BIA Lowers '09 TV Revenue Projection, Too
July 2, 2009 at 4:49 AM (PT)
After lowering its revenue projections for radio in early JUNE, BIA ADVISORY SERVICES has lowered its projections for television as well, now looking for a 17.3% decline to $16.6 billion for 2009, a level not seen since 1995.
"Transactions have slowed to an anemic pace and reflect the general lack of financing currently available for stations and broadcast groups and the poor industry attitude," said BIA VP MARK R. FRATRIK. "We believe that companies are waiting on the sidelines for an improved economy and for the right opportunities to make strategic acquisitions."
"We are very optimistic about the online revenue potentials for television broadcasters, particularly as they step-up their mobile and Internet offerings," said BIA's THE KELSEY GROUP mobile local media analyst MICHAEL BOLAND, neglecting the company's advice that stations look at themselves as local information and entertainment companies rather than just television transmitters. "We project the industry will see Internet revenues of $556 million in 2009, moving up to $1.1 billion by 2013. This represents 19.7 percent compounded annual growth rate for online television broadcasting advertising alone."
In JUNE, BIA changed its radio projection from a 10.6% drop to a 15% decline to approximately $14 billion in yearly revenues.