LONDON: Total TV advertising revenue in the UK rose 3.5% during 2013 to reach a new high of £4.63bn latest data have shown, helped by a significant number of new and returning advertisers.
Thinkbox, the marketing body for commercial TV, said the figures covered all aspects of commercial TV, including linear spot and sponsorship, broadcaster VOD, and product placement.
It highlighted the fact that last year saw no less than 737 new or returning advertisers to TV (returning in this instance meaning after no TV advertising for at least five years), including the likes of Holiday Inn, Vitabiotics and Ricola. Altogether this group had accounted for 2% of total TV ad revenues.
The return was partly due to the value for money that TV now offers, and Thinkbox pointed out that TV advertising prices in 2013 were the cheapest (in real terms) on record, and some 38.5% cheaper than 20 years ago.
In addition, the year had seen a growth in commercial impacts (or the number of TV ads watched at normal speed), which were up 1.6%. Over the past five years commercial impacts have increased 10.4%.
The average viewer was now watching 47 ads a day, said Thinkbox, four more than five years ago. Collectively the UK watched an average of 2.8 billion ads a day in the first half of the year.
"Businesses know that TV works," stated Lindsey Clay, Thinkbox's Chief Executive. "The strength of TV ad investment reflects commercial TV's health and also acknowledges the mountain of evidence proving TV's unrivalled ability to create business profit," she added.
TV advertising investment is forecast to grow again in 2014, boosted by the World Cup in Brazil. The Advertising Association/Warc Expenditure Report predicts TV ad revenue to grow by 6% in 2014.
Data sourced from Thinkbox; additional content by Warc staff