There’s a rule of thumb in the out of home industry that billboard occupancy (sold out of home faces divided by total out of home faces) should be at least 80%.
If your occupancy rate is above 90% you may be leaving money on the table by pricing your inventory too low. If your occupancy rate is below 70% your either need a better sales effort or your plant may be over-priced.
Occupancy is cyclical. It increases during a healthy economy and declines during a recession.
Many small operators calculate their occupancy rate manually. If have lots or billboards or lots of digital faces, and use billboard management software from Apparatix, Billboard Planet or Signdash, occupancy data is tracked for you and shows up automatically on your dashboard.
How’s your occupancy rate? Take our anonymous poll below. We’ll run the results tomorrow.
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Occupancy above 90% would indicate rent prices are too low. I know you’re just checking to see if we’re paying attention!
Good catch