The latest Bellwether report from IPA found ad spend in the UK saw a sharp decline in 2020, but is expected to rise shortly.
The study found the pandemic led to sharp declines in ad spend across all categories, including events, OOOH and television. Around 11.6% decline in the UK’s GDP has corresponded to a 17.8% dip to ad spend in 2020.
With the development of COVID-19 vaccines and the commencement of immunisation programmes, normalcy seems within reach. IHS Markit predicts the UK’s GDP will increase by 3.5% in 2021 and 4.9% in 2022.
As the country’s economic conditions improve, researchers anticipate ad spend to grow by 6.9% in 2021 and 6.2% in 2022. Eliot Kerr, author of Bellweather report, said companies are now looking forward to a domestic recovery.
[6 minute read]