Marketers knew it was going to happen sooner or later, and it finally did in 2013 â€“ US online ad revenue passed up broadcast TV ad revenue for the first time. Ad revenue online hit $42.8 billion in 2013 according to the latest report from the Interactive Advertising Bureau, while TV ad revenue was only $40.1 billion in 2013.
Of course, that’s not the same as the total TV ad spend, since cable TV accounts for a huge amount of ad revenue. The total TV ad spend, counting network, syndication, spot, and cable TV, was $66 billion in 2013. Still, it’s an important milestone, as online ads grew some 17 percent over 2012 numbers. Mobile ad spend grew 110 percent, reaching $7.1 billion.
â€œThe news that interactive has outperformed broadcast television should come as no surprise,â€ said Randall Rothenberg, President and CEO, IAB. â€œIt speaks to the power that digital screens have in reaching and engaging audiences. In that same vein, the staggering growth of mobile is clearly a direct response to how smaller digital screens play an integral role in consumers’ lives throughout the day, as well as their critical importance to cross-screen experiences.â€