United States Media Market
The media industry has undergone a vast transformation over the past 100 years, including a drastic shift in spending occurring in the past ten years. As the industry continued to evolve, from early radio programming in the 1920s to public service announcements ran during the World Wars, there were various needs for effective communication. Advertising became essential for businesses and individuals to communicate their messages to specific audiences. With the launch of commercial television programming in the fifties and cable television in the eighties, there became new developments in communication vehicles for businesses to leverage. With businesses leveraging a variety of media venues, this has led to the growth of this industry to reach $160 billion dollars in the US.
Two Decades of Change
Over the past decade, the growth of the internet, digital media, and the advancement of technology in general, has turned the US media industry upside down. Major newspapers have collapsed into bankruptcy as people flock to the internet to obtain news and information. Broadcast radio networks have been replaced by commercial free satellite radio and iPods. Cable has given consumers hundreds of choices and reduced the three major network’s primetime audience share from 80% to 45%. With shifting marketing dollars into new technologies, the brutal competitive environment has dried up the once indestructible moat protecting these media businesses.
-More Print Ad Declines Coming, Erik Sass, Tuesday, January 15, 2013 8:15 PM, www.mediapost.com