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. (April 1, 2015) – iHeartMedia’s contemporary hit radio (CHR) station KIIS-FM in Los Angeles, moved up to become the country’s top revenue-producing radio station in 2014, bumping four-year leader WTOP of Washington, DC, to the second spot, according BIA/Kelsey’s radio revenue estimates published in the first quarter edition of BIA/Kelsey’s 2015 Investing In Radio® Market Report. KIIS-FM took in $65.9 million in advertising revenues in 2014, as overall industry revenues held steady at $14.9 billion.
In 2014, over-the-air radio revenues were $14.3 billion, with online generating $636 million. BIA/Kelsey forecasts both sources of radio income to continue growing at a slight pace over the next few years, reaching $16.2 billion overall in 2019.
“Local radio stations continue to maintain an important position in the local media marketplace,” said Mark Fratrik, senior vice president and chief economist, BIA/Kelsey. “Last year, a slight decline in over-the-air revenues was offset by an increase in online revenues, resulting in steady overall revenues.”
According to BIA/Kelsey’s estimates, the top ten revenue-generating U.S. radio stations in 2014 are shown in the chart below.
In 2014, radio station trading activity remained about the same as the previous year, with 934 radio stations changing hands, at a total value of $950 million.
A complete profile of every Arbitron-rated market, with historic and projected demographic and financial statistics, is available in the 2015 first-quarter edition of “Investing In Radio® Market Report,” which is now available for purchase. It also includes station competitive and performance information including 12-plus total day Arbitron ratings for the past eight ratings periods, BIA/Kelsey’s estimated advertising revenues, technical data, ownership and acquisition information, and more details for every market. Information in the Investing In books is also available in Media Access Pro™, a data and analytical service that delivers comprehensive information on the radio, television and newspaper industries.
BIA/Kelsey’s forecast methodology is based on actual estimates of local online market advertising revenue totals. Estimates are solicited from local radio stations and knowledgeable local market experts. To provide an accurate review of the advertising marketplace, the model does not include revenues of e-commerce sales through daily or weekly deal campaigns or any retransmission consent.
For more information on all of BIA/Kelsey’s Investing In publications, visit http://www.biakelsey.com/pubs. The Investing In Radio Market Report, first-quarter edition, can be purchased online or by calling (800) 331-5086 or emailing firstname.lastname@example.org.
BIA/Kelsey advises companies in the local media space through consulting and valuation services, research and forecasts, Custom Advisory Services and conferences. Since 1983 BIA/Kelsey has been a resource to the media, mobile advertising, telecommunications, Yellow Pages and electronic directory markets, as well as to government agencies, law firms and investment companies looking to understand trends and revenue drivers. BIA/Kelsey’s annual conferences draw executives from across industries seeking expert guidance on how companies are finding innovative ways to grow. Additional information is available at http://www.biakelsey.com, on the company’s Local Media Watch blog, Twitter (http://twitter.com/BIAKelsey) and Facebook (http://www.facebook.com/biakelsey). Stay connected by subscribing to the firm’s bi-monthly newsletter.