TV advertising campaigns will cease to be cost-effective within the next five years, according to a new report by Ebiquity.
The media audit firm projects a 45 per cent decrease in the amount of adverts seen by the 16-34 demographic by 2022, due to the reduction in linear TV viewing.
For the “housewives and kids” demographic, the number of ads seen will drop by 30 per cent, and 15 per cent among ABC1 adults.
The knock-on effect would be price rises for advertisers of 90 per cent, 50 per cent and 20 per cent for the three demographics respectively over the period.
Ebiquity CSO Christian Polman said: “TV has been the go-to media channel for advertisers seeking mass-reach. We are saying that unless action is taken by advertisers and broadcasters that by 2022 TV will no longer hold the crown as having the highest return on investment on a media plan. Advertisers will need to re-evaluate their media plans and investment.”