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HOME • MANAGE SUBSCRIPTIONS • MEDIA KIT
TVB Says Broadcast TV Revenues Down
by David Goetzl, Friday, June 12, 2009, 5:53 PM

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tv/arrow downGiven GM and Chrysler's troubles, a decline would be expected -- but the speed is nonetheless jarring. Spot dollars for the auto category plunged 52% for the January-March period compared to a year ago, down $364 million. 

In the local TV station business, one-third of revenues might come from the category. And total spot dollars (local and national) for the top-100 markets dropped 28% for the January-March period (to $2.9 billion), according to the Television Bureau of Advertising.

One contributing factor: the first quarter did not have an Olympic Games or a presidential race to help generate revenues, as it had a year ago.

Still, none of the 15 highest-spending TV categories saw a year-to-year increase in the first quarter. Automotive remained the leading sector, but the No. 2 category -- communications/telecommunications, which has shown life on a national level -- saw a 10% decrease, even as Verizon was the single largest spot advertiser, posting a 14% increase.

However, AT&T cut spending by 38% to $37 million.

Insurance, another category with some momentum nationally, experienced a 30% decrease to $119 million. (Berkshire Hathaway, which owns the heavy-spending Geico, cut spot dollars by 31%.) Even with strong box-office sales this year, the motion-picture category saw spending down on local stations by 26% to $55 million, although that was before the summer blockbuster season.

General Mills followed Verizon as the No. 2 spot spender at $54 million, up 42% from a year ago. Procter & Gamble cut spending by 47% and McDonald's by 14%. Executives at both companies have indicated that they have been able to secure more reach for fewer dollars.

The figures released by the TVB come from TNS Media Intelligence.

3 people recommend this article. 



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