Media Buying Network Group M Slashes UK Ad Forecast [Headlines]
Group M, part of Sir Martin Sorrell's WPP, cuts growth forecast for UK ad spend in 2011 from 3.6% to just 1.5% year on year.
Media buying network Group M has significantly downgraded its UK advertising forecast, slashing growth for TV and predicting that the national newspaper market will now go into reverse this year, in the latest sign a spending malaise could be setting in. The group has also radically cut its forecast for UK TV ad spend growth this year to just 1% year on year. In December it had predicted a 4% boost. The group said that while it has been widely expected that TV ad spend growth would be “slower” in the second half of this year – particularly in comparison with last summer when the market was boosted by the football World Cup – there has nevertheless been a “drift” in consumer demand and advertisers' non-wage costs have inflated. The Guardian