Mixed picture for advertising growth

UK – Advertising spend has risen 4.2% year-on-year in the first quarter, according to the AA and Warc Expenditure Report, but the rate of growth is forecast to slow compared to 2018.

Jar of money labelled 'budget'

Spend on advertising in the first quarter of 2019 hit £6bn, marking 23 consecutive quarters of growth for the UK industry as the country approached the original Brexit deadline of 29th March.

Online ad spend drove growth in Q1, with online radio spend up 26.5% compared to the first quarter of 2018, TV video on-demand up 17.5% and total online display increasing by 16.6%.

But while overall spend was up on the same period in 2018, it was down half a percentage point (-0.5%) on the level forecast.

TV advertising was down 2.5% on the first quarter of 2018 and spend on newsbrands was down 9.1%. Direct mail, regional newsbrands and magazine brands also dropped.

The report forecasts ad spend will reach £24.6bn for the full year, equivalent to a 4.6% year-on-year increase. However, this is lower than the 6.3% growth seen in 2018, compared to 2017. 

The AA expects growth of 5.3% in 2020.

Stephen Woodford, chief executive at the Advertising Association, said: "These figures are testament to the resilience of UK advertising during an uncertain period for business, leading up to the original Brexit date. We see online advertising in all its forms continuing to perform strongly, demonstrating again how the UK is Europe’s leading online advertising marketplace.

"We hope that the new administration can deliver a business-friendly outcome to our relationship with the EU, ensuring the UK’s domestic advertising market remains robust and our advertising exports, which are world-class, keep growing."

We hope you enjoyed this article.
Research Live is published by MRS.

The Market Research Society (MRS) exists to promote and protect the research sector, showcasing how research delivers impact for businesses and government.

Members of MRS enjoy many benefits including tailoured policy guidance, discounts on training and conferences, and access to member-only content.

For example, there's an archive of winning case studies from over a decade of MRS Awards.

Find out more about the benefits of joining MRS here.

0 Comments


Display name

Email

Join the discussion

Newsletter
Stay connected with the latest insights and trends...
Sign Up
Latest From MRS

Our latest training courses

Our new 2025 training programme is now launched as part of the development offered within the MRS Global Insight Academy

See all training

Specialist conferences

Our one-day conferences cover topics including CX and UX, Semiotics, B2B, Finance, AI and Leaders' Forums.

See all conferences

MRS reports on AI

MRS has published a three-part series on how generative AI is impacting the research sector, including synthetic respondents and challenges to adoption.

See the reports

Progress faster...
with MRS 
membership

Mentoring

CPD/recognition

Webinars

Codeline

Discounts