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Upbeat Upfront Predicted for Broadcast

This year’s broadcast TV upfront will likely dramatically reverse three years of declining upfront volume with rising revenue and higher pricing according to this TVNewsCheck article by Wayne Friedman.

CPM prices are expected to rise 7% to 9% according to media estimates.  Additionally, a rise in total dollar volume, up 3% to 4% overall, to $8.7 billion is forecasted.

These positive projections about the 2016 Upfronts are based on the current scatter market according to this article.  The sharply higher scatter revenue is a result of higher spending by pharmaceutical, food, and automotive marketers.

Friedman also points out that the concerns about digital media by media executives, who have questioned the poor viewability of digital video ads, issues of fraud and ad- blocking by consumers, have benefited the broadcast and cable networks

Geri Wang, President of Advertising Sales and Marketing, ABC Television Network commented on the upfront market, “It’s a strong marketplace; there looks to be more money in the overall TV economy.”  She added, “Advertisers still seek high quality.  People still care about premium TV and premium video.”