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Online ad spend reaches £1.1bn

The latest figures from the World Advertising Research Center (WARC) on behalf of the Advertising Association (AA) show that spending on internet advertising in the UK bucked a bleak trend in 2005 with an estimated 73 per cent increase.

Internet ad revenues surging past £1.1bn was one of the exceptions in a difficult market, which saw reduced consumer spending and economic difficulties hit total UK ad spending, according to the association. Total advertising revenues in the UK rose 2.1 per cent last year, slowing from a 6 per cent increase the year before.
The internet figures are WARC estimates – expenditure data for this medium will be published shortly by the Internet Advertising Bureau.

Spending on TV ads recorded a 3.8 per cent rise with revenues over £4bn. Billboard and other outdoor advertising revenues pulled in nearly £900m - a 5.8 per cent increase.

Radio, regional newspapers, direct mail and national newspapers all continued to show most significant drops in ad revenue.

National newspaper revenues dropped 3 per cent while the regional press fell 4.4 per cent. Revenue from classified ads fell more than five per cent across all newspapers while display ads decreased by 1.1 per cent.

Consumer magazine revenues rose by one per cent while business magazines dropped by 1.6 per cent, according to the figures.

Radio ad revenues fell four per cent to £521m.

The total figure does not include advertising expenditure in directories, which will be published later this year.

Source: Advertising Association