UK Marketing Budgets Rise At Last

Marketing budgets rose in Q1 for the first time in ten quarters, according to the latest IPA/BDO Bellwether survey, which is published today. The survey of marketers in 300 UK companies found c.21% reporting a rise in spend.

Respondents remained positive about the future, generally expecting the economic recovery to pick up speed, and planning to raise their spending for 2010.

More than two in five executives (42%) were more optimistic about the financial prospects for their company than they were three months ago, and 31% said they were more optimistic for the industry.

Digital is the strongest performer with budgets rising for the third quarter in succession. This rise was the highest for two years.

IPA President Rory Sutherland, who is Vice-Chairman of Ogilvy Group UK, commented: 'It's good to see that businesses are now increasing their investment in marketing as a route to growth - a welcome change in sentiment compared to this time last year. While online activities are leading the turnaround this year, the findings show that conventional advertising has now also turned the corner.'

However BDO LLP's Head of Media Andy Viner cautioned that the results 'should not be seen as simply a return to the good old days for all marketing disciplines, as spend on the marketing mix is changing.' With increased pressure to prove ROI, Viner says there has been 'a rise in measurable Internet marketing activities and moves away from areas such as below-the-line spend and sponsorship.'

Web site: www.ipa.co.uk .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.