U.S. Local TV stations experiencing higher than anticipated ad revenues in 2016 due in part to protracted presidential primary season and stronger economic data.
CHANTILLY, Va. (May 9, 2016) – BIA/Kelsey, advisor to companies in the local media industry, forecasts U.S. local television station over-the-air (OTA) advertising revenues to reach $20.8 billion in 2016, up 12.1 percent from 2015. Online local TV station ad revenues will grow to just over $1billion in 2016, up 13.3 percent over last year.
This follows a down year for local TV OTA revenues in 2015, which dipped 7.2 percent compared with 2014.
“Perhaps no local media is enjoying this year’s protracted presidential primaries and the expected large number of Senate and gubernatorial races more than local television stations,” said Mark Fratrik, senior vice president and chief economist, BIA/Kelsey. “The election and the economy, driven by stronger employment figures and continuing low interest rates, are helping push local TV ad revenues above expectations this year.”
Revenue performance by local TV stations across the U.S. was generally consistent, with all regions set to rebound from a challenging 2015:
- East: 7.9% decrease in revenues in 2015; 11.1% increase expected in 2016
- Midwest: 7.2% decrease in revenues in 2015; 14.6% increase expected in 2016
- South: 6.0% decrease in revenues in 2015; 12.6% increase expected in 2016
- Southwest: 4.5% decrease in revenues in 2015; 8.4% increase expected in 2016
- West: 9.6% decrease in revenues in 2015; 11.9% increase expected in 2016
Investing In Television Publications
A comprehensive profile of all 210 television markets (plus Puerto Rico) and television market projections through 20120 are available in the first-quarter edition of Investing In Television® Market Report and the 2016 Investing In Television® Ownership Report, published by BIA/Kelsey. These reports can be purchased in print form or as a digital book.
For more information on all of BIA/Kelsey’s Investing In publications, visit http://www.biakelsey.com/pubs. The Investing In Television Market Report, first-quarter edition, can be purchased online or by calling (800) 331-5086 or emailing firstname.lastname@example.org.
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