Here’s one projection: Forrester says the amount U.S. advertisers spend on digital advertising will overtake the revenue for TV advertising in 2016. By 2019, digital ad revenue will be up to $103 billion, with TV revenue lagging behind at $85.8 billion
But that isn’t the real issue. The main concern is which companies will come out on top, whether digital advertising networks, programmatic services, digital video middle players, or maybe some traditional TV-video purveyors.
Despite continued weakening TV ratings overall -- not just on broadcast but also on cable -- TV networks will focus on “premium” content they own and will look to increasingly monetize in the digital space.
Mobile looks to drive a big chunk of the digital expansion -- where lots of TV networks are already situated, and where brands will look to buy in soon. A recent estimate from BI Intelligence was that consumers spent 20% of their time with mobile devices --but only 4% of brands’ advertising share was spent on mobile. By way of comparison, consumers spent 5% of their time with print media, but that industry gets 19% of advertising dollars.
And for all the worries about traditional TV crumbling, time spent and advertising spending isn’t that out of line for this category: Consumers spend 38% of their time on TV, with advertising spend 43% of the total.