London, 25th October 2016: The UK’s authoritative advertising statistics, released today by the Advertising Association/Warc, show that UK advertising expenditure posted 5.2% growth in H1 2016 despite economic uncertainty before the EU referendum. The growth rate was 0.4 percentage points ahead of forecast, with adspend reaching a record £9,999m in total for the first six months of the year.
Growth in internet adspend was particularly strong, increasing 16.9% to reach £4,777m in H1. Within this category, mobile spend grew 52.6% to £1,723m – and for the first time mobile now accounts for over half of all online display adspend in the UK.
Digital formats continue to thrive across all media, with online video adspend increasing by 66.4%, to £252m, while native advertising spend also grew 29.9% to £451m in H1. Digital out of home increased 28.9% in H1 to reach £176m, taking out of home’s total spend to £511m.
In light of the data, full year growth forecasts for 2016 have been revised up 1.0pp to 5.2%. However the forecast for 2017 has been downgraded by half a point to 3.3%, as the impacts of the EU referendum result begin to unfold.
Tim Lefroy, Chief Executive at the Advertising Association said:
“Investment in UK advertising remains strong this year, and the trend towards digital and mobile continues – but the medium term is more complex. The Government should avoid any regulatory uncertainty that might affect advertising’s stimulus to the economy.” Continue reading