Local Ads Expected To Hit $146B In 2016, Digital Is Largest Slice

 

• by Wayne Friedman, Yesterday, 3:43 PM

U.S. local advertising will see modest growth next year -- about the same pace at the overall economy.

 

Total local advertising revenues in the U.S. will climb 3.75% to $146.6 billion in 2016 -- up from $141.3 billion this year, according to BIA/Kelsey, the advisory company focused on local media.

The company says this will follow the overall economic growth of the U.S. economy, which is also projected to rise by low single-digit increases.

 

The fastest-growing area is all local online/digital revenues -- with a 12.1% rise to $42.6 billion from $38 million in 2015.

 

Direct mail will maintain the largest share -- at 25.6% ($37.5 billion). Local TV is next, at 14.5% ($21.3 billion), followed by online/interactive at 11.3% ($16.6 billion); radio at 10% ($14.7 billion); newspapers at 9.8% ($14.4 billion); mobile at 7.7% ($11.3 billion); out-of-home at 5.6% ($8.21 billion); and local cable at 5.1% ($7.48 billion).

 

Newspapers-online, come in at 2.6% ($3.8 billion); followed by Yellow Pages-print at 1.7% ($2.49 billion); Yellow Pages-Internet at 1.6% ($2.35 billion); local email at 1.6% ($2.35 billion); magazines at 1%, ($1.47 billion); radio-online at 0.8% ($1.17 billion); TV-online at 0.7% ($1.03 billion); and magazine-online at 0.3% ($440 million).