login

metanavigation

contentarea

VPRT German Advertising Market Forecast Spring 2017

18. Mai 2017

6 Billion Euros in Advertising Revenue Expected for TV, Radio, Video and Audio Offerings in Germany

• 2016 statistics: growth and record revenues in all segments of audio and audiovisual media
• Forecast for 2017: sustained positive trend in TV, radio, video and audio revenues set to continue

Berlin, 18 May 2017 Coinciding with the annual "Advertising Plenum" organised by the German Advertising Federation (ZAW), the Association of Commercial Broadcasters and Audiovisual Services in Germany (VPRT) has today published its spring forecast on ongoing trends in the advertising market during 2017 for the segments of TV, radio, audio and video advertising. In the case of audio and audiovisual media, the Association is predicting total revenue growth of 3.3 to 4.1 percent for 2017 (growth in 2016: 4.4 percent) to around 6 billion euros (2016 revenue: 5.7 billion euros) and a share of the advertising market which will for the first time exceed 38 percent (2016: 37.39 percent).

Hans Demmel, Chairman of the VPRT Board said: "In Germany, radio, television and new audio and video offerings are again continuing their sustained stable growth of recent years into 2017. These figures demonstrate the economic significance of this media sector, which subsequently generates a wide-scale positive effect for the economy as a whole. In view of their high reach, these offerings are also of major political and social relevance, providing information and orientation for people across the country."

According to the VPRT forecast, net advertising revenue in the television sector will increase by 2.0 to 2.5 percent in Germany during 2017 (growth in 2016: 3.1 percent) to around 4.7 million euros (2016 revenue: 4.6 billion euros). For the first time, the market share held by TV advertising will probably grow to over 30 percent (2016: 29.68 percent). Added to this is the net advertising revenue generated in the in-stream video advertising sector. In this segment, a growth of 20 to 25 percent (2016: 24 percent) is forecast to around 0.5 billion euros (2016: 0.4 billion euros). This means that, compared with the previous year, additional investment in TV and video advertising is again anticipated to reach around 200 million euros (2016: 213.8 million euros). Total revenue from TV and video advertising is expected to rise by between 3.4 and 4.3 percent in Germany (growth in 2016: 4.5 percent), exceeding 5 billion euros (5.1 to 5.2 billion euros) for the first time.

Net advertising revenue in the radio sector is expected to rise by 1.5 to 2.0 percent in 2017 (2016: 3.3 percent) to some 780 million euros (2016: 768 million euros). As a result, radio advertising is anticipated to increase its market share to more than 5 percent (2016: 5.0 percent) in Germany. Based on a comparatively low initial figure, the Association is also forecasting a 25 to 30 percent rise in net advertising revenue for the in-stream audio advertising segment in 2017 (2016: 40 percent) to between 26 and 27 million euros (2016: 21 million euros). Additional investment totalling around 19 million euros (2016: 31 million euros) is expected in the radio and audio advertising sector, with ad revenue growing by 2.1 to 2.8 percent (growth in 2016: 4.1 percent) to exceed 800 million euros (2016: 805 to 810 million euros) for the first time.

Frank Giersberg, Member of the VPRT Management Board said: "Advertising in audio and audiovisual media continues to record sustained growth. During last year, the sectors of TV, radio, audio and video advertising all reached new record figures. And in 2017, we are for the first time heading for record revenues of 6 billion euros. As a result, audio and audiovisual media are becoming increasingly important for the advertising industry."

In its trend forecast for the ongoing development of the advertising market over the next five years, VPRT anticipates a further rise in the demand for audio and audiovisual media content, as well as for advertising opportunities.

While stable performance and moderate growth are expected in the case of linear offerings, the Association is again forecasting high innovative momentum and double-digit percentage growth in advertising revenue over the next five years for non-linear and interactive channels, such as video-on-demand, audio-on-demand, Smart Radio, Smart TV and virtual reality. At the same time, a sustained high level of competitive dynamics, along with ongoing fragmentation and increasing convergence in terms of offerings and advertising are to be expected over the next few years. It is envisaged that data-driven business models (e.g. programmatic advertising) will likewise gain greater significance.

In this market environment, media enterprises will continue to make substantial investments in new offerings and technologies and to this end, will be more reliant than ever before on fair competitive conditions, as well as legal and planning certainty in a modern, convergent legal framework.

Today´s figures published by VPRT supplement Germany´s official advertising statistics issued by the ZAW which are based, among other things, on the revenue reports compiled each year by VPRT. The ZAW statistics also document a consistent positive performance in the field of TV and radio advertising. The VPRT spring forecast for the advertising market in 2017 is based on a survey conducted among relevant companies and expert interviews.

 

Current figures
Net advertising revenue generated by audio and audiovisual media in Germany
in EUR mill. €, changes compared with 2016 in % und in EUR mill.

 

2016

Change
in %

Change
in EUR mill.

2017e

Change
in %

Change
in EUR mill.

Television advertising

4,560

3.1

138

4,651 - 4,674

2.0 to 2.5

approx. 100

In-stream video advertising

396

24.0

76

475 - 495

20 to 25

approx. 90

TV & video advertising

4,956

4.5

214

5,126 - 5,169

3.4 to 4.3

approx. 190

Radio advertising

768

3.3

25

779 - 783

1.5 to 2.0

approx. 13

In-stream audio advertising

21

40.0

6

26 - 27

25 to 30

approx. 6

Audio advertising

789

4.1

31

805 - 810

2.1 to 2.8

approx. 20

Total A/AV

5,744

4.4

245

5,931 - 5,979

3.3 to 4.1

approx. 210

Source: VPRT Advertising Market Forecast for Germany (Spring 2017)

 

 

Previous years
Net advertising revenue generated by audio and audiovisual media in Germany
in EUR mill.

 

2011

2012

2013

2014

2015

2016

2017e

Television advertising

3,981

4,038

4,125

4,292

4,422

4,560

4,651 - 4,674

In-stream video advertising

NS

NS

200

250

320

396

475 - 495

TV & video advertising

3,981

4,038

4,325

4,542

4,742

4,956

5,126 - 5,169

Radio advertising

709

720

746

738

743

768

779 - 783

In-stream audio advertising

NS

NS

< 10

11

15

21

26 - 27

Audio advertising

709

720

> 750

749

758

789

805 - 810

Total A/AV

4,690

4,757

5,080

5,291

5,500

5,744

5,931 - 5,979

Source: VPRT Advertising Market Forecast for Germany (Spring 2017)

 

 

Advertising market shares held by audio and audiovisual media in Germany
in percent

 

2011

2012

2013

2014

2015

2016

2017e

Television advertising

24.83

26.02

26.85

28.00

29.06

29.68

> 30

Radio advertising

4.42

4.64

4.86

4.81

4.88

5.00

> 5

In-stream advertising

 NS

NS

1.34

1.70

2.20

2.71

> 3

Total A/AV

29.26

30.66

33.05

34.51

36.15

37.39

> 38

Source: VPRT Advertising Market Forecast for Germany (Spring 2017)
(Basis: Advertising media acc. to ZAW)

 

Charts VPRT Spring Forecast for the German Media Market in 2017

 

Additional VPRT Publications
VPRT monitors market developments in Germany´s audio and audiovisual media sector based on regular surveys and publications. This year, the Association has already published the VPRT Media Use Analysis 2016 and, following this spring forecast for the advertising market in 2017, will be highlighting developments on the pay-TV market during the summer with its pay-TV statistics (July) and in the autumn, will be publishing its 2017 revenue forecast for all audiovisual media sectors (October).

More latest market data

Queries to:
Frank Giersberg, Member of the Board of Directors, Market and Business Development   
T | +49 30 3 98 80-100, E | giersberg@vprt.de
Press Spokesman Hartmut Schultz, Hartmut Schultz Kommunikation GmbH
T | +49 30 3 98 80-101, E | schultz@schultz-kommunikation.de
 

About VPRT
VPRT represents commercial broadcasting and audiovisual companies in Germany. With their TV, radio, online and mobile offerings, its approximately 150 members enhance Germany´s media landscape in terms of diversity, creativity and innova-tion. To ensure that things remain this way even in the digital world, the regulatory, technological and economic parameters must be right. As a trade association, we support our companies in their dialogue with politicians and market partners in order to achieve this goal – at both a national and EU level.

Verband Privater Rundfunk und Telemedien e.V.
Stromstrasse 1, 10555 Berlin
Rue des Deux Eglises 26, B-1000 Bruxelles – Brussels Office
T | +49 30 3 98 80-0, F | +49 30 3 98 80-148
E | info@vprt.de  
www.vprt.de


additional information

Kontakt

Frank Giersberg

Mitglied der Geschäftsleitung / Markt- und Geschäftsentwicklung, Kaufmännischer Leiter

Kontakt

Hartmut Schultz

Pressesprecher
Keyfacts RFM
Banner Newsletter Subpage

contentarea bottom