Total local ad spend in Los Angeles will come in at approximately $9.1 billion this year, according to BIA. That’s half of all the advertising money spent in the entire state, according to BIA’s California market intelligence report. A total of $18.8 billion will be spent in California’s 12 media markets with radio bringing in $1.66 billion. Here’s where the majority of the ad money is being spent in that state.
According to BIA’s new report, the top five choices for local advertisers in California are:
Direct mail ($4.81 billion)
TV Over-the-Air ($2.66 billion)
Mobile ($2.38 billion)
Online ($2.21 billion)
Radio Over-the-Air ($1.66 billion)
Key vertical markets of retail, general services, and financial/insurance across the state will cumulatively spend nearly $8 billion divided between traditional and digital media, with mobile advertising experiencing the highest growth of any media. BIA’s forecasting shows that financial and insurance industry advertisers will increase their spend by at least 18 percent from 2018 through 2022.
According to BIA’s research, over the next five years, local Financial/Insurance digital and traditional ad spending growth in California is projected to primarily grow through:
Mobile (+$290 million)
Online (+68 million)
Email (+$29 million)
In the top three California media markets — Los Angeles, San Francisco, and Sacramento – the spend by the top three verticals varies, according to BIA’s forecast:
Retail: LA $1.74 billion; San Francisco $869 million; Sacramento $350 million
General Services: LA $1.07 billion; San Francisco $493 million; Sacramento $192 million
Financial/Insurance: LA $1.00 billion; San Francisco $489 million; Sacramento $199 million.
BIA will present its California market intelligence to advertising and media executives at its LOCAL IMPACT Los Angeles conference at the Hotel Indigo on July 12.