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There are basically three families of fonts (typestyles). Every font, for the most part, falls into one of these categories.

Serif fonts are fonts which have feet at the end of each letter. Popular serif fonts are Times Roman, and Georgia. Notice that on these fonts, the ends of the strokes of the letters have a cross-line or foot.
Sans Serif (without feet) are fonts which, simply put have no feet at the end of the letters strokes. Typical Sans Serif fonts are Arial Bold and Tahoma.
Script fonts are very much like cursive handwriting. Examples are Black Jack and Zapf Chancery.
Sans Serif fonts, because of their lack of ornamentation, are generally easier to read in the sign industry. Signs are typically not excessively wordy and need to be understood fairly quickly. It is for this reason that Sans Serif fonts are popular. Less decoration equals less distraction for the eye which usually leads to a quicker comprehension of the intended message.
Serif fonts facilitate easier reading when there is a large body of copy as in a book, magazine or newspaper. Studies have shown that the feet on the letters help the eye roll from word to word more easily and facilitates faster reading. However, this does not pertain to the signs because of their feet, serif fonts typically have more character. They convey feelings and emotions easier than San Serif fonts simply because the feet give the font designer much more to work with in conveying an attribute. Serif fonts are very popular in signage where immediate readability is not necessarily the number one goal.
Script fonts are like our cursive handwriting and are often derived from one of the font designers hand-styles. Like human handwriting, some script fonts can be very difficult to read while others might be beautiful and elegant. We prefer to use script fonts in upper and lower case sense which makes the font more legible. And in sign-making, nothing is more important than legibility.
Comprehension of an outdoor advertising design depends not only on the style of type or lettering or on the combinations of color used, but also upon how all these elements work together, at a distance. Distance itself is a variable, which must be considered because the audience is typically in motion. The size of type or lettering, therefore, is an important consideration in outdoor communication. To determine the proper size for specific considerations, we must first consider the demands. A headline must be legible at any reasonable distance from close by to at least 400 feet. As illustrated below, a letter height of 20 inches is recommended. No letters should be less than 12 inches in height if we are to communicate a message effectively at a distance. Letters 4 inches high are included simply to illustrate what happens to letters this tall at a distance. This size lettering is often used in a mandatory phrase or identification.

Adding a border increases reading speed by 26%. Borders are suggested whenever your message must be seen and read in a very short time.
Adding a second color increases retention by 78%.
