Remember when broadcasters would talk about their online projects and say, "But when do we start making money off it?"
That revenue is increasing, according to research by BIA Advisory Services. The report finds that broadcasters "are showing signs of progress by developing Internet revenue for their stations."
It estimates radio and TV stations collectively drove $805 million in online revenue, "equal to 7.3% of the $11 billion local online advertising money spent in 2008," as reported by BIA's Kelsey Group.
"This breaks down to $342 million for radio and $463 million for television in 2008," the company continued. "BIA projects the broadcasting industry's online revenue will climb to as much as $1.9 billion by 2013 if the industry continues its transformation to multiplatform solutions."
VP Mark Fratrik expects a compounded annual growth rate of 18.6% for online broadcasting advertising through 2013. "Given the challenges facing broadcasting, it's even more important for broadcasters to continue to step-up their mobile and Internet offerings."
The chart shows radio and television Internet revenues from 2008 to 2013 as projected by BIA Advisory Services.