Television Advertising that Works: An Analysis of Commercials fro ...

Television Advertising Expenditures

While audience fragmentation challenges television programmers, advertisers look to engagement or another relevant ways to justify advertising ROI. Even with the change and growing uncertainty, evidence through the continued growth of advertising expenditures provides some reassurance that advertising on television remains a viable way to reach a mass audience. However, we see a noted shift occurring from traditional broadcast network television to cable. This change of dollars from broadcast television to cable television shows up in 2004 U.S. media expenditures. Even with the shift, television broadcast networks still dominate as a place for advertisers to spend their money. According to the Adage 2005 FactPack, broadcast television ranked third behind direct mail and newspapers in overall advertising expenditures with total expenditures reaching $41.93 billion. This shows a decrease of .3% from 2003. The top seven broadcast networks by advertising revenue were:

Although cable ranked fifth in overall advertising expenditures behind radio ($19.1 billion) at $18.81 billion, the industry grew 15.4% compared to 2003. The top five cable networks by revenue include: