APN renews three major transport contracts

APN Outdoor has managed to hold on to three of its key contracts: Transport for Brisbane, Transdev Melbourne and Adelaide and Parafield Airports, for what the company says is multiple years.

The company says transport for Brisbane covers the advertising rights for more than 4,000 panels across nearly 1,200 vehicles in metropolitan Brisbane in its contract APN has held for more than 30 years. The contract operator, Brisbane City Council, is the largest council area in Australia, with its transit fleet reaching 85 per cent of Brisbane’s residents each week according to APN.

The company’s planned digital and print split for each contract is unclear. APN uses production house GSP in Braeside – which it acquired – for some of its print work.

While rival outdoor media businesses oOh! and QMS recently revealed that digital media had overtaken print for the first time in their half year results, print still remains major income source for APN at 62 per cent. However like other outdoor advertising companies, APN saw a rise in its digital revenue, up 13 per cent while revenue from classic (print) adverts has stabilised.

The company also says Transdev is its largest and most important bus contract in Melbourne, with it covering 500 buses, 1,800 panels and significant CBD routes.

[Related: Sydney Trains contract to retain print]

James Warburton, CEO and managing director of APN says, “These contracts represent an important part of our advertising offering. The far-reaching impact they provide delivers a compelling proposition and cements our commitment to the development of our transit and billboard product offering.

“We are thrilled to be continuing our relationship with all partners and look forward to driving innovation in all that we do, delivering greater cut-through and effectiveness for advertisers.”

The Adelaide and Parafield Airports renewal covers the rights for nine large format roadside billboards on airport land.

Warburton says “We are in a strong position. As a business we can now focus on acquiring new key contracts and further developing the offering we provide to our clients.”

APN does have plans to convert signs to digital in other projects, namely its advertising in the Tullamarine freeway and Metro Trains Melbourne. Along with its financial results, the company released plans for a digital billboard conversion rollout with 20 to 25 new digital screens this year.

The company renewed its 20 year contract with Sydney Trains earlier this year, along with signing a five year renewal for Sydney Busses last August. Last October the company opted out of its Yarra Trams’ Contract despite being reappointed as the preferred partner.

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