Aerial Advertising Procurement Category Market Research Report from IBISWorld Has Been Updated

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The average price for aerial advertising is forecast to continue rising over the three years to 2017 as the cost of aviation fuel remains volatile and demand continues to increase. For these reasons and to help procurement professionals make better buying decisions faster, business intelligence firm IBISWorld has updated a report on the procurement of Aerial Advertising in its growing collection of procurement category market research reports.

IBISWorld procurement market research
The price of aerial advertising is rising due to volatile aviation fuel costs and rising demand.

Aerial advertising has a buyer power score of 2.9 out of 5. This score reflects a buyer's low to moderate ability to negotiate lower prices due largely to the high number of suppliers and standardized nature of aerial advertising, according to IBISWorld research analyst Jordan Weinstein. “However, recent demand growth and price fluctuations for aviation fuel over the past three years have slightly reduced buyer negotiating power.”

The economic recovery following the recession fueled growth in consumer spending, which led to growth in both corporate profit and total advertising expenditure. These increases have spurred demand growth for aerial advertising during the three years to 2014. Aerial advertising allows companies to reach a massive audience through a cost-effective means, leading to steady demand for the service. “Growth in demand recently has indirectly driven up prices for aerial advertising at a moderate rate,” says Weinstein. “Additionally, the cost of aviation fuel has been and will continue to be extremely volatile in the years to come, which creates price fluctuations for aerial advertising services.” The rise in demand and price for aerial advertising services has slightly reduced buyer negotiating power.

Despite the increase in demand for aerial advertising, slower growth in the prices of key inputs and intensifying competition will not lead to significant price increases over the next three years. Although prices are increasing overall, aerial advertising is still one of the most cost-effective advertising methods to reach a large audience. Furthermore, suppliers facing heavy pricing pressure from competition will limit price increases to appeal to buyers. Current suppliers include Massivemedia Inc., Paramount Air Service, Van Wagner Communications and AirSign Aerial Advertising. For more information, visit IBISWorld’s Aerial Advertising procurement category market research report page.

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IBISWorld Procurement Report Key Topics

This report is intended to assist buyers of aerial advertising make informed purchasing decisions. Aerial advertising is when a large display is towed behind an aircraft over a geographic area, but can also include skywriting and blimps. However, this report will mainly focus on towing displays behind aircraft. Suppliers design large aerial displays and fly them in a specified location during a particular time to reach a mass target audience.

Executive Summary
Pricing Environment
Price Fundamentals
Benchmark Price
Pricing Model
Price Drivers
Recent Price Trend
Price Forecast
Product Characteristics
Product Life Cycle
Total Cost of Ownership
Product Specialization
Substitute Goods
Quality Control
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Competitive Environment
Market Share Concentration
Market Profitability
Switching Costs
Purchasing Process
Buying Basics
Buying Lead Time
Selection Process
Key RFP Elements
Negotiation Questions
Buyer Power Factors
Key Statistics

About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit or call 1-800-330-3772.

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Gavin Smith
IBISWorld Inc.
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