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Digital TV Video Soars, Traditional TV Ads Good

9 Apr, 2014 By: Doug McPherson

NEW YORK – While traditional TV advertising is making single-digit percentage gains, digital TV video is seeing rapid, double-digit growth, says eMarketer.

TV advertising will rise 3.3 percent in 2014 to $68.54 billion, with digital video advertising spending moving 41-percent higher to $5.89 billion.

eMarketer projects that from 2015 to 2018, traditional TV advertising platforms will see similar increases – rising between 3 percent and 4.5 percent each year to land at $78.64 billion four years from now. Meanwhile, digital video advertising will see bigger growth hikes, measuring between 13 percent and 30 percent annually to hit  $12.2 billion by 2018.

eMarketer also says digital video total advertising will slowly consume some of traditional TV’s share, rising from 9 percent of share in 2014 to more than 16 percent in 2018.

In the U.S. in 2013, there were 186.2 million digital video viewers – an 8.5-percent increase from 2012 and more than three-quarters of all Internet users. In 2014, the number of digital video viewers will increase another 4.5 percent to reach 194.5 million, or 77.3 percent of U.S. Internet users.

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