Building and permits · Guide
Digital Billboard Cost: Build, Run and Revenue (2026)
By Gabie Research · Updated Oct 12, 2026 · 7 min read
Short answer
A digital billboard costs about $200,000 to $260,000 to build or convert, based on Lamar and OUTFRONT. Power for a 14' x 48' face runs roughly $3,500 to $4,100 a year at 2026 rates. OUTFRONT says a digital face earns four to five times the revenue of a static one, but costs two to four times as much to run.
- OUTFRONT's average cost for a new digital billboard was about $260,000 at the end of 2025. Lamar puts a conversion near $200,000.
- A 14' x 48' screen used 24,000 to 28,000 kWh a year (Daktronics, 2022). That is about $3,500 to $4,100 at July 2026 power prices.
- Digital faces earn four to five times more than static ones, but cost two to four times more to run (OUTFRONT).
- A loop is usually six to eight ads, each shown for six to eight seconds. FHWA recommends 8 seconds.
- Federal guidance calls new technology on a nonconforming sign a 'substantial change.' Check your permit first.
A digital billboard costs about $200,000 to $260,000 to build or convert. OUTFRONT puts its average new digital billboard at about $260,000 (OUTFRONT 10-K). Lamar's CEO put a conversion near $200,000 in November 2024 (Billboard Insider). After that, you pay for power, upkeep and the people who sell the slots.
Digital costs more to run, but it can earn much more. This guide covers the build, the running costs, how loops are sold and the revenue math.
How much does it cost to build a digital billboard?
Here is what public sources say. The figures are for one face.
| Source | What it covers | Cost |
|---|---|---|
| OUTFRONT, 2025 annual report | Average first investment per digital billboard | About $260,000 |
| Lamar CEO, Nov 2024 | One static-to-digital conversion | About $200,000 |
| AdQuick, 2026 | Building a digital billboard | $100,000 to $500,000+ |
Sources: OUTFRONT 10-K, Billboard Insider, AdQuick.
The sources differ for good reasons. A conversion reuses a structure that already stands. A new build needs steel, a foundation and often new power. AdQuick says screen size, site work, wiring, engineering and permits drive the price. Ask what each quote includes. Some cover only the screen. Others include install, power and permits.
The big operators spend a lot on digital each year. Lamar spent $90.9 million on digital in 2025. That was half of its $180.8 million in capital spending (Lamar 10-K). OUTFRONT built or converted 103 digital billboards in 2025. Clear Channel Outdoor added 71 (Clear Channel Outdoor 10-K).
If you need a new structure too, add its cost. See how to start a billboard business for structure prices.
What are you paying for?
A digital billboard is more than a screen on a pole. A typical project has these parts.
- The screen. LED modules set in cabinets that bolt together. The maker sells the screen at a set size, like 14' x 48' or 10'6" x 36'.
- The structure. A conversion reuses the old steel if it can carry the weight. A new build needs a pole, a foundation and a catwalk.
- Power. The site needs enough power for the screen all day and night. Bringing a new line to a rural site can cost a lot.
- Control. A small computer runs the loop. A data link lets you load new ads from the office.
- Permits and engineering. A stamped design and a permit for the digital face.
Ask each maker for a quote that lists these parts apart. Then you can compare quotes line by line.
How many digital billboards are there?
Digital is still a small share of all billboards. OAAA counted about 25,000 digital billboards in the US at the end of 2025. That compares with 210,000 bulletins and 160,000 posters (OAAA).
| Operator | Digital billboards |
|---|---|
| Lamar | About 5,500 |
| Clear Channel Outdoor (US) | 2,001 |
| OUTFRONT (US) | 1,928 |
Sources: company 10-K reports for 2025. The rest belong to hundreds of smaller operators.
Can you convert a static billboard to digital?
Often, but not always. The permit decides.
Federal guidance from 2007 says digital is acceptable on conforming signs. On a nonconforming sign, it counts as a "substantial change" (FHWA). A nonconforming sign is one that was legal when built but could not be built today. That matters a lot. OUTFRONT says about 75% of its US structures are legal nonconforming.
States and cities add their own rules. They set how long each ad must stay up and how bright the screen can be. Many also set how far apart digital boards must be. Check with your state DOT before you order a screen. Our state permit guides, such as Tennessee billboard permits, list the agency for each state.
This is a summary, not legal advice. Check with the agency before you build or sign.
What does a digital billboard cost to run?
A static face mostly sits there. A digital face uses power, needs repairs and must be filled with many ads. OUTFRONT says digital displays cost about two to four times more than static ones. That includes variable costs that rise with revenue.
| Cost | What to plan for |
|---|---|
| Power | About $3,500 to $4,100 a year for a 14' x 48' face (our math below) |
| Repairs and parts | Ask the maker for service plans and spare modules |
| Software | A content system to load ads and run the loop |
| Ground rent | Many leases pay the landowner a share of revenue |
| Selling | Six to eight buyers per face instead of one |
Power. Daktronics gave a figure in 2022. A 14' x 48' digital billboard uses 24,000 to 28,000 kWh a year (Billboard Insider). Business power averaged 14.53 cents per kWh in July 2026 (EIA). That works out to about $3,490 to $4,070 a year. That is roughly $290 to $340 a month. Newer screens use less. Daktronics says its 2025 urban model cuts yearly running costs by 30% (Billboard Insider).
Wear. Screens lose value much faster than steel. North Carolina's tax guide shows a digital face worth 25% of its cost by year 13. A steel structure of the same age keeps 74% (NC Department of Revenue). Plan to replace or refresh the screen during the life of the structure.
How is digital billboard time sold?
A digital face plays a loop. Each ad holds a spot in the loop. OAAA says six to eight advertisers often share one face. Each ad shows for six to eight seconds (OAAA). FHWA's guidance says each ad generally stays up 4 to 10 seconds, and recommends 8.
Here is the math for one face with 8 slots of 8 seconds each.
| Item | Math | Result |
|---|---|---|
| Loop length | 8 slots x 8 seconds | 64 seconds |
| Plays per slot per day | 86,400 seconds ÷ 64 | 1,350 |
| Plays per slot per four weeks | 1,350 x 28 | 37,800 |
| Share of voice per slot | 1 ÷ 8 | 12.5% |
Operators sell slots a few ways:
- One slot for a flight. The buyer gets one-eighth of the loop for four weeks or more.
- More than one slot. A buyer who takes two slots gets 25% share of voice.
- By time of day. Some buyers want only one daypart, like morning drive.
- By the play. Programmatic platforms sell single plays or blocks to national buyers. Lamar says programmatic is 2% of its outdoor business.
The digital loop calculator runs this math for any loop.
How much can a digital billboard earn?
The big operators show how much more digital earns than static.
| Operator | What it reports | Figure |
|---|---|---|
| OUTFRONT | Revenue per digital display vs static | About 4 to 5 times more |
| Clear Channel Outdoor | Digital share of inventory vs revenue | 8% of inventory, 44% of revenue |
| Lamar | Digital share of billboard revenue | About 33%, from about 5,500 digital boards |
| Lamar CEO | One face before and after conversion | $3,000 a month to $15,000–$18,000 a month |
Sources: OUTFRONT 10-K, Clear Channel Outdoor 10-K, Lamar 10-K, Nareit.
By our math, Lamar's digital boards earned about $10,000 a month each in 2025. That is 33% of its billboard revenue split across 5,500 boards.
Example: does a conversion pay off?
Here is a worked example. Every input is an assumption, not an average. Swap in your own numbers.
| Line | Assumption | Per year |
|---|---|---|
| Static face today | $1,500 per four weeks, 80% sold | $15,600 |
| Digital face | 8 slots at $1,000 per four weeks, 75% sold | $78,000 |
| Added revenue | Digital minus static | $62,400 |
| Added power | Midpoint of the range above | –$3,800 |
| Added ground rent | 17% of added revenue | –$10,600 |
| Added profit before repairs and selling | $48,000 | |
| Conversion cost | Lamar's figure | $200,000 |
| Simple payback | $200,000 ÷ $48,000 | About 4.2 years |
The 17% rent share is Lamar's ground rent as a share of billboard revenue. Your lease may be flat or different.
Two things break this math. First, the slots must sell. Eight buyers per face means much more selling work. Second, the screen must last. A payback near the end of a screen's life is a bad deal.
What mistakes cost digital operators money?
Most digital trouble comes from the loop, not the screen. Watch for these.
- Selling past the loop. If the loop has 8 slots, you can't sell 9. Track each slot by date.
- Promising the wrong share. A buyer who pays for one slot of 8 gets 12.5%. Don't let a rep promise more.
- Empty slots. An empty slot earns nothing, but the screen still uses power. Fill gaps with short flights.
- Breaking the permit. If your state requires 8 seconds per ad, a 6-second loop puts the permit at risk.
- No proof. Buyers ask whether their ad ran. Keep proof of play for each flight.
Should you go digital?
Go digital when most of these are true:
- Your permit and local code allow a digital face.
- The site has strong traffic and good sight lines.
- Your market has enough local buyers to fill most slots.
- You have power at the site, or can bring it in.
- Your team can sell and serve six to eight advertisers per face.
If the static face already sells out at a good rate, digital may add the most. If it sits empty, fix the sales problem first. See billboard occupancy.
Questions people ask
How much does it cost to build a digital billboard?
About $200,000 to $260,000 per face, based on Lamar and OUTFRONT. AdQuick gives a wider range of $100,000 to $500,000 or more. Size, site work, power and permits move the price.
How much does it cost to convert a billboard to digital?
Lamar's CEO said in November 2024 that its conversions cost about $200,000 each. You also need a permit that allows a digital face, and power at the site.
How much electricity does a digital billboard use?
Daktronics said in 2022 that a 14' x 48' face uses 24,000 to 28,000 kWh a year. At July 2026 business power prices, that is about $290 to $340 a month. Newer screens use less.
How many ads run on a digital billboard?
OAAA says six to eight advertisers often share one face. Each ad shows for six to eight seconds before the next one.
How much money does a digital billboard make?
It varies by market. Our math from Lamar's 2025 report puts its digital boards near $10,000 a month each. Lamar's CEO said a $3,000-a-month face can earn $15,000 to $18,000 after conversion.
Sources
- 01Form 10-K for fiscal year 2025 · OUTFRONT Media (SEC filing) · accessed Oct 8, 2026
- 02Form 10-K for fiscal year 2025 · Lamar Advertising Company (SEC filing) · accessed Oct 8, 2026
- 03Form 10-K for fiscal year 2025 · Clear Channel Outdoor Holdings (SEC filing) · accessed Oct 8, 2026
- 04Billboard Expansion, Strategic Acquisitions Drive Lamar's Success (April 22, 2025) · Nareit · accessed Oct 8, 2026
- 05Sean Reilly Talks Digital Billboard Economics (November 12, 2024) · Billboard Insider · accessed Oct 12, 2026
- 06How Much Does a Billboard Cost? 2026 Pricing Guide · AdQuick · accessed Oct 8, 2026
- 07Daktronics on Digital Billboards, Electrical Usage and Overcoming Climate Objections (August 1, 2022) · Billboard Insider · accessed Oct 8, 2026
- 08Daktronics Unveils Next Generation of Energy-Efficient Urban Billboards (July 15, 2025) · Billboard Insider · accessed Oct 8, 2026
- 09Electric Power Monthly, Table 5.6.A: Average Price of Electricity to Ultimate Customers (released September 24, 2026) · U.S. Energy Information Administration · accessed Oct 8, 2026
- 10Guidance on Off-Premise Changeable Message Signs (September 25, 2007) · Federal Highway Administration · accessed Oct 8, 2026
- 112025 OOH Facts & Figures: Ad Spend Performance (April 2026) · OAAA · accessed Oct 8, 2026
- 12Digital Billboards · OAAA · accessed Oct 8, 2026
- 132026 Billboard Structures Valuation Guide · North Carolina Department of Revenue · accessed Oct 8, 2026
Billboard operations and sales research
The Gabie team studies how billboard companies price, sell and run their boards. Every number we publish links to its source.
Published Oct 8, 2026 · Updated Oct 12, 2026 · How we check facts