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U.S. Online and Traditional Media Advertising Outlook 2017-2021

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PwC released its Entertainment & Media Outlook Report, a study that contains projections for online and offline media advertising expenditures through 2021. The following are highlights for major media markets in the U.S.

Online Advertising

  • Online is expected to have a 9.9% compound annual growth rate (CAGR)¹ through 2021.
  • Mobile online is projected to grow at a 18.7% CAGR, with wired online forecast to decline.
Out-of-Home Advertising

  • Out-of-home advertising has the strongest prognosis of traditional media, due to the healthy projected growth in digital out-of-home advertising.
  • Digital out-of-home (ex. billboard, DMV, elevator, gas station) is expected to grow at a CAGR of 8.1%.
  TV Advertising

  • TV is projected to grow slowly at a 1.3% CAGR through 2021, in part due to declining TV viewing.
  • Online TV is slowing, with a CAGR of 7.4% this year.
  Magazine Advertising

  • Consumer magazines will remain flat through 2021; digital’s CAGR of 13.1% will offset print’s -9.7%.
  • Trade magazines are also expected to remain flat.
  Radio Advertising

  • Radio is expected to remain flat through 2021 with a CAGR of 1.2%, excluding satellite radio (which represents a fraction of total radio advertising).
  • Online radio will be the fastest-growing segment, with a CAGR of 8.6%; broadcast radio continues to be the dominant form, but will remain flat in growth.
  Newspaper Advertising

  • Newspapers are expected to see a decline in revenues between now and 2021.
  • Digital advertising’s CAGR of 2.2% is not growing quickly enough to offset print’s -12.6%.
  Cinema Advertising

  • Cinema is predicted to grow at a CAGR of 2.4%.
  • Cinema advertising revenues will continue to be dwarfed by box office revenues.

1 The compound annual growth rate (CAGR) is the proportional growth rate from year to year for a business, used to calculate growth over a time period.

Source: PwC’s Entertainment & Media Outlook, reported by Marketingcharts.com

Filed Under: News

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