Way back when in 2020, the pandemic ground the world to a halt and seriously slowed down the entire UK economy. Among the numerous industries which were most affected by Covid, the media industry (and particularly print media) was one that had to dramatically pivot. UK investment in advertising fell by 34.1%, a figure which intrinsically displays the difficulties the sector encountered at the height of the nation’s first lockdown.
But several lockdowns later and it looks like the advertising industry is really finding its feet again – and then some! After a decline of £1.8 billion in 2020, the latest Advertising Association/WARC Expenditure Report has recently shown the UK’s ad spend grew by 24.8% this year to reach a total of £29.3 billion. In addition, total investment for Q4 2021, obviously the important Christmas advertising season, reached £7.9 billion, the highest level ever recorded during the festive period.
Drilling down further into the advertising landscape, as the country emerged from the second coronavirus lockdown, many media formats saw a strong recovery in Q2 2021. This was led by ad placements such as outdoor billboards (+276.8%), digital magazines(+155.5%), and direct mail (+104.0%).
Smeg’s full-page advertisement in British GQ (Source: Readly)
2022 has only just begun and forecasts regarding the industry appear to be positive. According to the Advertising Association/WARC Expenditure Report, the projection for 2022’s ad spending includes a 7.7% increase year-on-year to more than £31.5 billion. That is a rise of £2.2 billion compared to 2021. Leading the way is cinema ads (+123.2%) and outside advertising (+27.7%), while the growth in online search, which includes eCommerce spend, is expected to continue its rise (+11.4%).
But the UK media bounce back doesn’t stop there. Last May, Metro’s free circulation surpassed one million copies, after a dramatic decline following the arrival of the Covid-19 pandemic in the UK early 2020. In addition, traditional media companies are not afraid to experiment with new platforms, such as podcasting. As developed in one of our previous blog posts, everyone from The Guardian to Runner’s World now produce podcasts to supplement editorial output. Elsewhere, newsletters appeared to truly flourish within the media landscape. The Telegraph, for instance, offers eight newsletters aimed at different audiences. Substack, a platform led by ex-Elle editor Farrah Storr in the UK, allows you to launch paid-for newsletters and has propelled this trend, providing a wealth of new opportunities for brands. A glimmer of hope for the entire media industry!
