Digital OOH Forum: 2/3 of US networks have less than $1M revenues

April 14, 2011 by Dave Haynes

Well I was merrily watching the live stream from New York from the comfort of my armed mountain compound high above Lake Ontario when the feed went kablooey (sorry for the technical term). Hopefully somebody grabs a hammer and beats the appliance back into cooperation.

Before that happened, Patrick Quinn from PQ Media led things off and rattled through his 2010 findings on the size of the digital OOH landscape and how it is doing. If you follow this sector, these were the numbers he released a few weeks ago in Lost Wages.

What was interesting to hear is that based on Quinn’s analysis, the top 10 networks control 70% of the revenue and 2/3 of the networks out there right now crank less than $1 million in annual ad revenues. As you might expect, there will continue to be a LOT of consolidation if that’s the case for so many operators.  Sub $1 million is not  lot of annual operating capital, particularly after sales commissions and business taxes.

Typically, Quinn says when a medium hits a breakout point there are three to five companies that control 90 per cent of the revenue. He suggested it may be more than five dominant companies in this medium because of the number of defined verticals.

Oh, the feed is back!!!