TV is set to rebound as the medium of choice for UK advertisers, reclaiming the top spot from the Web in terms of ad spend growth, according to new research. The latest AA/Warc Expenditure Report found that TV will be the main driver of UK advertising expenditure growth for 2010, with revenues to increase by […]
TV is set to rebound as the medium of choice for UK advertisers, reclaiming the top spot from the Web in terms of ad spend growth, according to new research. The latest AA/Warc Expenditure Report found that TV will be the main driver of UK advertising expenditure growth for 2010, with revenues to increase by an estimated 9.1% across the year. The report provides a measure of UK advertising activity – encompassing print, TV, digital, cinema and out of home – and expects TV to outperform online, which should grow by 7.7%.
It also predicts overall market growth of 3.3% in 2010, up from the previous forecast of 2.3%. Total ad spend is now expected to reach £14.98bn in 2010, an increase of £0.5bn from 2009. Following six consecutive quarters of decline, UK ad spend grew by 3.4% in Q1 2010, much faster than expected.
01/07/2010
Most media performed well in the first three months of the year. Out of home (14.6%) was the strongest performer year-on-year, with big gains also registered for TV (9.8%), internet (9.2%), radio (8.7%) and cinema (3%).
Financial advertising returned to growth (0.4%) in the first quarter for the first time since Q3 2007 and will continue this positive trend going forward.
Amidst reports suggesting that government cuts will set back the industry, COI advertising spend is expected to be reduced considerably.
The government and charity sector, which accounted for 7.2% of total ad spend in 2009, is predicted to register a double digit decline this year as a result. All other sectors should see growth across 2010 and 2011.
Tim Lefroy, Chief Executive at the Advertising Association, said: “Despite the doomsday predictions as the government slashes ad spend, the industry is in good health. Overall performance is actually outstripping the official forecasts.”
www.adassoc.org.uk/
www.warc.com/
