Local radio and TV Web sites will be the next largest growth sector in online advertising. That’s according to BIA Financial network.
Although newspaper Web sites typically are more developed than those of radio and television and have greater value at present, stations are positioned for rapid growth over the next few years, resulting in strong multiples for their Web site values, according to a new report, “What’s a Website Worth? Valuation Metrics for Local Websites.”
Issued this week by BIA Financial Network and Borrell Associates, an ad research firm, the analysis concludes that local Web sites hold significant value for their owners, especially if they’ve invested in a way that positions them for growth in high-demand advertising categories such as e-mail, streaming video and paid search.
The uppermost value of some of these local newspaper Web sites was between $300–450 million, and the values for the largest-grossing radio Web sites were seeing values in the $15–20 million range.