Market Research

Nigerian SMEs and

Digital Billboard
Advertising
Ayilara Abdulqowiyyu, February 2023.
 Table of Contents

1. Introduction 7. Opportunities & Innovation

2. Methodology 8. Key findings
3. Market Overview 9. Market Entry
4. Target Audience Analysis 10. Key Takeaways
5. Market Segmentation 11. Recommendation
6. Competitor Landscape 12. Conclusion
13. References

1
 Introduction
A thriving industry in the heart of Nigeria, Lagos, is the advertising industry. Billions of Naira
are invested in this market because brands want to get ahead of the competition to be
seen and heard. This research presents a market study that identifies opportunities in LED
billboard advertisement targeted at Small and Medium Enterprises (SMEs) in Lagos.

The goal of this analysis was to understand the current state of the LED billboard
advertisement industry, including trends, competition, and customers demand to give us
better insight of the market landscape and identify any gaps that can be leveraged for
growth through surveys and interviews with SME owners and decision-makers.

The study also focused on identifying untapped opportunities in the market. This included
exploring new locations for billboard advertising, developing innovative advertising solutions,
and finding ways to better target the SME segment. Based on the findings of the market study,
recommendations on pricing, marketing, and customer service will be provided to meet the
unique need of the target market.

2
 Introduction(cont’d)
Overall, this study was an opportunity for us to gain a deeper
understanding of the LED billboard advertisement market and
develop a strategy that would allow us meet the needs of SMEs
in a more meaningful way. By leveraging the insights gained
from this market study, we can identify disruption opportunities
and help SMEs grow their businesses through effective and
affordable outdoor advertising.

3
 Research Objectives
Understand the Advertising Discover the potential opportunities
01 04
market and evaluate the for innovation in the Nigerian market
effectiveness of billboard
advertising in Lagos.

Test the available market to Assess the most preferred choice of

02 05
know the level of saturation advertising for SMEs in Nigeria and
and what opportunities exist. determine the factors required for
conversion.

Understand the limitations To examine the laws and regulations

03 06
SMEs face with billboard governing billboard advertising usage
advertising. in Lagos State.

14
 Research Questions
To what extent is billboard What innovative advertising solutions
01 04
advertising effective for could be developed to better serve
reaching target audiences the needs of the Nigerian market,
in Lagos? particularly SMEs?

What is the current level of What are the most preferred advertising
02 05
saturation in the Lagos channels for SMEs in Nigeria, and what
advertising market, and factors influence their decision-making
what are the potential growth when choosing an advertising format?
opportunities for new
advertising solutions?
Survey Questions -
What are the key limitations https://shorturl.at/kqzLS
03
that prevent SMEs from
Interview Transcripts -
effectively utilizing billboard
https://shorturl.at/hyBU0
advertising in Lagos?

5
 Methodology
Overview Data Collection Sample Size and Selection
The study aimed to understand Quantitative data was collected in The total achieved sample was 119
the current challenges faced by real-time through field work and respondents, 50 respondents from SMEs
SMEs in advertising on billboards online surveys using Google Forms and 69 respondents from the general
and identify ways to overcome to generate and collect the data. public. Respondents were selected
them. Additionally,the study aimed Qualitative data was gotten threw through random sampling technique.
to assess the potential impact and in-depth interviews and open-ended The margin of error for the total sample
effectiveness of an app-based surveys with ARCON, LASAA, billboard of SMEs is +/-13.5% with a confidence level
billboard advertising solution for agencies, billboard owners and of 95%. The margin error for the total
SMEs in Lagos State. billboard suppliers. Secondary data sample of the general public is +/- 11.5%.
was gotten from online research. The major criteria for choosing eligible
participants are; brands with an annual
income of 5M to 100M and brands willing
Data Pre-Processing Data Analysis to advertise in Lagos.
The collected surveys were pre- The results of surveys were visualized
processed to remove any irrelevant using charts and tables to provide a Limitations
information and special characters. clear and easy-to-understand
representation of the data. Data was Lack of accurate secondary data

analyzed using descriptive statistics, concerning the billboard industry in

while Interviews were recorded and Nigeria and the potential for non-

transcribed. response bias, as only those who

choose to participate in the survey
are included in the analysis.

6
 Scope

The study was limited to Lagos state, Nigeria.

7
 Market Overview
This infographic charts the revenue flow and growth of the Lagos
billboard industry since 2019. In 2019, the industry generated
approximately $91 million. However, by 2020, revenue skyrocketed
to over $200 million, reflecting a significant year-over-year increase.

Revenue in the billboard Projected growth from

market as at 2020. 2023 - 2027

$200m AS AT 2020

3-6% 3-6%

8
 Target Audience Analysis SMEs
DEMOG RA PHI C A NA LYSI S

44%

Male Female

56%
25-30 31-35 36-40 40>

SMEs owners by Gender SMEs owners by Age

Count of Gender for Female was 25-30 had the highest count of age,
higher than Male. Female accounted followed by 31-35. 36-45 and 46 and above
for 56% of the total respondents. had the same count of respondents.

9
 Target Audience Analysis SMEs
DE MO GRAP HIC ANALYSIS

Ikeja Ikeja Kosofe Ikorodu

80%
70%
70%

60%

50%
6
Surulere
5 4 40%

30%
15
Amuwo Ifako-Ijaye Lagos-island
24%
20%
Lagos mainland 1 1
2 Oshodi Shomolu 10% 6%
Ibeju Lekki

7 6 1 1 1
0%
5-10M 10--50M 50M>

Breakdown of SMEs by local government Estimated annual income of SMEs.

Responses were gathered from 12 70% of the SMEs earn 5 -10 million annually,
areas local governments in Lagos. with 32% being Fashion/Beauty stores. The
business categories that earn above 50
million is Real estate, Event and Fashion/
beauty. Tech brands and Fashion/beauty
are the only categories to earn between
10-50 million annually.

10
 Target Audience Analysis SMEs
AD V E R TI S I NG T R EN D S

Have you advertised on an Top 4 Business categories interest in

LED billboard before? advertising on LED billboards.

Fashion/Beauty

Tech

Food

Electronics
100%

0% 20% 40% 60% 80% 100%

No No Yes

None of the SMEs have ever Fashion/Beauty shows the highest

advertised on an LED billboard number of interest in advertising on
before. an LED billboard.

11
 Target Audience Analysis SMEs
AD V E RTI S I NG T R EN D S

Amount spent by business categories Medium of advertising utilized

on advertising per year. the most.

Fashion 5 16 21 43
Catering 7 7 Social media
40
Tech 2 5 7 Referrals
Elecronics 1 1 2
Email marketing
Logistics 2
Real esta.. 1 1 30 Radio
Constru.. 1 1
Traditional marketing
Content.. 1 1
Digital.. 1 1 20
Event 1 1
Fitness 1 1
Gadgets 1 1 10
Gift items 1 1 500,000 - 1M NGN
Photgra.. 1 1 3
Less than 500,000 NGN 2 1 1
Shoe m.. 1 1
0
Forex Tr.. 1 1
Social Referals Email Radio Traditional
0 5 10 15 20 media marketing marketing

Fashion/Beauty, Tech, logistics and This shows that the most preferred method
Electricals are the business categories of advertising with SMEs is social media
hat spend between 500,000-1 million as opposed to other standard advertising
annually on adverts. methods. This is very much expected due to
the size and affordability of these businesses.

12
 Target Audience Analysis SMEs
AD V E RTI S I NG T R EN D S

Smes desired LED billboard Maximum payable amount for

advertising location in Lagos. a LED Billboard ad.
25%
100,000 22%

500,000 18%
20%
200,000 14%

1 Million 12%

AMOUNT
15%
300,000 12%
SMES

50,000 6%

10%
2 Million 4%

30,000 4%
5%
1.3 Million 2%

1.5 Million 2%
22% 20% 18% 14% 10% 10% 2% 2%
0%
Ikoyi Link Third Allen Ahmadu Computer Alausa, Eko 250,000 2%
Lekki
Bridge Mainland Phase 1 Roundabout, Bello Village, Ikeja Bridge
Ikeja Way, VI Ikeja 4 Million 2%
Bridge
0% 5% 10% 15% 20%
LOCATION
SMES

The preferred locations for most SMES The maximum amount that majority of
for LED billboard advertising are Ikoyi, brands are comfortable paying for a
VI, Lekki and Ikeja, believing the most billboard is 100,000 NGN. Only 28% of
traction will be made at those locations. brands are willing to pay 1 ,000,00 NGN
and above for a billboard ad in their
desired locations.
13
 Target Audience Analysis SMEs
AD V E RTI S I NG T R EN D S

Type of advertising smes want to try out in future

Billboard Advertising 28%

Influencer Marketing 14%

ADVERTISING TYPE

Social Media Marketing 10%

A lot of brands would love to try out

Email Marketing 4%
billboard advertising, others have their
BRT Advertising 2%
eyes set on influencer marketing and
social media marketing.
Google Ads 2%

TV Adverts 2%

0% 5% 10% 15% 20%

SMES

14
 Target Audience Analysis SMEs
AD V E R TI S I NG T R EN D S

Billboard ad schedule preference When asked to choose between 24 hours (one-day)

billboard advertisement and 2-minute-a-day LED
billboard ad for a month, most brands went for the
latter and not the former, even though the former
offers more display time for their brand. SMEs who
chose the latter prefer minimal constant advertisement
over a one-time intensive brand advertisement.

26% The 26% of SME owners that chose the former argue
that they will have more display time, reach a wider
audience, and cause top-of-the-mind awareness
64% at its finest. However, most brands prefer minute
steady visibility as opposed to more screen
time in a shorter time frame.

This gives us an idea of the kind of strategies to

leverage, if we should have short termed ads
packages that run for a day or even hours
(specifically peak period).

15
 Target Audience Analysis SMEs
BE HAV IO U R A L A NA L YS I S

Factors that influence their decision to Factors to consider if they were to

advertise on an LED billboard. adopt an LED billboard
33
35 16 16
31
15
30

12
25

10
20
16
14
15 13

10 5
3
5
1 1
1
0 0
Projection Location Conversion Demographic Visibility Cost Cost and Turn over Easy access Location Cost High traffic
traffic rate
reach

The data then tells us that many High traffic and Cost are a major factors
responses were more concerned about they would consider if they were to adopt
the prices of this method of advertising an LED billboard.
over the credibility and would make use
of it if it was much more affordable.

16
 Target Audience Analysis SMEs
BE HAV IO U R A L A NA L YS I S

More limitations to advertising on

LED billbooard.

While conducting this research, some

open-ended responses birthed more
limitations than indicated above. some
of which are; not economical,
operational costs exceeding budgets,
economic situations and others. These
also limit the consideration of billboard
advertisements.

17
 Target Audience Analysis SMEs
L E D BI L L B O A R D A DV ER T I S I N G EFFECT IV EN ESS

How effective will LED advertising be to your

business on a scale of 5, where 1 = Not effective
and 5 = Extremely effective.

20

19

15

12

10

6 8
5
5

1 2 3 4 5

With the audience proving their knowledge of billboards and at least coming in
contact with one a few times in their life, I wanted to find out how influenced their
purchasing decisions are based on the billboards they come across. The chart
denotes that the average buyer has equal influence from the billboard as it does
with other marketing strategies. So a level of influence and effectiveness is detected.

18
 Market Segmentation SMEs
OV E RV I EW

Industries Interested in Billboard advertising

The study sought to prove what SME industries

10%
were most inclined to use these digital billboards
20% and therefore align tactics to penetrate the
10%
market with these industries.

From the pie chart on the left, it shows that Real

20% estate had the most inclination towards using
30% billboards, closely followed by the infamous
fashion industry and construction industry.
10%
Real Estate Fashion Construction Beauty Automobile

19
 Competitor landscape SMEs

Table outlining reasons to effect the below methods of advertising.

Social Media Advertising Digital Billboard Advertising

Allows connections with those who need

Triggers search and purchase actions
service or products

Drives targeted traffic to your website or

Keeps campaigns fresh and alive
landing page

Low entry cost Powerful and reliable

20
 Competitor landscape SMEs

Why Social Media is preffered

Conducting this interview, many stakeholders

reiterated similar words as to why they had a
preference for the social media methods of
advertising, and a lot of it simmers down to
the ability to target an audience, thereby
knowing what to expect from running a
campaign. Many others declared the ease of
using the applications and the chance to
evaluate the desired metrics they need, unlike
general overview billboards produced at the
end of the contracted tenure.

21
 Opportunities and Innovations SMEs
MARK E T O V ER V I EW - DR I V ER S

Do you think it will get you awareness?

40 As simple as the question is, the

response clearly indicated the
target market’s trust in these
30
methods of advertising. This is
a major driver because it creates
space for such a technological
20
innovation to exist in the market
space.
10

0
Yes Maybe No

22
 Opportunities and Innovations SMEs
MARK E T O V ER V I EW - R ES T R AIN T S

Restraints on billboard advertising from interviews

Like with any innovation, there will be

restraints, limitations, and extracting
from the transcription. of the recorded
interviews, I was able to pick out the
most recurring restraints that may
inevitably cause the product to
fail In the marketplace.

23
 Opportunities and Innovations SMEs
IN N OV AT I V E T EC H N O L O G I ES

Technological innovation to break into the market

Following the prior conversations

on the opportunities and restraints,
these are the most describe
technologies that will inspire the use
of digital billboards in SME owners.

24
 Key Takeaways SMEs

70% of the respondents earn 86% of the respondents result

01 03
between 5-10 million naira to social media to advertise.
annually.

None of the respondents have Visibility and Cost are the major
02 04
ever advertised on an LED factors that influence their decision
billboard. to advert on an LED billboard.

25
 General Public Survey
D E M OG R A P H I C S

Age Gender
2(2.9%)

18-25
27 (39.13%)
27(39.13%) 26-35
39 (56.62%)
42 (60.87%) 36-45
46 and above

Male Female

Count of Gender for Female was higher 18-25 had the highest count of age,
than Male. Female accounted for 61% followed by 26-35. 36-45 and 46 and
of total repondents. above had the least count.

26
 General Public Survey
P S Y C OG RA P H I C S

Number of people that watch Number of people that watch adverts

adverts on LED billboards on LED billboards by age.

70 35
64
60 30
18-25
25
50 26-35

20 36-45
40
46 and above
15
30

10
20

5
10
5
0
18-25 26-35 18-25 26-35 36-45 46 and above
0
Yes No No Yes

With 92% of respondents reporting they 50% of the respondents that watch
notice advertisements on LED billboards, adverts are between the ages of
this suggests a high level of visibility 18-25 years, followed by 26-35 years.
and potential impact for advertisers.

27
 General Public Survey
P S Y C OG RA P H I C S

People that have purchased a product Number of people that have purchased a
they saw on an LED billboard. product they viewed on a billboard by Gender

42
40 40
Female

Male
30 30
27

20 20

10 10

0 0
No Yes No Yes

While LED billboards appear to be successful Among those who haven't bought a product
at grabbing attention (as suggested by after seeing an LED billboard ad, women
separate data), the statistic that 60% of represent a higher proportion (59%). This
respondents haven't purchased a product suggests potential differences in how men
advertised this way indicates a potential and women respond to LED billboard advertising.
gap between awareness and conversion.

28
 General Public Survey
BE HAV IOU R A L A NA L YS I S

People that purchased products they People that purchased products they
viewed on an LED billboard by Age viewed on an LED billboard by Gender.

Food 11 6
15
5
Beauty 3 1 1 Female

Male
Fintech 2 1
10

18-25
None 1 1
26-45 12
Data 1 5
46 and above
Fashion 1 5
3
2
Utilities (mosquito 0
1
repellents) Food Beauty Fintech None Data Fashion Utilities
(mosquito
0 5 10 15 repellent)

Food is the most purchased products by The women purchased mostly Food/Beauty
people between the ages of 18-35. products, while the men purchased food
and fintech services.

29
 General Public Survey
BE HAV IOU R A L A NA L YS I S

How long do you have to be exposed to an How often people view adverts on an
advert on an LED billboard before you get LED billboard.
familiar with it?

30 30
28
27
25 25 24

20 20
18 18
17
15 15

10 10
10
8
6 6
5 5

0 0
4 or more 3 2 1 1 2 4 or more 3

40% of the respondents claim they must While most respondents (73%) notice LED
be exposed to an advert four times or billboard ads, the low frequency of viewing
more before becoming familiar with it. (once or twice) suggests they might not
It shows that the average minimum of capture sustained attention or leave a
exposure to adverts is two times. lasting impression.

30
 General Public Survey
BE HAV IOU R A L A NA L YS I S

How often they view adverts on LED How often they view adverts on LED
billboards by Gender. billboards by Age.

22
100%

20 18-25
22%
80% 38%
46% 26-35
15 14
60% 36-45
11 11 46 and above
10
78%
40%
62%
54% 6

20% 5

2
1 1
0% 0
Often Rarely Always Often Rarely Always

Female Male

78% of the respondent reviews that they This data suggests that LED billboards
always watch adverts on LED billboards. resonate more with younger demographics.
While 18-25 year olds are active viewers,
those aged 26-35 are less likely to engage
with billboard advertisements.

31
 General Public Survey
BE HAV IOU R A L A NA L YS I S

How effective LED billboard is on a scale How much billboard advert influences purchase
of 5, where 1 = Not effective and on a scale of 5, where 1= Never and 5 = Alway
5 = Extremely effective.

12% 6% 3%

12% 13% 22%

33%

39% 23%

38%

1 2 3 4 5 1 2 3 4 5

LED billboards, though noticed by many LED billboards hold some sway over purchase
(73% find them somewhat effective), decisions, with 65% of respondents reporting
show potential for stronger impact as they are influenced at least sometimes, but a
nearly one-fifth (18%) consider them significant minority (22%) remains entirely
only slightly or not effective. un swayed.

32
 General Public Survey
BE HAV IOU R A L A NA L YS I S The age group of 46 and above would
never buy a product seen on a billboard.
People who would you buy a product However, 18-45 are receptive to purchasing
they saw on a billboard by Age. a product because they saw it on a billboard.

Maybe 58% 39% 3%

Yes 57% 40% 3%

No 33% 33% 33%

0% 20% 40% 60% 80% 100%

18-25 26-35 36-45 46 and above

33
 Key Takeaways
Majority of the respondents that Over 70% of the respondents always
01 04
view billboards regularly are watch LED billboards.
between the ages of 18-35 years.

The age group, 18-45 are more Majority of the respondents have
02 05
receptive to purchasing a to be exposed to an advert 4 times
product/service they saw on the or more before they get familiar
billboard. with the product/service.

Majority of the respondents think

03
LED advertising is moderately
effective.

34
 Interview Transcript
Link to interview with Industry Experts:
https://shorturl.at/wBEPW

35
 Key Findings Interviews

Advertising on LED billboards doesn’t LASAA is the agency in charge of

01 04
necessarily increase product/service regulating billboard ownership in
purchases; instead, it amplifies top- Lagos State.
of-mind awareness.

Most industries promote their adverts The industries that can mostly afford
02 05
in their clients' environment, especially to advertise on LED screens are
around their head office. It gives them telecommunications, Finance, Gas
a sort of domination of that area. & petroleum, breweries and top
brands.

LED billboards are very expensive to There is a market for LED billboards as
03 06
manage and to own a billboard cost majority of the respondents would be
way much more. The cheapest LED interested in using it, however, the
billboard in Lagos cost 2-2.5 million cost to advertise is a major setback.
per month and could go as high as
20 million per month.
A static billboard coast about
07
300,000 per month.

36
 Market Entry Considerations
RE G UL AT O R Y O V ER V I EW

Before you can own Billboards in Lagos, you must register under the following
regulatory bodies - ARCON and LASAA. We will look at the requirements needed
to be accredited by ARCON and LASAA.

ARCON
The ADVERTISING REGULATORY COUNCIL Except for support service department, all
OF NIGERIA. All employees engaged in the heads of operational departments in the
practice of advertising and advertising organization must be registered practitioners
services must be registered and certified at a level not lower than Associate member,
to practice by APCON. arpa. However, for purposes of media
organizations, the Chief Executive Officer
For any organization to be licensed, the
does not need of necessity to be an advertising
CEO must be a registered practitioner at
practitioner. Facilities and staffing must be
the level of rpa. However, for local
considered adequate for the level of licensing.
organizations, under special consideration,
the licensing committee may accept
Associate registration, arpa.

37
 Market Entry Considerations ARCON

Advertising Practitioner
2 days course with ARCON
Studied Mass Communication, Get inducted
Every outdoor advertising
Graphics Design or Media & Marketing Receive Certificate
agency must have one in
+5yrs experience in advertising
the agency.

3-part diploma course with ARCON

Obtain Practice License
Have no marketing related 12 Courses, Duration-2 weeks
Application Fee - N50,000
qualifications Training- N425,000
Cost - N300,000 (renewable
every 3 years)

ARCON’s Process Flow

39
 Market Entry Considerations ARCON
AD MI N IS T R A T I V E R EQ U I R EM E N T

(a) Office Location

The office location of an agency applying for a Corporate License must be able to
earn respect for the profession and be easily accessible.

(b) Staffing
Chief Executive: He/she must be a registered member of ARCON and have a minimum
of three-year agency experience.
Head of Department: He/she must be a registered member of ARCON
Core Agency Staff: Evidence of ARCON registration of all staff of the agency must be
attached and verified.

(c) References
References will be obtained from:
1. A senior practitioner of a fellow status
2. A media owner of a reputable status
3. An advertiser/client of a reputable status

40
 Market Entry Considerations LASAA
RE G UL AT O R Y O V ER V I EW

Lagos State Signage & Advertisement Agency, responsible for regulating and
controlling outdoor advertising and signage displays in Lagos State.

S TE P S TO G ET A L A S A A C ER TIFICA T E

An expression of interest form (EOI).

Attach all necessary documents to the form
Pay a sum of N500,000 (Five Hundred
REQUIREMENTS
Thousand Naira only) as an Expression
A registered outdoor advertising
of interest fee.
agency with CAC as a business entity.
Go through the LASAA assessment of form
To present your 3-years tax clearance
/documents stages. certificate.
If you pass the assessment stage successfully, Evidence of technical expertise or
then you will be given a certificate and a permit competence.
bill to go ahead and erect your billboard.

41
 Market Entry Considerations LASAA
E R E C TIN G B I L L B O A R DS

It is the agency’s responsibility to look for a location to erect their billboards,

but they are expected to invite and pay a site inspection fee of N10,000 to
LASAA to come and inspect the location, give you the right of way measures.

As a practitioner under LASAA, you are expected to pay an annual fee. The
permit fee has to be renewed every year. It is the agency’s responsibility
to safeguard their billboards.

42
 Market Entry Considerations ARCON
AD V E R TI S I N G S T A NDA R DS P A N EL OF A R CON

Also known as the vetting department for ARCON. All categories of advertisements except
those of vacancies, notices, financial statements, goodwill messages, obituaries, and in
memoriam must obtain the vetting approval of the Advertising Standards Panel (ASP) for
such advertisements to be exposed in the media.

Vetting is the process of submitting advertisement materials for a formal and thorough
examination by the Advertising Standards Panel (ASP) prior to the granting of approval
or clearance for such materials to be publicized, aired, or printed.

All advertisements and sales promotions require pre-exposure vetting before publication
/screening. The stipulated time frame for obtaining approval is 2 weeks which will cost
N25,000. If an agency needs an advert to be vetted quicker than the stipulated time, e.g
he/she would be charged an additional fee of N250,000 for 8 hours (conditions apply).
It is a sanctionable offence to advertise, air or publish in the print, advertisements which
have not been approved by the ASP.

43
1
 Advertising Agencies FINDINGS

NEW CRYSTAL COMMUNICATIONS REGNOMEDIA

Office address: No 95A, Oduduwa Office address: 3A, Lalupon close off Keffi
crescent, GRA Ikeja street, Awolowo road, Ikoyi
Website: www.newcrystalcomm.com Website: www.regnomedia.com

BILLBOARD LOCATIONS BILLBOARD LOCATIONS

Lagos Island (Adeola Odeku, Lekki-Ikoyi, Lawma Loading Station
Eko Bridge, Balogun market) 4.5m per month
20m - 60m per year Alfred Rewane road, Ikoyi
1.5m - 5m per month 3m per month
950k - 1.2m per week Bisola Durosinmi Etti drive
opposite Dowen College
Lagos mainland (Festac link bridge, Ikeja,
3.5m per month
Maryland, Amuwo Odofin, Oworonshoki)
30m - 45m per year
2m - 4m per month
620k - 950k per week

44
 Conclusion
Stakeholder suggestions and recommendations

Streamlined billboard strategy

Cross-advertise

Programmatic advertising

Dynamic Ads

45
1
 Conclusion
Stakeholder suggestions / Limitations to Innovative technology

Non -flexibility of A personal Programmatic

regulatory bodies management advertising -
(inability to do system of the ARCON
real-timeAds) software

46
1
 Key Findings
BIG AND GROWING MARKET:
The market for LED billboards is sizeable and progressively getting bigger.
It is projected to grow between 3 to 6 percent in the next 5 years.
TOP BARRIERS AGAINST BILLBOARD ADVERTISING:
For many people, cost and Low Return on Investments (ROIs) are the top
barriers to SME owners having a billboard Ad placement.
EFFECTIVENESS:
LED billboard advertising are equally considered effective by SME owners
and Lagos residents.
FACTORS TO ADOPT BILLBOARD ADVERTISING:
The top factors that will encourage SME owners to adopt LED billboard
advertising are affordability, availability of a good location and ease of
use and access.
TEDIOUS REGULATIONS:
From licensing to vetting Ads to meet standards, to registering a billboard
advertising company and to staffing for the company, the regulations from
ARCON, LASAA and other regulatory bodies can be a tad bit stressful.

47
1
 Key Takeaways
SME owner analysis Stakeholder Analysis
SME owners are willing to make use Some Ad agencies already have some
of digital billboards as far as it is sort of technology like this, yet to be
affordable and It is able to meet open to the public due to some regulatory
their needs. An innovation that issues, but the disruption in the market will
breaks into the market will succeed. be welcomed and improve the capacity
advertising holds in the business budget.

Obstructions and limitations Innovations and technology

Some businesses may take time to Technology that is easy to use bypasses all
adopt these due to their different regulatory issues, produces desired results
strategies in place, and the economic /metrics/data and incorporates innovative
situation may cause operational costs ideas and measures will be feasible in the
to eat into the budget for advertising. market place.

48
 Recommendations
DIGITALISATION OF PROCESS:
SME owners can create/manage a billboard AD Campaign, set up Campaign
Objectives, set up an AD budget, set up a display schedule and target the
demographic of their choosing and get a recommendation of billboard
locations, select a billboard placement, and then upload their Ad media.

TRACK AD PERFORMANCE AND ROI METRICS:

SME owners can measure their AD Campaign impressions and other metrics
for effectiveness using an automated traffic counter. They can also do A/B
testing of their marketing campaigns to compare metrics. QR codes should
be included to advert copies, it creates a call to action.

DATA-DRIVEN RECOMMENDATIONS:
SME owners can have data-driven recommendations (based on their campaign
objectives, the performances of prior campaigns on that billboard, and peak
traffic hours) to tell you how well your ad campaign can perform.

49
 Recommendations
OFF-BILLBOARD CONSUMER EXPERIENCES:
The public (drivers or pedestrians) can revisit the ad experience they missed
on a web-accessible platform from the comfort of their devices, and with more
Call-to-actions that SME owners can add, e.g., Links, Phone Dial, Email, Barcode, etc.

EXTRA VALUES FOR CLIENT:

SME owners should be given more insights and tips to position their brand better
through blog posts and other mediums. Many other advertising companies do
not see it as important.

AUTOMATING APCON’S PROCESSES:

This includes auto-vetting the ADs content using APCON rules and auto-generating
/submitting a request letter for the client to APCON.

50
 Conclusion
In conclusion, this project on the market study for opportunities in
billboard advertisement targeted at SMEs is a crucial step in
ensuring the viability and success of the proposed business idea.

The comprehensive understanding of the market and the needs of

SMEs that is gained from this research will help us develop a targeted
strategy for offering billboard advertisement services and be
positioned for success in the market.

51
 Appendix

Survey Questions -
https://shorturl.at/kqzLS

Interview Transcripts -
https://shorturl.at/hyBU0

SMEs Details -
https://rb.gy/4q0m2n

Interview Transcripts -
https://shorturl.at/hyBU0

52
 References
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Available: https://www.statista.com/statistics/614932/nigeria-advertising-spendin
-medium/. [Accessed: 13-Feb-2023].

“Outdoor Industry to grow annually between 3-6% in five years, ” THISDAYLIVE. [Online].
Available: https://www.thisdaylive.com/index.php/2022/12/01/outdoor-industry-to-
grow-annually-between-3-6-in-five-years/amp/. [Accessed: 13-Feb-2023]

“Application form - LASAA.” [Online]. Available: http://www.lasaa.com/wp-content/

uploads/2012/06/APPLICATION-FORM-1STPARTY.pdf. [Accessed: 13-Feb-2023]

D. A. says: D. Awe, A. says: and Anonymous, “Billboard advertising in Nigeria: 6 things you
should always do first, ” Facebook, 22-Jan-2022. [Online]. Available: https://transpose
services.com/billboard-advertising-nigeria/. [Accessed: 13-Feb-2023]

G. Technologies, “Lassa, ” Lagos State Signage Advertisement Agency LASAA. [Online].

Available: http://www.lasaa.com/regulations/. [Accessed: 13-Feb-2023]

“Responsibilities:Lagos signage and Advertisement Agency (LASAA) - Lagos State

Government, ” Lagos. [Online]. Available: http://lasaa.lagosstate.gov.ng/responsibilities
-2/. [Accessed: 13-Feb-2023]

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