Analyst Expects $6B in Election Ad Spending

The 2016 elections could generate $6 billion in election year advertising spending with 66%, or $4 billion going to television, according to a new report from a Wall Street analyst.

Marci Ryvicker of Wells Fargo calculates digital will increase its share of political spending, but its gain will not come at the expense of television.

She expects digital’s share to go from a 6% share in 2012 to about 11%, or $650 million in 2016. Most of those funds will come from budgets previously assigned to print. “While every candidate will likely have a digital presence, presence is free - don't confuse ‘interactions’ with ‘ad spend,’” Ryvicker says in her report.

Ryvicker says that Scripps and Gray Television are best positioned among the pure-play broadcasters to cash in on political spending in the hottest state races for presidential electoral votes, U.S. Senate, governor, and U.S. House.

She said stations owned by Comcast, Disney and CBS should also pick up a good chunk of spending in those hot markets.

(Photo via Pictures of Money's FlickrImage taken on Sept. 17, 2015 and used per Creative Commons 2.0 license. The photo was cropped to fit 3x4 aspect ratio.)

Jon Lafayette

Jon has been business editor of Broadcasting+Cable since 2010. He focuses on revenue-generating activities, including advertising and distribution, as well as executive intrigue and merger and acquisition activity. Just about any story is fair game, if a dollar sign can make its way into the article. Before B+C, Jon covered the industry for TVWeek, Cable World, Electronic Media, Advertising Age and The New York Post. A native New Yorker, Jon is hiding in plain sight in the suburbs of Chicago.