Local TV's Online Revs Up 25%
Growth rate of online revenue for local TV stations will slow down somewhat this year.
Borrell Associates says there will be a 25% increase to some $2.7 billion in 2012 over 2011. In 2011, a 41% growth rate was witnessed -- to $1.97 billion.
Good news for TV station operators: the pace of online revenue in 2012 will be slightly better than the overall local online marketplace, which will grow 21% this year. Last year, the total local online marketplace was $16.4 billion.
At present, TV stations have a 12% share of the overall local online media market. Those independent local online media operators have the largest with a 46.2% share; newspapers are at a 24.7% share; and directories are at 12.6%. In the last nine years, TV stations' share has climbed from a scant 0.4% share of local online media revenues.
Radio pulled in $295.2 million in local online revenue in 2011 -- a 1.8% share, slightly down from the year before. Predictions are that radio will reach $409.9 million in local online ad sales for 2012, a 35% increase over 2011.
Borrell says TV has been a fast-moving business when it comes to local online revenue -- where it has had an compounded annual growth rate of 45%, faster than the industry as a whole.