Emerging Technology

US television ad spending grows alongside internet: Study

Andrew Sadauskas /

Spending on television advertising in the US grew by 4.5% year-on-year, despite predictions the growth of the internet would erode television spending, according to a new Nielsen survey.

According to the study, US advertising on television reached $US72 billion, greater than the advertising spend for the internet ($US6 billion), radio ($US7 billion), magazines ($US16 billion) and newspapers ($US12 billion) combined.

Interestingly, the survey showed the majority of the growth in television ad spending came from cable TV (up 42% since 2007) and Spanish language network TV (up 16% year-on-year), with both syndicated and network TV remaining flat.

However, the Nielsen figures significantly diverge from a survey released last month compiled by the US-based Interactive Advertising Bureau and the US arm of PricewaterhouseCoopers, showing that revenues from internet advertising grew by 22% year-on-year during 2011 to $US31 billion.

Given that Google’s quarterly revenues exceeded $US6 billion back in 2010, it is likely the Nielsen figures significantly underestimate online advertising spending in the US.

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Andrew Sadauskas

Andrew Sadauskas is a former journalist at SmartCompany and a former editor of TechCompany.

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