Poor growth in the UK economy has led analysts Group M to downgrade their 2008 growth predictions for the ad industry from 6% to 4%.
The traditional media sector – including TV, newspaper, cinema, radio and outdoor advertising – will be the hardest hit in 2008, the group predicts. TV ads will be down 2%, followed by national news paper ads (-3%), and regional newspaper ads (-4%).
However, internet advertising will go someway to dispel the loss, as advertisers are predicted to increase online investment by 27%. Group M notes that mainstream brand advertisers are currently spending “negligible” amounts online and are actively seeking to invest more rather than less.