BIA/Kelsey Sees Double-Digit Digital Revenue Growth
Ditto Radio Online Revenue
July 17, 2012 at 6:51 AM (PT)
The burgeoning growth of digital as a revenue source in radio is illustrated in BIA/KELSEY's newly released U.S. Local Media Forecast (2011-2016): Full Edition. The company predicts that local online/interactive/digital advertising revenues will grow 13.1% in 2012. Radio's online revenue are expected to 11.8%.
Several local media segments are on target to exceed this overall growth rate, such as mobile search, which will grow 77.2%, Online (up 51.6%) and social (26.3%). According to the forecast, the growth in different local media segments will drive an overall increase making digital over 25% of the local ad market
"We continue to see a dramatic increase in spending on online media and it is fundamentally changing the media planning and buying process for advertisers," BIA/KELSEY VP/Chief Economist MARK FRATRIK said. "As businesses examine their advertising opportunities, the trend is moving toward building a coordinated ad plan across different platforms, with different messages across different media. With traditional media getting more than three-quarters of the total local media ad budget, coordination between traditional and online media is the best way to explore how to effectively optimize new media, such as social networks and online video, to increase the chance of achieving business goals."
For more information, visit www.biakelsey.com/Research-and-Forecasts/LocalMediaForecastFull.asp.