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Thursday, 28 March 2024

Advertising, Agcom: “In 2019 for the first time online collection exceeds that of TV”

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“For the first time in 2019, revenues from Internet advertising exceed those from television advertising”. This is what emerges from the estimate contained in the Focus ‘Online Advertising’, published by the Authority for Guarantees in Communications, whose data show that last year the resources allocated to online advertising reached 41% of the total, compared to 39% reserved for television, 7% for the daily press, 6% for radio and periodicals.

“A trend – explains Agcom – which according to the Authority’s estimates will also consolidate in 2020: although it is expected that the impact of the pandemic will not even spare online advertising, a further widening of the gap between advertising revenues is expected on the web and the collection of other sectors “.

Furthermore, according to the analysis contained in the Online Advertising Focus, the distribution of advertising sales on the web shows a highly asymmetrical trend, in which 1% of subjects make 68% of revenues, while the remaining share is made up of thousands of operators who obtain marginal revenues from the sale of advertising space.

“The breakdown of advertising revenue by operator category – Agcom notes – shows a constant growth in the weight of online platforms compared to traditional publishers and dealerships. Regardless of the scenarios envisaged for 2020 following the epidemic crisis, the share of platforms is expected to continue to increase, reaching 80% of the total in terms of gross revenues “.

Examining the entire Internet advertising chain, including technological services functional to the sale of advertisements, the Authority finally finds that “the platforms achieve a majority share of revenues in all stages of value creation. Therefore, both the growing difficulty of traditional publishers and dealerships in competing in the sector emerges, and – concludes the Authority – their dependence on the intermediation services offered by the platforms “.

TO KNOW MORE
The ‘Online Advertising’ Focus created by the Communications Authority is available at this link.

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