New measure of UK adspend shows TV grew market share in 2004

by Daniel Farey-Jones, Brand Republic 07-Mar-05, 11:00

LONDON - TV's share of expenditure increased from 35% in 2003 to 37% in 2004, according to a new UK advertising expenditure barometer launched by media monitor Thomson Intermedia and accounting firm KPMG.

According to the barometer, the total spend on advertising in 2004 was £10.5bn, of which TV took £3.89bn. The share of TV adspend captured by multichannel was 22.3% in 2004, compared with 13.3% in 2000.

The barometer will report figures twice a year for advertising expenditure, broken down by advertiser industry sector and advertising media. It uses Thomson's database of advertising activity accumulated over the past five years.

The media it covers are press, radio (national and major local stations), internet, television, direct mail, cinema, outdoor and drop drops.

Calum Chace, head of media at KPMG Advisory, said: "One specific trend picked up by the barometer is that after many years of healthy increases, expenditure on direct mail fell back in 2004 although its effectiveness as a medium continues to improve.

"This somewhat counter-intuitive finding reinforces the value that the barometer will bring to the industry."

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