Most Popular Articles
BIA: U.S. Local Digital Ad Revenues Remain Strong
Chantilly, VA - Mar 20, 2012 - In its newly released U.S. Local Media Forecast (2011-2016), BIA/Kelsey expects strong growth in the digital segment of local media advertising through 2016. According to the firm's forecast, local online/interactive/digital advertising revenues will climb from $21.2 billion in 2011 to $38.5 billion by 2016, representing a compound annual growth rate (CAGR) of 12.7 percent (this figure includes mobile). The growth in the digital segment will offset slower than anticipated growth in total local media advertising revenues.
The U.S. economy remained slow through most of 2011, owing to a variety of factors including concerns about the European economic crisis, continued high unemployment and the housing market's lack of recovery. These factors led to consumers and businesses "holding back" in their spending. The weaker than expected level of economic activity resulted in a lower level of local advertising revenues.
"In October 2011 we projected the total of the U.S. local media market to be $135.9 billion in 2011," said Mark Fratrik, vice president and chief economist, BIA/Kelsey. "But we now expect it to be $132.8 billion. Based on the changes in our estimates going forward, we expect the overall local media market will grow a bit more slowly over the next five years."
BIA/Kelsey forecasts total local media ad revenues to grow from $132.8 billion in 2011 to $151.3 billion in 2016 (CAGR: 2.6 percent).
|Local Media Five-year Forecast ($Billions)|
The firm expects traditional local media revenues to grow from $111.5 billion in 2011 to $112.7 billion in 2016 (CAGR: 0.2 percent). Predictably, traditional media revenues experience a bump during election years from political advertising, which appears as a drop in revenues in odd-numbered years. Despite the year-over-year political advertising seesaw effect, traditional media revenues remain remarkably steady throughout the forecast period.
Acceptable Use Policy blog comments powered by Disqus
[an error occurred while processing this directive]
Today in Radio History
The history of radio broadcasting extends beyond the work of a few famous inventors.
Read each issue online in our Digital Edition Format in your Web browser.
EAS Information More on EAS
The feed provides feeds for all US states and territories.
Need a calendar for your computer desktop? Use one of ours.
Information from manufacturers and associations about industry news, products, technology and business announcements.
Cumulus builds a new campus in Nashville to house its NASH family of brands
Browse Back Issues[an error occurred while processing this directive]
Also in the October Issue
- Trends in Technology: Alternate Transmitter Sites
- Tell City Waiver Denied
- 2014 Radio magazine Salary Survey
- Field Report: Steinberg UR44
- Repurposing Older Equipment