Stretched Primaries Boost Local TV Ad Revenues

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BIA KelseyLocal TV broadcast ad revenues could surpass $20 billion this year to a total of $20.8 billion.


BIA/Kelsey forecasts a more than 12% jump from 2015.

Online local television ad revenues will grow to just over $1 billion in 2016, up 13.3% from a year ago. That follows a down year for local TV OTA revenues in 2015, which dropped 7.2% 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 BIA/Kelsey SVP/Chief Economist Mark Fratrik. “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

The figures are from the company’s Investing in Television Market Report and 2016 Investing in Television Ownership Report.