As the overall U.S. advertising market slowly recovers, TV advertising is forecast to perform better than expected for 2020 -- declining 2.8% to $75.1 billion -- virtually the same decline as for the U.S. advertising market overall.Strong political activity has driven TV’s improvement, as well as the rescheduling of virtually all major sports in the third quarter and the return of scripted TV programming in the fourth quarter, according to MoffettNathanson Research.
Total U.S. TV advertising was previously estimated to sink 10% this year.
Overall U.S. advertising revenue is projected to decline 2.1% to $222.6 billion -- better than the previous forecast of 4.9%.
Digital and online advertising remains the dominant advertising media platform, slated to grow 8% to $113.2 billion this year -- also double expectations compared to a previous growth estimate of 4.1%.
U.S. local TV stations will also see positive growth for the year due to a strong lift in political advertising -- up 8.3% to $22.4 billion.
Advertising-supported and connected TV platforms will see the biggest growth rate for 2020 -- a 31% improvement to $4.2 billion.
In the third quarter, Hulu gained 5% to $540 million, while Roku added 63% to $160 million, Pluto TV was up 92% to $125 million and Tubi TV was 77% higher to $70 million, according to MoffettNathanson analysis and estimates and company reports.
Most traditional media platforms will sink further, with newspapers declining by 25% to $8.9 billion, radio also down 25% to $12.8 billion, consumer magazines declining 25% to $6.2 billion, and outdoor down 22.5% to $6.5 billion.