Rapid Growth Forecast for Political Online Ads

"Explosive" growth in online political ad spending is being projected by ad forecasting firm Borrell Associates. A political advertising outlay of $8.3 billion is forecast to flood all media markets for the midterm elections, up from the $7.2 billion spent in 2010, the previous midterm election year, according to the Borrell 2014 forecasts reported by Deadline Hollywood. But the shares of the pie going to broadcast TV, cable TV, online and newspapers are shifting. While broadcasters are expected to reap $4.6 billion this year, or 55.4% of the ad spend for all races and ballot issues, that take is actually down from its 57.5% share in 2010, and broadcast's share is expected to shrink further to 52.6% in 2016. Where's the money going? Cable and online are "the only media choices projected to gain share" this year, per the Borrell report. In fact, online’s projected $271.2 million is up 1,825.2% from its $14.1 million in 2010. Although online ads are expected to account for just three cents of every ad dollar spent on all 2014 political contests, "current forecasts call for explosive growth to continue, nearing the billion-dollar level by 2016′s Presidential election," according to another quote from the report. By 2016, online will account for 7.7% of ad spending, ahead of newspapers' 7.1%. Display ads and video will make up three quarters of this year’s online spending. Forecasters attribute political campaigners' new "fascination" with online to its targeting ability, quick response and relatively low cost as well at to generational shifts that see millennial voters "much more likely to turn to streaming video and social media" for political information. For a summary of the report, see http://www.deadline.com/2014/06/political-ad-spending-tv-online-borrell/