Report: TV Stations Finding Multiple Revenue Streams

TV stations, formerly reliant on on-air advertising for revenue, are finally finding multiple revenue streams, according to a new report released Monday (Feb. 8) from SNL Kagan. By 2013, the revenue mix for TV stations will have shifted from a 97 percent reliance on on-air ad revenue to 9 percent from retransmission revenue and 7 percent from online revenue.

“Based on expectations for increasing online and retrans revenue, that 16 percent from nontraditional sources is expected to continue to grow, with mobile interactive revenue also potentially contributing to the category,” wrote Robin Flynn, author of the report.

The more diversified revenue base should help TV stations make up some of the revenue ground lost since 2006 when total revenue stood at $24.6 billion. By 2013, total revenue will reach close to $22 billion, up from less than $19 billion in 2009.

In addition to revenue diversification, SNL Kagan sees other positive signs from a healthier auto category and robust political spending that should help grow TV station revenue up 5 percent to 7 percent in 2010.

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