advertisements. Knowledge of legal subtleties will help you avoid misunderstandings with regulatory authorities.
- How to choose an effective billboard type. Technological progress does not stand still; advertising production technologies are constantly updated. Keeping up with changes is an urgent need. Today, dynamic billboards and billboards with a 3D effect are actively gaining popularity. You must not only understand the new products in the advertising market yourself, but also be able to offer them as innovative and effective to clients, point out their potential for increasing attention to the product, and, consequently, increasing profits.
- We carry out the project. Involve designers and advertising specialists who are well versed in professional technologies to create billboards. This will make it possible to produce high-quality advertising that meets all the requirements for this type of product, and high-quality materials will maintain the attractive appearance of the billboard even in adverse weather conditions.
- Price selection strategy. Of course, the goal of any business is to make a profit. But when entering and gaining a foothold in the market, you can set prices below the market average. With a creative approach to advertising and high-quality execution of orders, you will gain a good reputation, and with it the opportunity to raise prices in the future.
- Is it worth spending money on insurance? Definitely yes. Many will think that these are unnecessary expenses, but there are many unpleasant accidents in business. There are risks of losing a billboard due to a natural disaster or vandalism. An accident may occur when the shield falls on a car or pedestrian. Insurance will compensate for lost funds and restore or maintain the business.
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Do I need permission to install billboards?
After the place is rented, you must obtain permission to install and operate the structure, which is also obtained from the city administration (architecture department). The development of an advertising structure can be ordered from a company engaged in the production of metal structures (metal frames). In addition, you will need to find a designer from whom you will order the development of the layout. Alternatively, you can negotiate for a certain percentage with an advertising agency. You can also work with them to attract clients.
Outdoor advertising installation services
If you coordinate and install advertising banners on your own or with the help of a team that does not have experience in such work, this can result in a loss of money and time. Entrust the installation of advertising structures of any complexity to professionals.
Due to the specifics of their profile, our specialists constantly monitor updates and changes in the regulatory framework regarding the installation of advertising structures. Hanging a banner on a roof or facade is quite difficult. There is no way to do this without the services of industrial climbers. Security depends not only on design, but also on implementation. Poor installation can lead to sagging of the canvas and its damage.
Our company regularly participates in tenders and competitions for the right to install in state or municipal buildings. We will help with advice on obtaining permission and install advertising structures so that your advertising looks decent and lasts for the entire period.
What equipment to choose for making outdoor advertising - city format
If you want to open your own business creating outdoor advertising in a city format, and you need to choose the necessary equipment, then first of all you should pay attention to what kind of advertising you want to create. The most popular are billboards and billboards. To manufacture such structures, first of all, you need to take care of a large room in which outdoor advertising will be created, and after that you need to additionally purchase the following elements for this process:
- industrial welding machines;
- cutting machines;
- mallets, drills and other tools;
- printing press for direct application of advertising;
- a van with a ladder, if anyone needs outdoor advertising installation services.
Risks and disadvantages of business
Of course, competition can significantly complicate the life of a newcomer in this field. But if the quality of your work remains at the proper level, then customers will recommend the company to their friends, and you will quickly gain regular clients.
In the future, you can expand the scale of production activities, increase the range of products offered, and purchase equipment for the production of neon signs. You can also provide services for installing billboards. To do this, you will have to expand your staff and hire professional climbers who will work at heights.
MOUNTAIN — Dahl's Explanatory Dictionary — Yandex.Dictionaries
Side or eel, and in relation to the road running along the slope: slope, ... mountains are called: ridge, ridge, ridge, chain; a fork, a dry mountain...
A billboard or billboard is an advertising structure, one of the types of outdoor advertising. Advertising boards are installed along highways, city streets, on the facades and on the roofs of buildings. Such advertising is in great demand among companies that need to make their product memorable and cement a trademark or brand in the minds of pedestrians and motorists. Billboards come in different designs: one-sided, two-sided and three-sided. The most common shield size is 3 x 6 meters.
Choosing an installation location
The value of a billboard location is determined by vehicular or pedestrian traffic. The larger it is, the higher the rental price will be. In this sense, the most promising places are the central streets of the city, access roads to and from cities, transport interchanges, places near popular objects (large shopping centers and entertainment complexes, airports and railway stations) and other places where there is traditionally a lot of traffic cars.
The hardest part is getting permission...
To start a business installing billboards, you will need to go through many administrative barriers. As some businessmen put it: “This business is profitable, but very corrupt.” It already has its own players and, most often, they have good administrative resources. The installation of a billboard must be preceded by many approvals and permitting procedures. But before going through the authorities, you need to register an individual entrepreneur or LLC. No one will talk to an ordinary individual. The first step is to visit the local administration and take from them a copy of the general plan of the city, on which you indicate the desired locations for installing shields. According to your application, land acquisition and determination of the boundaries of the site for installation of the structure must be carried out. All this costs money, and they will ask for it from the “pocket” of the entrepreneur. Further, according to the law, an auction will be required to grant the right to lease. And therein lies the main pitfall of business. The competition assumes that you are not the only one who can rent this plot of land. It turns out that you have organized everything, spent money, and a larger advertising network will come to the competition and win the lease. And you will be left with nothing. Okay, let's not talk about bad things. You won the competition, received the land, the main stage has been completed. Next, you should order a design for the shield design. This must be taken seriously, and such projects should only be undertaken by specialized organizations. The finished project must be approved by a number of authorities: housing and communal services, traffic police, city architecture, road workers, signalmen, and so on. There may be over 20 organizations in the slider with which it is necessary to coordinate the installation of the shield. All this requires a lot of time and effort, but without it there’s no way. Once all approvals are received, the architecture signs the document and gives permission to install the billboard. The final stage remains - to manufacture and install the billboard. According to the law, such work can only be carried out by construction companies that have SRO approval. That is, welding a structure in a garage and installing it with the help of two Tajiks will not be legal, although it will be several times cheaper. Manufacturing a shield structure in a construction company will cost between 100 and 150 thousand rubles. Here you can already start looking for advertisers and those companies that will print banners and install them.
Admission ticket
So how much money is spent on approvals, production and installation of one billboard? Experts give different numbers. In Moscow and the region, for example, the total cost of installing one switchboard (including the purchase of the structure, installation, approvals) is at least 1 million rubles. But you can rent it out for 70-80 thousand a month. In the regions, prices are significantly lower. Installing a shield there will cost 400 - 600 thousand rubles, however, it can be delivered for a smaller amount: from 10 - 30 thousand rubles. per month. You don’t start such a business with just one shield—at least with five. The total investment in the project, therefore, is at least 2 - 4 million rubles.
Other formats...
However, there is another way to organize such a business. This is the installation of advertising flags on lighting poles. The design format is small, about 0.8 x 1.2 m. Unlike traditional billboards, there is no need to knock out the ground, go through an auction and an incredible number of approvals. All that is needed is coordination with city power grids, architecture and the traffic police. The production and installation of such flags is much simpler and cheaper, and their total number can be limited only by the number of lighting poles in the city. One flag is rented out for an average of 500 rubles a month, and there can be more than two thousand of them. So consider it.
