AA/WARC: UK advertising delivers 25th consecutive quarter of growth

Posted on: Thursday 30 January 2020 | IAB UK

Market growth is being driven by increased spend on online advertising, with percentage increases across every digital format

Share this

The latest AA/WARC Expenditure Report shows that UK ad spend rose 5.6% year-on-year to reach £5.97 billion in Q3 2019, marking UK advertising’s 25th consecutive quarter of market growth.

Overall market growth is being driven by increased spend on online advertising, which saw percentage increases across every format. This was led by digital out of home which rose by 17.1%, TV broadcaster VOD which saw a rise of 16.7% and national online newsbrands which saw growth of 6.5%. 

The figures reflect the report findings of ‘Advertising Pays 7: UK Advertising’s Digital Revolution’, by the ad industry’s think tank, Credos. The report, which was published last year, revealed that Britain is the largest online advertising marketplace in Europe and that the country has the highest per capita online retail spend in the G20. 

The latest data reveals that overall growth in the third quarter of 2019 was 0.8 percentage points ahead of forecast. Looking ahead to the full-year figures for 2019, UK ad spend is forecast to reach £24.8 billion, meaning growth of 5.2%. This is expected to rise a further 5.2% in 2020 to reach £26.1 billion.

Stephen Woodford, Chief Executive of the Advertising Association, commented: “These media spend figures are particularly impressive given this was a period of Brexit and political uncertainty and very low overall economic growth. As the Credos report on UK digital advertising showed, this is in part fuelled by the exceptional growth in SME spend in digital, as well as larger advertisers continuing to move budgets into digital formats in most media sectors.”

Table

 

Written by

IAB UK

Share this

Related content

AA/WARC: 2019 UK ad spend forecast to fall 16.7% in 2020

The latest AA/WARC Expenditure Report reflects the impact of COVID-19 on the UK’s advertising sector

Learn more
Jon Mew

Understanding ad spend pre COVID-19 is invaluable

IAB UK's CEO on why having a robust understanding of where digital ad spend stood going into the COVID-19 outbreak is crucial to benchmarking the impact...

Learn more
AA/WARC-UK-advertising-spend

AA/WARC: UK advertising spend reaches £23.6bn

Following nine consecutive years of growth, UK ad spend hits £23.6 billion with online spend accounting for just over half of total spend

Learn more
Share-of-Media–H1-2018

Share of Media – H1 2018

Learn more

Looking to boost your skills?

Lasting two hours each, our virtual training modules have been designed to fit into your day while you work from home and provide you with the opportunity to learn new skills and keep your team up-to-date with latest best practice.