While there are clearly concerning macro factors and a general air of uncertainty that cannot be ignored, the latest AA/WARC figures show a very robust UK advertising market that has faced the challenge of the pandemic and coped.
Even taking inflation into account, £31.9bn – making the UK the third largest ad market in the world – is significant.
And with the FIFA World Cup kicking off in Qatar in November this year, there will be a much bigger advertising spend boost at the tail end of the year than we’d normally get from Christmas alone.
Despite the unusual timing and concerns from some corners about the location, the tournament is a global sporting phenomenon and we can expect to see a corresponding surge in advertising support across all media as brands look to capitalise on worldwide – and the ever hopeful English – audiences focused intently on the football.
We anticipate the sport and entertainment sponsorship market to have grown in a similar way to advertising, with sponsorship becoming an increasingly appealing solution to mitigate the increasing cost of advertising and help brands find a point of difference within a cluttered media landscape.
The anticipated uplift delivered by the FIFA World Cup once again shows that sport is one of the few, mass ‘appointments to view’ left on free to air TV.
With media fragmentation and growth of ad-less streaming services causing an ongoing headache for advertisers, sport provides an incredibly powerful platform for brands that can be activated in a number of ways, from advertising to sponsorship, media partnerships to talent deals.