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| Author | DCM |
The latest Advertising Association/WARC Expenditure Report has revealed that UK adspend rose 4.2% year-on-year to reach £6.0bn in Q1 2019, marking the 23rd consecutive quarter of market growth. The figures highlight growth coming from areas including cinema, search, online display, TV VOD, online radio and out-of-home.
The report forecasts growth to £24.6bn for 2019, equivalent to a 4.6% increase, with the UK’s ad market expected to grow a further 5.3% in 2020.
Online advertising expenditure performed notably across a number of formats, with online radio seeing standout year-on-year growth of 26.5% in the first quarter. TV VOD achieved an increase of 17.5% in the same period, while total online display saw an increase of 16.6%. Digital out of home also experienced a good Q1 with growth of 10.9%.
Across traditional formats, cinema saw growth of 12.3% in Q1 2019 versus Q1 2018.
Stephen Woodford, Chief Executive at the Advertising Association commented: “These figures are testament to the resilience of UK advertising during an uncertain period for business, leading up to the original Brexit date. […]. 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.”
Last week DCM revealed a huge 12 per-cent rise year-on-year in cinema ad spend, delivering its biggest ever H1 in 2019. Top spending categories for cinema were Entertainment & Leisure, Motors, Finance, Government, Social & Political and Telecoms. DCM is confident that cinema will continue to entertain huge audiences in H2 with 2019 set to be another landmark year for admissions and a record-breaking year for advertising revenue on the big screen. This confidence is driven by the number of releases still to come that could all individually break records including: The Lion King, Star Wars: The Rise of Skywalker, Downton Abbey, IT: Chapter Two, Cats and Frozen II. It’s a big year for the big screen.