Friday, May 26, 2006

BIA Local Broadcast Revenue Numbers

The BIA released its report on local broadcasting revenue.

From the press release:

"Television market revenues in 2006 will increase by more than seven percent, generating an estimated total $22.2 billion in revenues for the year, according to projections by BIA Financial Network (BIAfn), a leading financial and strategic advisory firm serving the media and communications industries.

This rebound from last year’s almost eight percent slump is expected to come primarily from markets in states with competitive Senate and gubernatorial races, consistent with the two-year pattern that BIAfn has observed for several years. Of the top five ownership groups Fox Television Broadcasting continues to be the leader with $2.3 billion in 2005 revenue from 37 stations, followed by CBS TV, NBC/GE, Tribune Company, and ABC/Disney.

The new media environment is placing tremendous challenges on local television stations. Many stations are focusing on providing local content to distinguish them from national services.

“Local television stations are in precarious positions and must think creatively to drum up new revenue streams,” Mark R. Fratrik, Ph.D., Vice President, BIA Financial Network said. “We believe there will always be a strong desire from the public to have access to local community and regional news. It is just a matter of the stations themselvesidentifying a mode in which consumers will be receptive to receiving it, and a method that can be profitable.”