The growth of digital channels such as search, online display, video on demand (VOD) and online radio meant that the UK advertising market grew by 6.3 per cent year-on-year despite ongoing uncertainty surrounding Brexit.
TV growth inched up 0.1 per cent as advertisers moved their money into video on demand platforms, which grew 29.4 per cent.
Direct mail, which is still worth £1.5bn a year, declined by 8.5 per cent and is forecast to continue declining into 2020. Print media such as national and regional news and magazines also had a torrid time and fell 6.3 per cent, 9.3 per cent and 7.5 per cent year on year.
Stephen Woodford, chief executive at the Advertising Association commented, “These figures demonstrate, once again, the strength and resilience of the UK advertising industry during a time of political and economic uncertainty in the UK."
James McDonald, managing editor at WARC commented, "The UK’s ad market expanded at its strongest rate since 2015 last year, and the growth is primarily being driven by rapidly rising investment in paid search and online display formats, particularly social media and online video.
“These online components account for just over half of UK advertising spend today, and both are almost entirely data-driven, enabling advertisers to pair their messaging with internet users based on their digital footprint. These tools are also accessible, enabling a long-tail of SMEs to invest, and this has transformed the DNA of advertising in recent years.”
Ruth Manielevitch, VP of global business development at Taptica, said, "With more of us consuming content across multiple devices, it is great to see advertisers recognising the huge benefits of digital advertising in reaching the consumers in crucial moments. With trends in the mobile space continuing to evolve, we're looking forward to seeing how these impact the growth of spend over the forthcoming months and well into 2020."
See the full data on UK adspend below
|Full-year forecast summary 2018-2020||Adspend 2018 (£m)||2018 vs 2017 (% change)||Forecast 2019 (% change)||Forecast 2020 (% change)|
|of which VOD||391.0||29.4%||26.3%||20.2%|
|Out of home||1,209.1||5.7%||3.7%||4.2%|
|of which online||274.1||-0.2%||9.4%||7.2%|
|of which online||227.5||7.6%||4.3%||7.7%|
|of which online||270.3||-0.3%||0.3%||1.2%|
|of which online||45.4||30.6%||23.6%||21.0%|
|Total UK Adspend||23,566.1||6.3%||4.8%||5.5%|