Sharply rising business for all data points of streaming platforms, not surprisingly, has media buyers estimating streaming’s piece of upfront ad revenue is at or over a 50% share of total
national TV advertising upfront deal-making.
At an industry event, Dani Benowitz, IPG Mediabrands’ global chief negotiations officer, said half or more of upfront dollars -- $12 billion this
year and $14 billion in 2026 -- will come from streaming.
Overall, Mediabrands estimates total yearly national TV advertising -- including quarter-to-quarter scatter deals -- means streaming
representing 30% of the money.
Much of this would make sense with what Walt Disney has been disclosing with its upfront deals in previous years.
Last year, Disney said that nearly half
-- more than 40% of total upfront dollars committed that year -- came from addressable platform budgets, which includes streaming platforms and digital video.
Estimated total upfront deals
from all Disney video platforms was roughly at $9.45 billion. That means an estimated $3.7 billion went to streaming a year ago. Figure that could be up this year by 20% -- which now could amount to
$4.4 billion.
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NBCU also said Peacock grew 20% for this year’s upfront -- which could mean about $2.5 billion or more -- for its streaming platform. We can see how Mediabrands gets to its
$12 billion number.
A year ago, Media Dynamics estimated streaming was at $11.1 billion -- up 35% -- in upfront business, with overall national TV/streaming upfront revenues at $29.5
billion.
Where does this leave linear TV -- now?
Consider legacy media
companies aren’t giving much guidance -- or many specific details -- about where linear TV ad revenues have been landing of late.
For example, NBCU did not disclose prime-time upfront
revenue trends in its recent announcement. Prime time was always a key indicator about the upfront ad trends in the past.
A year ago, per Media Dynamics, estimated linear TV upfront business
dropped 4% from 2023 to $18.4 billion -- with broadcast and cable virtually splitting that revenue take.
And this year -- for broadcast and cable? Surely, those declines are accelerating --
with parity revenues for streaming platforms close at hand.