LED Guide
Planning

LED Screen Total Cost of Ownership: The Five-Year Picture

What an LED screen costs after you have bought it: storage, insurance, maintenance, transport, spares and depreciation, across a realistic five-year view.

By Alex Snelling9 min readPublished
Boxed equipment stored on metal racking in a warehouse
Photo by CHUTTERSNAP on Unsplash

The purchase price is the number everyone compares. It is also the number that matters least over the life of the screen, because a screen you own keeps costing money whether or not it is working that week.

This is the five-year view: what ownership actually costs after the invoice is paid, which of those costs are avoidable, and how to decide whether the total makes sense for the amount of work you do.

Note: The ranges here are the figures we work with for a mid-size UK rental system. They are anchors for planning, not quotations, and they move with the market like everything else in this business.

The Five Ongoing Costs

Take a 6m x 3.4m P3.9 rental system, the common UK events size, as the worked example throughout.

CostTypical range per yearAvoidable?
Storage£1,200 to £3,600Only by owning less
Insurance£500 to £1,500No
Maintenance and repairs£500 to £2,000Partly, with good handling
Transport and vehicle£4,000 to £8,000Only by hiring transport per job
Consumables and spares£500 to £1,500Partly, with good cable discipline

That is roughly £6,700 to £16,600 a year before a single event happens, and before your own time. On a system costing £35,000 to £60,000 to buy, the running cost is a meaningful fraction of the purchase price every year.

Warning: Transport is the item most often left out of a first ownership calculation, and it is usually the largest. A screen that needs a van you do not own is a screen with a hire cost attached to every job.

The Cost Nobody Budgets: Your Time

Hired equipment arrives working and leaves afterwards. Owned equipment has to be loaded, unloaded, cleaned, tested, repaired, stored and inventoried, and all of that is time somebody is paying for even if that somebody is you.

Two to four hours per event of ownership overhead is a reasonable planning figure. At twenty events a year that is between one and two full working weeks that did not exist when you were hiring.

Tip: If you are comparing ownership against hire, put a real hourly figure on that time and include it. Leaving it out is the most common reason an ownership case looks better on a spreadsheet than it turns out to be in practice.

Maintenance: What Actually Fails

LEDs themselves rarely decide a screen's lifespan. The things that fail, roughly in order of frequency:

  1. Data cables and RJ45 connectors. Consumable items, damaged by handling, and cheap to replace if you keep spares.
  2. Power connectors and strain relief. Cracked Powercon boots are common and expensive to ignore.
  3. Power supply units inside cabinets. A wear item, more so in hot environments.
  4. Receiving cards. Less frequent, but a dead card takes a whole cabinet dark.
  5. LED modules. Usually from physical damage or moisture rather than age.

Most of these are handling-related, which means maintenance cost is partly a choice. Screens that get packed carefully into proper cases, stored dry and above 5°C, and inspected before each event cost markedly less to run than screens that do not.

Depreciation and Resale

LED screens do not hold value especially well, for the same reason most technology does not: the market keeps producing better panels at lower prices. What resale value there is depends on three things.

  • Pitch. P3.9 is the most liquid in the UK events market because the hire and spare parts ecosystem around it is the largest.
  • Hours and condition. Calibrated, well-maintained cabinets with matching bins sell. Patchy ones do not.
  • Whether the product line is still supported. A discontinued line with no spares is close to unsellable, whatever condition it is in.
Note: This is a practical argument for buying a mainstream pitch from a supplier with a long product life, even at a slightly higher price. It protects both your ability to extend the screen and your ability to sell it.

Electricity, Realistically

Cabinet datasheets quote maximum power consumption, which is the figure for every LED at full white at full brightness. Real content does not do that. Typical content at sensible brightness draws roughly 30 to 50 per cent of the maximum.

The practical consequence: size your electrical supply on the maximum, because that is a safety calculation, but budget your electricity bill on the typical, because that is a financial one. Confusing the two either overspends on distribution or underestimates running cost.

Putting It Together

A five-year ownership picture for the example system, at the middle of each range:

Year 1Years 1 to 5
Purchase£35,000 to £60,000£35,000 to £60,000
Running costs£6,700 to £16,600£33,500 to £83,000
Your time at 20 events/year40 to 80 hours200 to 400 hours

Over five years the running costs approach the purchase price. That is the number to hold in mind when an ownership case is built on the purchase price alone.

None of which argues against buying. It argues for buying with the full figure in view, at a volume of work that justifies it, which for most people means somewhere north of fifteen to twenty events a year.

Working Out Whether to Buy?

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Frequently Asked Questions

What are the ongoing costs of owning an LED screen?
Storage, insurance, maintenance and repairs, transport, and consumables like replacement cables. For a mid-size rental system the figures we work with put storage at £1,200 to £3,600 a year, insurance at £500 to £1,500, and maintenance at £500 to £2,000, before transport.
How long does an LED screen last?
LEDs are typically rated around 100,000 hours to half brightness, but that rarely decides the lifespan. Power supplies, receiving cards, connectors and physical damage do, along with whether spare parts are still available. A well-maintained screen with parts support outlives one bought from a discontinued line.
Does an LED screen hold its value?
Not especially well. Technology moves, and used screens sell mostly on pitch, hours and whether the product line is still supported. P3.9 is the most liquid pitch in the UK events market because the hire and spares ecosystem around it is the largest.
What is the biggest hidden cost?
Your own time. Loading, unloading, cleaning, testing, storing and managing equipment takes hours per event that hired kit does not. Two to four hours per event of ownership overhead is a reasonable planning figure.
Do LED screens cost much to run in electricity?
Less than the maximum figure suggests. Cabinets draw maximum power only on full white at full brightness. Typical content at sensible brightness runs at roughly 30 to 50 per cent of the maximum, so size your supply on the maximum but budget electricity on the typical.