Radio set for double digit growth
UK adspend will grow 18.2% this year, giving a total market size of £27.8bn, according to the latest Advertising Association/Warc Expenditure Report. That would be the largest annual growth on record, overtaking 1988’s growth of 15.9%.
Radio is expected to outperform the average with an increase of 18.6% (boosted by a 22.5% rise in digital revenues). The news is welcomed by the radio industry after a tough first quarter of 2021 which saw advertising dip by 5% on Q1 2020.
The anticipated growth rate for radio is an improvement on the 12.9% predicted in the last AA/Warc forecast in April, which also means the total ad market will be almost 10% bigger this year than it was in 2019. The forecast includes a total advertising increase in the second quarter of 54.7% year on year, which the AA/Warc said was by far the biggest increase on record for a quarter.
Radiocentre’s Client Director Lucy Barrett said “Radio is continuing to exceed expectations and we are seeing a bounce back that could see the medium exceed 2019’s revenue. Throughout the pandemic radio has been a proven source of escapism and joy, as well as a trusted point of information for millions of listeners, which is why existing advertisers have retained spend and also why we have welcomed new advertisers who have been able to reach large, high value audiences on a trusted platform”.