More NewsReport: U.K. Ad Revenue Driven by Online

Report: U.K. Ad Revenue Driven by Online

Ad spending on the Internet accounts for 13 percent of all media investment in the U.K. and will likely generate the majority of growth in ad spending for the next year.

The Internet is the driver of ad media growth in the U.K., where it accounts for 13 percent of all media investment. That’s according to the “This Year Next Year U.K.” report released this week by WPP Group’s GroupM.

The total advertising media investment in the U.K. is set to reach £12.2 billion, or about $22.9 billion in U.S. dollars, this year, and to continue on to £12.7 billion in 2007. The growth is attributed almost exclusively to the Internet and other forms of digital media. The report says U.K. media growth was flat in 2005 and forecasts that this year’s spending will be down 2 percent.

Advertising investments on the Internet comprise 13 percent of all media spending. The amount is nearly equal to spending on national newspapers, which has declined from the 18 percent it held in 2000.

New media spending, which includes the Internet, mobile and interactive TV, will reach about £500 million in 2006 and 2007 combined. Interactive TV amounted to £16 million in spending in 2005, and mobile came to £30 million. In 2006, interactive television is set to reach £20 million, and the smaller screen is expected to bring in as much as £60 million in revenue.

Direct and other marketing, forecast in the report to reach £13.4 billion in 2006, is shrinking due to growth of the U.K.’s do-not-call registry and reduced costs of off-shore call centers.

Related Articles

GDPR: The role of technology in data compliance

Data & Analytics GDPR: The role of technology in data compliance

3w Clark Boyd
What companies can learn from the We-Vibe lawsuit about the Internet of Things

Legal & Regulatory What companies can learn from the We-Vibe lawsuit about the Internet of Things

8m Al Roberts
Has advertising arrived on Google Home?

Media Has advertising arrived on Google Home?

8m Al Roberts
Is Twitter slowly dying?

More News Is Twitter slowly dying?

9m Al Roberts
FedEx launches fulfillment service to take on Amazon

Ecommerce FedEx launches fulfillment service to take on Amazon

9m Al Roberts
Target is the top retail digital marketer, so why is it struggling?

Ecommerce Target is the top retail digital marketer, so why is it struggling?

8m Al Roberts
YouTube is "on pace to eclipse TV" thanks to savvy algorithm use

More News YouTube is "on pace to eclipse TV" thanks to savvy algorithm use

9m Al Roberts
YouTube is getting rid of 30-second unskippable pre-roll ads

Ad Industry Metrics YouTube is getting rid of 30-second unskippable pre-roll ads

9m Al Roberts