LONDON: Total advertising expenditure in the UK will decline by 11.7% at current prices, to £14.5bn ($23.7bn; €17.0bn), this year, but will return to marginal growth in 2010, according to figures from WARC and the Advertising Association.
The latest WARC/AA forecast predicts adspend levels in the country will reach $14.7bn in 2010, and will then rise by 4.0% in the first three months of 2011 on an annual basis.
In terms of media, TV ad revenues are set to decrease by 11.9% this year, to £3.4bn – amounting to a share of just under a quarter of the British advertising market – and will remain flat in 2010.
Advertisers will also cut their national newspaper outlay by 14.8% during 2009, to a total of $1.5bn, with budgets remaining largely static over the next 12 months.
Consumer magazines will similarly see a 14.2% drop off this year, to £639m, with business and professional titles down by over 18%, to £687m.
The internet will post growth of just 1.4% this year – as the medium's rate of expansion slows from 39.5% in 2007 and 19.1% in 2008 – and 6.0% in 2010, when revenues will stand at £3.6bn.
By product category, consumables' spending is due to contract by 10.1% this year before stability returns over the following annual period, while the retail sector's measured media spend will shrink by 4.6% and 0.7% in 2009 and 2010 respectively.
Durables will also post a decline of 15.4% this year before registering growth of 2.5% in 2010, with finance similarly seeing a slide of 17.1% this year followed by an improvement of 2.3% next year.
Data sourced from WARC