Healthcare Advertising Spend to Reach $10.85 Billion in 2017
BIA/Kelsey’s newest report “Insights into Local Advertising — Healthcare Vertical” examines local media spending trends and consumer media usage habits in the healthcare category.
You can read an excerpt from the report’s executive summary below. A complimentary full executive summary is available for download from our estore.
Excerpt from the Executive Summary
The healthcare vertical, as defined by the U.S. government, represents an estimated $10.85 billion of local advertising spending in 2017. It consists of eight subcategories:
- Residential Care Facilities
- Veterinary Offices
- Pharmacies/Drug Stores
Our analysis in this report focuses on the first six categories, excluding Veterinary Offices and Pharmacies/Drug Stores.
BIA/Kelsey estimates that local advertising for this vertical will be $10.85 billion in the U.S. in 2017. We project health care advertising to grow at a 1.8% compound annual rate to $11.56 billion in 2021.
Hospitals constitute the largest sub-category of health care ad spending with an estimated $4.90 billion in local advertising in the U.S. in 2017.
Hospital advertising represents 45% of the defined vertical and should be a focus of media and platform companies’ health care activity. There are approximately 5,564 hospitals in the United States.
BIA/Kelsey projects the average hospital will spend nearly $880,500 on local advertising during 2017. Among all hospitals, larger marketing budgets are concentrated in research hospitals, where new technology and therapies are developed. Medical innovations provide the highest return to the inventor, often a hospital, early in the adoption cycle.
The full “Insights into Local Advertising — Healthcare Vertical” report is now available for purchase in our estore and will soon be available in the BIA ADVantage dashboard.