There are many Highway billboard signs at the entry points to Kelowna; however, there are very compelling reasons why we can expect higher billboard rates in the future. It is really a matter of supply.
Firstly the number of signs will gradually decline. We predict at least one half of all the signs in West Kelowna will disappear to development over the next 10 years. Traditionally, billboards have been placed almost exclusively on native lands. There are now much more favorable leasing possibilities on these lands and this will spell the elimination of many existing signs to make way for development.
Secondly, Kelowna billboard rates are currently just 5% to 10% of the cost of larger markets such as Toronto or Seattle. If you’re selling Rolex watches there is a unique value to a metropolitan market. Tim Horton’s customers however are the same everywhere but Billboard rates to reach them vary drastically across the country.
Thirdly, growth in the local economy means higher traffic counts and a larger number of advertisers wanting space.
Fourthly, the industry at large is based on traffic counts. Kelowna currently has the lowest rates in the country when based on the cost / impression (motorist). Rates will more accurately reflect traffic volumes ( and will rise) as limited availability becomes an issue.
And finally, there is a steady increase in the number of National advertisers wanting a presence in Kelowna and a shrinking supply of billboards. The result will be higher prices.
Book your space early and negotiate a renewal term. This will guarantee you a fixed rate and the well located space that you want. It costs you nothing to be on the waiting list for the best billboard space.
By Jim Wannop