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BIA/Kelsey Reports Local Television Revenues Rose 23.2% to $19.4 Billion in 2010, Driven by Political Campaigns and National Advertising

Online and digital revenues projected to reach $890 million by 2015


News provided by

BIA/Kelsey

Apr 29, 2011, 05:00 ET

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CHANTILLY, Va., April 29, 2011 /PRNewswire/ -- The local television industry experienced 23.2 percent growth in 2010 and achieved over-the-air revenues of $19.4 billion, according to this year's first edition of BIA/Kelsey's quarterly "Investing In Television® Market Report." BIA/Kelsey, adviser to companies in the local media industry, expects 2011 television industry revenues to dip during this non-election year before rising again in 2012. BIA/Kelsey also reports local television stations earned $450 million from digital and mobile advertising in 2010 and estimates that number will climb to $890 million by 2015.

"Last year's impressive numbers were buoyed by strong political spending and a faster than expected rebound in ad buying by national advertisers wanting to reach local audiences," said Mark Fratrik, Ph.D., vice president, BIA/Kelsey. "Even with some erosion of viewers, it was a strong demonstration that local television continues to show its value to advertisers by delivering the shoppers, voters, and influencers they want to reach."

A chart depicting BIA/Kelsey's five-year forecast for the local television industry is available at http://www.biakelsey.com/images/tvstationvevs10.jpg.

According to BIA/Kelsey's U.S. Local Media Annual Forecast (2010-2015), the local advertising ecosystem is currently dominated by traditional media, with television's share at 14.6 percent. Revenues for the overall local media advertising marketplace, defined by BIA/Kelsey as those media that provide local audiences to all types of advertisers, will grow at a 2.4 percent compound annual growth rate over the next five years, reaching $153.5 billion by 2015.

"Local television maintains its strength and appeal because of its ability to deliver viewers on specific days and times," said Rick Ducey, chief strategy officer and program director of BIA/Kelsey's Digital Strategies for Broadcasting practice. "With continued growth expected in its ability to leverage its over the air brand and continue the conversation with viewers through online, interactive and mobile local media, we see the television industry continuing its positive course through the decade."

The complete U.S. Local Media Annual Forecast is available to clients of BIA/Kelsey's Digital Strategies for Broadcasting (DSB) advisory service, which provides the research and analysis on business models, multiplatform strategies, technology, advertising models and industry trends that enables local broadcasters to claim their share of the new local media ecosystem.

For information on becoming a DSB client, contact Steve Passwaiter at (703) 802-2973 or [email protected].

Investing in Television

A comprehensive profile of all 210 television markets (plus Puerto Rico) and television market projections through 2015 are available in the first-quarter edition of Investing In Television® Market Report published by BIA/Kelsey and the 2011 Investing In Television® Ownership Report. New for 2011 is the inclusion of individual, market-level, online advertising revenue estimates. Information on these publications is available at http://www.biakelsey.com/Research-and-Forecasts/Publications/Investing-In-Television. BIA/Kelsey also publishes investment reference guides and provides data services for the television and newspaper industries. For more information, call (800) 331.5086 or email [email protected].

About BIA/Kelsey

BIA/Kelsey advises companies in the local media space through consulting and valuation services, research, Continuous Advisory Services and conferences. Since 1983 BIA/Kelsey has been a resource to the media, mobile advertising, telecommunications, Yellow Pages and electronic directory markets, as well as to government agencies, law firms and investment companies looking to understand trends and revenue drivers. BIA/Kelsey's annual conferences draw executives from across industries seeking expert guidance on how companies are finding innovative ways to grow. Additional information is available at http://www.biakelsey.com, the company's Local Media Watch blog and on Twitter at http://twitter.com/BIAKelsey.

SOURCE BIA/Kelsey

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