Readers comment on yesterday’s Creating Value by Building Static Billboards.
Kennedy Outdoor founder Richard Kennedy is all-in on static billboards.
A reader questions construction costs
You need to revise the construction costs for your ROI calculations on building statics. Just the steel for a 10*20 static is going to cost almost $27-28k these days. I just got a quote yesterday for a landed 12*24 at $29k. That doesn’t include installation, just the delivered cost of the welded up steel. Not even including sales tax. Easy $40k these days 🙁
Another reader says costs are higher:
…Please let me know who can install a 10×30 mono for $30,000? Material alone would be $25k last I checked.
And another reader agrees…
Which vendors can fab and install a 40’+ OAH, 14×48 monopole for $80,000?
Billboard Insider responds…
We should have clarified that costs for a 12′ by 20′ monopole can be as low as $30,000. We are aware of a midwest out of home company which is building two 12′ by 20′, two-sided steel monopoles this month for $30,000 each. Most of the work is being done in house. A 10.5′ by 36′ or 14′ by 48′ sign would cost more. We also expect that the trump tariffs will lead to a 10-30% increase in steel prices. If you are a domestic steel producer and your foreign competition just had to increase prices by 30% what would you do? We’ll write about tariffs and out of home costs tomorrow.
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Agree with Richard Kennedy🤗 retired from 30 years of working for an outdoor company and started my static billboard collection- having customers over 20 years- same price- their your fiends too- Very slow turnover. It’s not like milking cows with digital- go home and relax.
the static ones are definitely here to stay, or paper and paste as we call them in Scotland. I still do them and they are as popular now as digital easily. a lot of clients I speak to here prefer the 24 7 effect of a paper and paste, to a 6 second glimpse on a digital. all I’ve heard for the past 25 years I’ve been in the business is that, paper and paste will be gone in 5 years, then 5 years more then 5 years more. and now companies are fighting over them and building virgin panels over here. just goes to show you, they’re called classic for a reason.