Digital Ad Spending Will Surpass TV Spending For The First Time In U.S. History

By November 2, 2018Uncategorized

As with every industry, the movers and shakers will always follow the money. For the first time in TV history, the money isn’t being funneled toward actual TVs. Instead, digital platforms continue to eat up more and more business and by the end of 2016, eMarketer projects that U.S. digital ad sales will surpass traditional TV for the first time.

This marks a massive shift in the way business is conducted. It’s a new paradigm for the TV industry that threatens the viability of the old model similar to how the rise in mobile gaming has stunted the growth of portable gaming systems.

According to the report, advertisers will have spent $72.09 billion on U.S. digital advertising by the end of 2016, while TV spending will account for $71.29 billion. This will give digital a 36.8% share in media ad spending, slightly higher than TV’s 36.4%.

“Digital advertising is not only pulling dollars from traditional media, but it’s also creating new opportunities at the local and national level,” eMarketer forecasting analyst Martin Utreras wrote in the report.

Leave a Reply