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TV viewers have been disappearing, but TV ad spending keeps chugging along

Is that this the 12 months TV advertisers after all catch as much as TV audience?

You recognize what’s been taking place to TV audience: They’ve been disappearing, 12 months after 12 months. However TV advertisers haven’t adopted go well with: They’ve stored their spending the similar — and even greater it — 12 months after 12 months after 12 months.

The published TV “upfronts,” which kick off Monday morning, illustrate the craze well. The upfronts are a chain of glitzy showcases placed on through the networks, adopted through weeks of negotiating the place advertisers decide to the majority of the TV spending they’ll do for the following 12 months.

For lots of the final decade, in advance spending has grown. Final 12 months, cable and broadcast networks bought $nine.7 billion value of commercials for the upfronts, a 6 p.c building up from 2016 consistent with knowledge from Media Dynamics.

In the meantime, the collection of folks paying for TV — and, through extension, staring at the ones commercials — has been declining. In 2017, 93.eight million folks paid for TV, down four p.c from the 12 months prior to, consistent with S&P World Marketplace Intelligence.

Previously, TV advertisers have introduced a spread of the explanation why they haven’t pulled their spending from a shrinking medium. However possibly that is the 12 months that adjustments: Magna World predicts that in advance advert spending will decline no less than 1 p.c this 12 months.

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