Why Billboard CPM Still Wins in a Gen Z Streaming World
Billboards still reach people who skip ads
If your audience is Gen Z or late Millennials, the media plan you used five years ago is already dated. Streaming is winning TV time. Audio is splitting across podcasts, streaming, and in-car systems. And many younger consumers are paying to avoid ads whenever they can.
That is why billboards keep showing up in smart media mixes. You cannot skip a billboard. You cannot block it. And it does not disappear because an algorithm changed.
This post breaks down the shift in media behavior, explains CPM in plain English, and shows why billboard advertising is one of the most stable ways to protect your brand marketing for the next few years.
How Gen Z and late Millennials consume TV now
Most people still watch TV content, but the way it's delivered has changed. A 2025 Pew Research Center survey found that 83% of U.S. adults use streaming services, while far fewer subscribe to cable or satellite TV (36%). Pew also shows that the cable and satellite subscription rate is much lower among younger adults, including just 16% for ages 18 to 29. Source
Nielsen’s Gauge reporting shows the same story from a different angle. In May 2025, streaming accounted for 44.8% of total TV usage, and for the first time, it exceeded the combined share of broadcast and cable. Source
Here is the practical takeaway for advertisers. If your plan depends heavily on linear TV reach, you are buying into a shrinking habit. Even when your audience watches, they often do so across apps, devices, and subscriptions, which affects how ads appear.
Why streaming makes ad reach less predictable
Streaming has three issues that make reaching harder for most local businesses.
First, ad inventory is different by platform. Some platforms are ad-free, some are ad-supported, and some require an extra cost to remove ads. Second, frequency is harder to control because users hop between apps. Third, attention is not guaranteed because viewers multitask on phones, tablets, or second screens while the TV plays in the background.
If you are a small business, that usually means you spend more time and money trying to maintain consistent brand exposure.
How Gen Z and late Millennials consume audio now
Audio is not dead. It is just fragmented. Edison Research’s Infinite Dial is one of the longest-running benchmarks for U.S. digital media habits. In the Infinite Dial 2025 release, Edison highlights record podcast reach and growing online audio usage, including 79% of Americans age 12+ listening to online audio monthly. Source
The same report also points to a major in-car shift. Many adults now use Apple CarPlay or Android Auto, which changes what audio options are easiest to access while driving. Edison reports that among adults 18+ who drove or rode in a car in the past month, 40% have Apple CarPlay or Android Auto, and 33% actively use one of those systems. Source
So when people say, “Young people do not listen to the radio,” what they often mean is this. Younger drivers have more choices and more control than ever. AM/FM is now competing with podcasts, streaming music, and in-car app ecosystems.
What this means for your media plan
Traditional TV and traditional radio can still work in the right situation. But it is harder to count on them as the main engines of consistent reach for Gen Z and late Millennials.
That is why out-of-home advertising often plays a bigger role than people expect. It keeps your brand visible even when screen behavior changes.
What is out-of-home advertising in plain English
Out-of-home advertising is any advertising intended to reach consumers outside the home. That includes billboards, digital billboards, transit displays, and other formats. The Out of Home Advertising Association of America defines out-of-home media this way in its glossary. Source
For most local and regional advertisers, billboards are the simplest version of out-of-home to understand. You pick a location where your customers travel, you run a message that can be read quickly, and you get repeat exposure week after week.
What CPM means and why it matters for billboards
CPM means cost per thousand impressions. It is the price you pay to reach 1,000 people.
The key focus word here is impressions. An impression is a view opportunity. It is not a click. It is not a phone call. It is a chance for someone to see your message.
In out-of-home, CPM helps you compare the cost of reach across different media. The OAAA glossary defines CPM as cost per thousand impressions. Source
Why billboard CPM is often more stable than digital CPM
Digital CPM changes fast because it is auction-based. When your competitors spend more, your costs rise. When demand spikes, your costs rise. When targeting gets restricted, efficiency drops.
Billboards do not work like that. Billboard pricing is tied to inventory, location, and the time period you buy. Your CPM is driven by exposure, not by daily bidding wars.
That does not mean billboards are always the cheapest option. It means the cost is often easier to predict, and the exposure does not depend on someone choosing to watch, click, or engage.
Why billboards still win attention when screens are overloaded
Most advertising today competes inside a feed. That means your ad is surrounded by other ads, notifications, and entertainment. People move fast, and they scroll faster.
Billboards appear in different contexts. They are part of the physical environment. They reach people during commutes, errands, and routines. Those routines create repeat exposure, which is what builds brand memory.
Unskippable matters more than ever
Many Gen Z and late Millennials actively avoid ads. They pay for ad-free streaming. They skip YouTube ads when they can. They ignore banner ads. They run ad blockers.
Out-of-home is different. You cannot install an ad blocker on a highway. That is why billboards still create reliable reach even when digital habits keep shifting.
Why billboards help future-proof brand marketing
Future-proofing does not mean predicting every trend. It means building a plan that still works even when the platform changes.
Billboards are close to future-proof because they depend on traffic patterns and geography, not on app preferences.
Billboards do not depend on algorithms
Social media reach can drop overnight. Search visibility can change with an update. Streaming ad formats can vary by subscription tier.
A billboard is not affected by any of that. If your display is placed in front of the right traffic, your message shows up every day.
Billboards are resilient during media fragmentation
Media fragmentation occurs when your customers are spread across too many platforms. That is what we have now. Some are on TikTok, some on YouTube, some on Instagram, some on podcasts, and some on streaming bundles you have never heard of.
Billboards cut through that fragmentation by reaching people based on where they go, not on which app they open.
Why billboard CPM can be a smart efficiency play
When people say billboards have “great CPM,” they usually mean one thing. Billboards can deliver a high volume of impressions at a fixed cost, especially on high-traffic corridors.
In other words, you can often buy consistent reach without paying for every click or fighting for every impression in an auction.
That is why billboards often rank high in mixed-media planning, especially when the goal is awareness, recall, and demand creation over time.
CPM is not ROI, but it supports ROI
CPM is a cost metric. ROI is a profit metric.
A low CPM does not automatically mean high ROI. What low CPMs can do is give you efficient reach, which makes it easier to build brand familiarity and generate inbound demand. Then your other channels, like search and social, often perform better because people already recognize your name.
How to connect billboard reach to real business results
Business owners often ask, “If there is no click, how do I know it worked?” That is a fair question.
Here are practical ways to measure and validate billboard impact without pretending it works like a digital ad.
Track brand search lift
One of the clearest signals is branded search. If more people search for your business name after a billboard launches, that is brand demand reflected in your analytics.
We break down the exact workflow for tracking branded search with billboards in Google Search Console here: How to track branded search billboards in GSC
Watch direct traffic and repeat visits
Direct traffic is when people type your website into the browser or use a bookmark. That often rises when awareness rises.
Repeat visits also matter. Billboards can trigger the first visit, then your digital follow-up channels can close the deal later.
Use simple attribution tools without overcomplicating it
You can use call tracking, landing pages, and conversion tools, but you should keep it simple. Do not build a tracking setup so complex that nobody checks it.
If you want a straightforward measurement framework, start here: Measuring the success of your billboard and digital ads
How to plan a billboard message for Gen Z and late Millennials
The media channel matters, but the message still decides outcomes. If you want to reach younger audiences, avoid two common mistakes.
Mistake 1 is trying to explain everything
Billboards are fast. Your message needs to be readable in a few seconds. If you try to list every service, you lose clarity.
Pick one promise and one next step. Make it easy.
If you need a design refresher, start here: Best practices for designing a billboard
Mistake 2 is being clever instead of clear
Gen Z likes clever content online, but that does not always translate on the road. Clarity wins more often than creativity in out-of-home, because the viewing window is short.
Use simple words. Use a strong brand name. Use a clean layout. The goal is recognition, not a riddle.
Where billboards fit in a modern media mix
Billboards are not meant to replace digital. They are meant to stabilize your brand presence while digital does the capture work.
Think of it like this. Billboards create familiarity. Search captures demand. Retargeting reinforces. Your website converts. That is how a modern local strategy should work.
If you want a bigger picture view of why out-of-home belongs in the mix, this is a good starting point: Why billboard advertising should be a part of your media mix
The bottom line on Gen Z and billboard CPM
Gen Z and late Millennials are not as loyal to traditional TV and radio habits as older generations were. Pew shows streaming adoption is massive, and cable subscriptions are much lower among younger adults. Source
Nielsen shows streaming has taken a record share of total TV usage, even exceeding broadcast and cable combined in May 2025. Source
Edison’s Infinite Dial shows digital audio and podcasts are growing, and that in-car systems like CarPlay and Android Auto are changing what people listen to and how they access it. Source
In a world like that, billboards stay valuable because they do not rely on platforms, subscriptions, or algorithms. They rely on real-world movement. And that is why billboard CPM often remains a strong efficiency play for broad reach and brand memory, especially when your goal is long-term demand.
Frequently asked questions about billboard CPM and Gen Z media habits
CPM means cost per thousand impressions. In out-of-home, it is used to estimate how much you pay to reach 1,000 people who have the opportunity to see your billboard. The OAAA glossary includes CPM as a standard term. Source
Yes, because billboards are part of the physical environment. Even if media choices change, people still commute, shop, attend events, and travel. Billboards reach them during those routines.
It depends on your goal. TV and radio can still work, but audience habits are shifting toward streaming and digital audio. Billboards are often more stable for consistent reach because they are not dependent on a viewing or listening platform. Pew and Nielsen show how strongly streaming has changed TV behavior. Source Source
Start with brand search lift, direct traffic, and lead volume trends. Then add tools like call tracking or campaign landing pages if you need more detail. Google Search Console is especially useful for monitoring branded search growth tied to campaign dates.
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