According to new research from BIA Advisory Services broadcasters are showing signs of progress by developing Internet revenue for their stations. BIA estimates radio and televisions stations collectively drove approximately $805 million in online dollars, equal to 7.3% of the $11 billion local online advertising money spent in 2008, as reported by BIA subsidiary The Kelsey Group.
This breaks down to $342 million for radio and $463 million for television in 2008. BIA projects the broadcasting industry’s online revenue will climb to as much as $1.9 billion by 2013 if the industry continues its transformation to multiplatform solutions.
They see a compounded annual growth rate of 18.6 percent for online broadcasting advertising over the 2008 – 2013 period.
Mark Fratrik, Ph.D., Vice President, BIA Advisory Services, tells RBR/TVBR their annual survey on commercial stations has asked about internet revenues for the last two years. “It was a collection of data based on our research, surveys, public documents, market reports and discussions with people in the industry that are knowledgeable about the level of activity.”
The chart below shows radio and television Internet revenues from 2008-2013 as projected by BIA Advisory Services.
Source: BIA’s MEDIA Access Pro(tm)