Dive Brief:
- Valparaiso, IN's Board of Public Works has approved the purchase of one new garbage truck and one new recycling truck, both designed to hold advertising on the vehicles’ outer sides to generate money for more new trucks and other department needs.
- The towns of Marion, South Bend, and Lafayette run similar advertising programs, with Lafayette aiming to bring in about $2 million over five years, according to the Chicago Tribune.
- With help from a grant from the Indiana Department of Environmental Management, and once revenue from trade-ins is applied, the $391,836 investment on the trucks would only cost $296,826. The program would require City Council approval and would also be governed by state laws.
Dive Insight:
The rolling billboards could be a revenue generator for the city possibly helping to pay for more trucks, which generally need to be replaced every seven years. But there are multiple factors to consider before coming to this conclusion, such as number of hours the trucks are on the road and number of residents who would see the big, bold displays.
It shouldn’t be too hard to assess, as the city’s buses already carry ads. Then there are other cities to learn from like Santa Monica, CA, which has displayed ads on its recycling trucks.
Not far away, South Bend, IN looked at selling ad space on trash bins to save taxpayer dollars.
Referring to the millions the business model is projected to bring in for Lafayette, Public Works Director Matt Evans told the Chicago Tribune, "I don't know how that compares to [us], but it's an opportunity."
