BIA Estimates Local Broadcast TV Ad Revenues to Top $23.8 Billion in 2024, Bolstered by Political and Increased Auto and Legal Ad Spending
BIA CEO Addresses Television’s Share of the Local Advertising Marketplace for Key Ad Spending Verticals…
Chantilly, VA (July 22, 2021) – BIA Advisory Services has revised its 2021 forecasts for U.S. Local Advertising Revenues to $142.4 billion, up $4.8 billion from its November 2020 estimates. The projection is split between traditional and digital media but shows that the divide is narrowing, with traditional advertising only eight percent ahead of digital mediums that include mobile, online, over-the-top, email, and traditional media’s online ventures.
“There’s an acceleration in the market that couldn’t be accounted for last fall,” said Mark Fratrik, SVP and Chief Economist, BIA Advisory Services. “The economy is growing and we’re observing money being spent to reach audiences through various media.”
Fratrik points to OTT as growing 16 percent this year, surpassing the trajectory of mobile as more consumers take advantage of various streaming services on their TV screens.
Local television advertising this year will dip to $16.2 billion in 2021 but bounce up to $19.3 billion in 2022, with $1.5 billion and $1.7 billion, respectfully, coming from digital platforms. Local radio advertising will rebound somewhat to $11.7 billion in 2021 and $12.3 billion in 2022, with $.94 billion and $1.04 billion, respectfully, coming from digital platforms.
The revised forecast also sees a 5.6 percent increase in overall compound annual growth in U.S. spending in local ad markets and expects the amount to reach $157.1 billion in 2022 and $162.1 billion in 2023. While the digital media share will first leapfrog to 51 percent over traditional media by 2023.
For BIA clients, BIA ADVantage™, the company’s local advertising intelligence platform, and MEDIA Access Pro™, the company’s broadcasting and publishing database, are updated with the company’s revised forecast estimates.
U.S. Local Ad Forecast Report
BIA’s U.S. Local Advertising Forecast Report provides a nationwide overview of U.S. spending. BIA updates it throughout the year to reflect current economic situations and to adjust ad spend across top media and business verticals. The forecast covers all media, offering a comprehensive and authoritative view of all “local” advertising spent by national and regional companies, as well as small and medium-sized businesses. The forecast can be purchased here.
About BIA Advisory Services
BIA Advisory Services is the leading authority for data-centered insights, analysis, strategic consulting, and valuation services for the local media industry. Since 1983, BIA has been a valuable resource for traditional and digital media companies, brands and agencies, the financial and legal community serving media and telecom, as well as the FCC and other government agencies. Today, we offer comprehensive local market advertising intelligence in our BIA ADVantageTM service to help clients discover the path to their best opportunities. Learn more about our offerings at http://www.bia.com.