This holiday season, advertisers are prepared to spend a record £10.5 billion on Christmas advertising, marking a notable increase from last year.
- The forecast by the Advertising Association and WARC indicates a 7.8% rise in ad expenditure compared to the previous Christmas season.
- Online media channels, including social media and online radio, are poised for significant increases, reflecting a shift in advertising strategies.
- Positive sentiment towards Christmas advertisements continues to grow, with more consumers eagerly anticipating festive campaigns.
- John Lewis leads in consumer excitement, while humour and storytelling remain prominent themes.
A record-breaking £10.5 billion in Christmas advertising spend is projected this year, as stated by the Advertising Association and WARC. This signifies a 7.8% increase from the prior year, emphasising the critical role of the festive season for businesses aiming to capture consumer attention.
Digital platforms are benefiting from the highest boosts, with online display adverts, which encompass social media, expected to surge by 15.8%. Online radio ad spending is predicted to rise by 8.8%, while broadcaster video on demand will likely increase by 7.8%.
The out-of-home advertising sector is not far behind, with an anticipated growth of 8.1%. Cinema advertising is set to rise by 5.1%, buoyed by upcoming releases like ‘Paddington in Peru’, ‘Wicked’, and ‘Gladiator 2’.
Matt Bourn from the Advertising Association highlights that the increase in Christmas advertising is a strategic investment in growth, supporting employment across the UK. He emphasises the creativity that the UK advertising industry brings to this crucial period, aiding brands in achieving success.
Research from Kantar reveals an all-time high in positive sentiment towards Christmas advertisements, with 59% of people expressing their love for them, up from 51% the year before. This enthusiasm is reflected in the growing anticipation for these adverts, with 56% of consumers looking forward to them, an increase from 48% last year.
Lynne Deason of Kantar points out that advertisers elevated the creative standards last year, resulting in heightened festive excitement. Among those campaigns, John Lewis remains a standout, with one in four people expressing anticipation for its adverts. Humour, music, and storytelling, along with celebrities, continue to be key elements driving the success of Christmas adverts.
James McDonald from WARC discusses the potential of a well-executed Christmas campaign in enhancing brand visibility and loyalty, with this year’s expected £760 million increase marking the largest rise on record, barring 2021’s post-pandemic recovery.
Advertising investments during the holiday season are expected to reach new heights, underscoring the importance of creative endeavours in the industry’s growth.
