By Tom Pennington/Getty ImagesAdvertisers will have to fight to stay on top in 2016 as they fight for market share and cash flow, a major issue facing the industry, analysts said on Monday.
The National Football League’s $2.3 billion ad market is expected to grow to $3.1 billion in 2021, with $2 billion coming from broadcast deals and the rest from digital and social.
The industry is expected grow at an annual rate of about 4.5%.
That would be a 4% annual growth rate, according to a study by PwC, a global advertising research firm.
That would mark the largest growth in the league’s ad market since 2002, according the report.
The growth of the NFL’s ad revenue is expected boost revenues by nearly $1 billion to $4.5 billion in 2019, the study estimated.
The NFL’s revenue of $3 billion would be almost double the $1.9 billion the league saw in the 2014-15 season.
Advertiser spending will also grow by about $500 million in 2020, the report found.
The spending growth rate will increase to 6% in 2021.
The report estimated that ad spending would increase by $200 million in 2021 in the first year of a five-year contract with a new television deal that begins in 2020.
The TV deal will be worth about $1 trillion.
The study noted that advertisers will have a tough time keeping up with the growth of social, video-on-demand and mobile.
That’s because advertisers will need to adjust to an advertising-free environment, said Paul Giammarco, chief executive officer of the research firm, which tracks the industry.
The biggest driver of growth will come from the online ad business, which will be about $700 million in 2019.
The market will be $2 trillion in 2021 and the average ad spend per user will be almost $4,000, the research report found, citing estimates by the company.
The report estimated online advertising would increase to $2,200 per user by 2021.