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State of the Screens

Why Traditional TV Is in Trouble

By May 23, 2018No Comments

The upfront season is here with ≈ $9.7B in ad sales expected.

National TV ad spend in 2017 (% of total):
1)
Upfront — $9.7B (23%)
2) Non-upfront — $32.6B (77%)

National TV ad spend by year according to eMarketer:
1)
2016 — $43.3B (↑ 1%)
2) 2017 — $42.3B (↓ 2%)
3) 2018 — $41.7B (↓ 1%)
4) 2019 — $41.2B (↓ 1%)
5) 2020 — $40.6B (↓ 1%)

Older audience: 9 of the top 10 entertainment shows on TV have an average age above 52.

Flashback: As Viewers Drift Online, Advertisers Hold Fast to Broadcast TV

Must see chart from Recode breaking down the viewership for the top 10 shows in 2000 and 2016.

More #1: TV viewers have been disappearing, but TV ad spending keeps chugging along

More #2: Pay TV Subscriber Declines Stabilize in Q1

Pay-TV subscriber growth YoY:
1)
Cable — ↓ 323K
2)
Satellite — ↓ 418K
3)
Telco — ↓ 68K
4)
Streaming — ↑ 562K

Michael Beach

Michael Beach

Michael Beach is the Chief Executive Officer of Cross Screen Media, a media analytics and software company that enables marketers to plan, activate, and measure CTV and linear TV at the local level. Michael is also the founder and editor of State of the Screens, a weekly newsletter focused on video advertising that is a must-read for thought leaders in the advertising industry. He has appeared in such publications as PBS Frontline, The Wall Street Journal, The New York Times, Axios, CNBC and Bloomberg, and on NPR’s Planet Money podcast.