Growth in DM rises to 4.2% for beginning of 2004

LONDON - Growth in direct marketing has failed to keep pace with the advertising industry as a whole during the first quarter of the year, with spend on the medium up by 4.2% compared with an across-the-board rise of 4.8%.

Spend on direct mail for the first three months of the year was 拢686m, making it the third-biggest medium, after regional newspapers and television advertising.

While DM saw growth in real terms of 2.9%, it lagged behind the advertising industry as a whole, which was bolstered by radio and poster, the two fastest-growing media. Outdoor advertising increased by 9.1% to 拢185m, while radio was up by 8.3% to 拢133m.

Television saw an increase in adspend of 3.7% to 拢880m for the first three months of the year. There were across-the-board rises in press and magazine ads, with regional newspapers up 7.2% to 拢796m and national newspaper advertising showing a small increase of 3.2%.

Even business magazines, which have seen advertising revenues hard hit by the recession and have been slower to recover than other sectors, posted a rise of 1% in advertising revenue to 拢227m. However, this represents a 0.3% decline in constant currency terms.

The only sector to see a drop was cinema, down by 2.9% to 拢38m.

The figures have been compiled by the Advertising Association, along with the World Advertising Research Centre. A full copy of the report is available from .

If you have an opinion on this or any other issue raised on Brand Republic, join the debate in the .

Topics