Denver: Strong start to 2013 on TV

The media economy in Denver had a strong 2012, boosted by a busy end of year following the November elections, and that momentum has continued into 2013.

Pricing on TV is flat to last year, outside of highly rated sports and primetime programming. To start the year there has been high demand from a number of traditionally strong ad categories.

Despite the fact that there are no Olympics or big elections, buyers expect a very good year.

“Pacing is strong and 2013 looks to be a shaping up as a solid ‘odd’ year,” says Lesley White, senior media buyer at Starcom. “Auto, retail and fast food are all starting off very strong, and the only categories down slightly are financial and travel.”

The early morning, early news, primetime and late-night dayparts are all tight, while the early and late fringe dayparts have more available inventory.

The strength of the media economy in Denver mirrors the strong overall economy in Colorado. According to a recent Colorado Business Economic Outlook from the Leeds School of Business at the University of Colorado, the state is expected to gain more than 42,000 jobs in 2013.

If that forecast pans out, Colorado’s unemployment rate will drop from 8 percent in 2012 to 7.4 percent in 2013, below the current national unemployment rate.

More people with jobs means more disposable income, which generally leads to more advertising. Companies are more apt to advertise when they think people have the money to buy their products.

The radio market in Denver is healthy as well, with buyers expecting 2013 to finish up mid to low single digits versus 2012. Pricing varies on a weekly basis, depending on whether it’s a week dominated by auto dealers, but overall pricing is up about 8 percent on average.

“It depends on the week, but non-auto weeks are always easier” to get on the air at the last minute, according to White. “Insurance, grocery, retail and auto are up,” she says.

The radio market in Denver is competitive, with 11 stations in December averaging at least a 4.0 portable people meter rating, according to Arbitron.

Clear Channel has a strong presence in the market, with five of the top 10 stations in December, including two of the top three.

Clear Channel’s news/talk station KOA-AM was No. 1 last month with a 5.4 average PPM rating. It was followed closely by Entercom’s adult contemporary KOSI-FM and Clear Channel’s current hits station KPTT-FM, which each averaged a 5.3.

Tags: 2013, auto, dayparts, denver, denver ad spending, denver radio spending, denver tv spending, economy, KCNC, KUSA, local ad spending, market profile, people, radio, retail, tv