Definition
This industry comprises establishments primarily engaged in purchasing advertising time or space from media outlets and reselling it to advertising agencies or individual companies directly. In this process establishments generally have to liaise with media representative companies (NAICS 54184) which are contracted by media owners/operators to sell spot (other than local) advertising on their behalf. Media buyers perform two main functions: they negotiate the terms on which advertising is purchased on behalf of their clients. However, large advertisers may still prefer to negotiate rates directly with media representatives (see NAICS 54184) or media owners through using their own in-house media buying team, or by being part of the negotiations between media buyers and media representatives and others. Media buyers generally negotiate advertising deals on behalf of a number of clients in aggregate, although they will have separate agreements with each, to obtain the best advertising rates and discounts. Generally the rate negotiations may take place with media representatives and owners annually; and also plan individual campaigns through their media planning functions and monitor the daily results of the advertising placements against the agreed target audience reach and impacts and make the necessary changes to the advertising schedules and/or payments to media owners. This is the basis by which media buyers pay for advertising and also the basis on which they are paid their commissions or fixed fees by clients. Some clients also hire media auditors to monitor the effectiveness of and the outcomes achieved by their media buyers. The demand for the media buyers' industry services is directly related to the overall aggregate level of advertising expenditure by clients (including, under agreement from a number of advertising agencies and individual businesses), and which is used as leverage in negotiations with media owners and media representatives to obtain the best advertising rates and placements (in terms of both impact and reach against the agreed target audience) on their clients' behalf.

IBISWorld research reports contain trend analysis, statistics, market size information, industry growth rates as well as market share of competitors.

Major market segments are identified and also those forces affecting demand and supply within the industry. Performance analysis includes emerging industry trends as well as recent results and performance of each key company. Drawing on the depth of information IBISWorld also provides 5 year forecasts for each industry.

Each comprehensive study also examines details such as the barriers to entry, operating cost structure, technology & systems and domestic & international markets. Tables and statistics include: Industry revenue, exports, imports, wages and number of companies in the industry, Industry growth and geographic regional data.

Each comprehensive study also examines details such as the barriers to entry, operating cost structure (including averages), technology & systems and domestic & international markets. Tables and statistics include: Industry revenue, exports, imports, wages and number of companies in the industry, Industry growth and geographic location.