Television Broadcasting in the US Industry Market Research Report from IBISWorld Has Been Updated

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As a result of intensifying competition stemming from consumers and advertisers' continual switch to competing media, industry revenue has declined; going forward, TV will become more interactive and customized for individual viewers. For these reasons, industry research firm IBISWorld has updated a report on the Community Colleges industry in its growing industry report collection.

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The industry's business model is changing as TV becomes more interactive and customized.

Alternative forms of media are currently vying for audiences and advertising revenue that the Television Broadcasting industry traditionally received. According to IBISWorld Industry Analyst Darryle Ulama, “Although advertising revenue has started to rebound slightly, due to rising corporate profit that has enabled many companies to expand advertising spending, new online channels have also started attracting an increasing share of marketing budgets.” As a result of intensifying competition stemming from consumers and advertisers' continual switch to competing media, IBISWorld anticipates revenue for the Television Broadcasting industry to decline at an annualized rate of 1.1% to $37.6 billion in the five years to 2013. This includes an anticipated decline of 0.8% in 2013.

Over the past five years, the mandated transition to digital transmission proved costly for broadcasters. This change led to cost-cutting initiatives, such as layoffs, and diminished spending on programming. Consequently, industry employment is estimated to have declined since 2008 at an annualized rate of 1.2% to 119,069 workers in 2013.

The shift in consumer preferences from broadcasting to cable services has also constrained the industry, forcing industry operators to start demanding that cable companies pay broadcasters a fee for retransmitting programming. “This move would help diversify revenue and boost industry profitability,” says Ulama. As a result, IBISWorld expects profit to expand in the five years to 2013.
The broadcast TV business model will continue to experience significant changes in the five years to 2018, as TV becomes more interactive and customized for individual viewers. Relaxed ownership regulations will likely lead to further consolidation and additional layoffs because the broadcasting spectrum is limited and government regulations currently prohibit new stations from being developed. These factors, combined with improving per capita disposable income and advertising expenditure, are projected to stimulate revenue growth in the five years to 2018.

IBISWorld estimates that the top companies in the industry are NBCUniversal Inc., The Walt Disney Company and Twenty-First Century Fox Inc. Their dominant market share has stayed relatively constant during the five years to 2013, because some major companies acquired additional stations, while others sold them. The intensifying competition from cable networks has adversely affected broadcasting revenue during this time. As more Americans have started subscribing to and watching cable television, advertisers have started paying higher rates to spots on that medium.

For more information, visit IBISWorld’s Television Broadcasting Industry in the US industry report page.

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IBISWorld industry Report Key Topics

Television broadcasters operate studios and facilities that program and deliver audiovisual content to the public via over-the-air transmission. This industry excludes cable and satellite TV and operators that provide only online content.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit or call 1-800-330-3772.

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Gavin Smith
IBISWorld Inc.
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