Coronavirus is likely to impact ad sales revenue for TV Groups such as Disney

New Ideas in MarketingEssential news for marketers, summarised by YouGov
March 11, 2020, 7:06 AM UTC

Advertising demand may be disturbed as COVID-19 impacts supply and demand chains.

TV network groups like Walt Disney could lose 3% to 8% in advertising revenue from the second quarter this year through early next year due to coronavirus concerns. COVID-19 could impact advertising demand as supply chains struggle to satisfy demand, and as demand gets suppressed for products such as travel.

However, TV consumption is likely to increase as consumers stay at home due to concerns rearing this disease outbreak. Political advertising for Presidential elections may not affect Disney, as the company has the smallest number of owned-and-operated stations among the major US broadcast networks.

The article states Olympics games could impact Disney’s TV advertising sales if the Games go ahead. Todd Juenger, media analyst at Bernstein Research said Disney is more exposed to other competitive sports networks like ESPN.

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