UK ad spend is to be in better shape than its European neighbours over the next year or two according to Group M report, ‘This Year, Next Year: U.K. Media and Marketing Forecasts’. There’ll likely be a modest 3.4% increase over the next six months thanks to the upcoming Olympics.
GroupM Futures Director, Adam Smith, was keen to point out that other European countries were struggling towards even the smallest ad spend rises. “Germany and France are barely positive in 2012 while Italy and Spain are expected to contract about 8%,” he said.
Advertisers are prioritising digital
Measured ad spending in the UK is set to reach a total of £13.2 billion in 2012, which is up from £12.7 million in 2011. Digging a little deeper into the report and digital expenditure could exceed £5.3 billion in 2012 and may reach £6 billion in 2013, which is an 11% increase.
Digital is leading the way in the race for advertisers’ riches. Compare it to more traditional outlets and you can see where the future of media lies. For example national newspaper spend is predicted to fall from £1.2 billion in 2012 to £1.1 billion in 2013, a 5% drop.
Smith laid the responsibility of digital’s comparatively sturdy rise squarely with smartphone uptake. “Smartphone proliferation has suddenly made mobile search an urgent priority, while bestowing long-awaited targeting intelligence at scale,” he said. “Mobile devices are also fuelling second-screen usage, which is another digital revolution in the making: versatile, universal and ergonomic.”