Consulting firm BIA Advisory Services increased its 2022 estimates for local advertising revenue from $161.5 billion to $173.3 billion, citing faster than anticipated growth in digital advertising, as well as a strong political year. The 11.4% boost reflects how consumers are increasingly embracing digital channels, allowing for easier and higher levels of local media consumption.
BIA’s forecast provides a nationwide view of U.S. spending, tracking traditional and digital channels across 96 sub-verticals, such as automotive and retail. This week’s announcement is an update to estimates the company made late this summer.
While traditional media, which includes channels like cable and direct mail, still holds a slight advantage with a forecast of $88 billion (50.8% of total ad revenue), digital media is not far behind, with an estimated $85 billion in spend (49.2% of total ad revenue). The closing gap is even more clear when compared to last year’s forecast, which saw traditional media accounting for $76.1 billion, or 55.3% of total ad revenue, and digital media accounting for $61.5 billion, or 44.7%.