NEWS8 November 2018
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Insight & Strategy
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UK – Advertising spend in the UK rose 6.4% year-on-year to £5.6bn for Q2 2018 – the 20th quarter in a row that the market has grown.
For the first half of 2018 overall adspend increased 7.2% to reach £11.4bn; the strongest first half since 2014 according to the Advertising Association (AA) and Warc’s Expenditure Report.
Full-year outlooks for 2018 and 2019 have been upgraded to +6.3% and +4.9% respectively and a projected adspend total of more than £23.5bn for 2018.
Market growth has come from increased spend on online advertising. Internet advertising – inclusive online revenues for newsbrands, magazine brands, broadcaster video-on-demand and radio station websites – continues to grow rapidly and full-year projection figures have been upgraded to 13.3% growth this year. This would mean more than £13bn spent on online advertising in the UK this year.
The TV market grew ahead of expectations in Q2 2018, with total spend rising 1.9% to £1.2bn. Spot advertising – 89% of the total – rose for the third consecutive quarter, and the 1.4% growth rate was ahead of forecast.
Stephen Woodford, the AA’s chief executive said: “Spend on advertising is showing real strength and resilience especially at a time of some uncertainty for UK business. While we welcome these figures, we are also conscious that our upgraded predictions for 2018 and 2019 depend on getting the right deal from Brexit negotiations and clarity on what the future will look like.”
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