TV Advertising Share of Pie to Grow in 2010/11

Picture for Post #34

After a dismal 2009 for the ad industry, television should actually grow its overall share of the advertising revenue pie over the next couple of years. This coming from the ZenithOptimedia Groups report on the outlook on advertising in the U.S. marketplace.

According to the report, domestic ad spending in general will decline 12.9% this year and will erode another 4.4% in 2010.  But prospects for TV are a lot more encouraging. 

The agency expects television to return to growth next year.  In 2009 it is expected to take 39.3% of all ad revenues and increase to 39.7% and 39.9% in 2010 and 2011, respectively.

So let me get this right, with all the advertising choices out there – traditional and digital – television’s share of the pie is getting bigger not smaller?  How can this be?

The only explanation I can think of is that despite the talk of paradigm shifts and the world’s fascination with anything digital – there’s still enough advertisers, big and small, who are more persuaded by results than hype.

And at the end of the day folks – what else matters?



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